Is 790 a Good Credit Score? An In-Depth Look at What This Score Means

Having an excellent credit score like 790 can make a big difference when you apply for loans or credit cards. But what does it really mean to have a score in this range? Let’s take an in-depth look at 790 credit scores, what makes them good, and how you can reach or maintain this level.

What Does a 790 Credit Score Mean?

A 790 credit score is considered excellent by both FICO and VantageScore, the two most commonly used scoring models. It falls within the top credit score ranges:

• FICO Score Range: 800-850 (“Exceptional”)
• VantageScore Range: 781-850 (“Super Prime”)

According to Experian data, only 1% of consumers with scores of 790 are likely to become seriously delinquent on credit obligations in the future. This makes borrowers with 790 scores very attractive to lenders.

Credit Karma data shows only 15. 4% of Gen Z’ers and 24. 4% of Millennials have credit scores between 750-850. More older generations are in this top tier: 26. 1% of Gen X, 44. 1% of Baby Boomers and 58. 7% of the Silent Generation.

So having a 790 credit score puts you ahead of many of your peers when it comes to credit health. It signifies responsible credit management over time.

Why Is a 790 Credit Score Good?

There are a few key benefits to having a 790 credit score

• Better Loan Terms: With a 790 score, you can qualify for top interest rates from lenders. This can save you money on everything from credit cards to auto loans and mortgages.

• Better chances of being approved: Lenders see high credit scores as a sign of low risk. This makes them more likely to approve your applications. Although other factors like income still matter.

• More Rewards & Perks: A 790 score gives access to premium credit cards with lucrative rewards programs, travel perks, and other bonuses.

• Higher Credit Limits: People with good credit often get higher credit limits from lenders. This can help keep your credit utilization low.

• Strength: A high score gives you the power to get better deals. You can shop around more freely for the best rates.

• Peace of Mind: There’s satisfaction in knowing your hard work has paid off with credit health in the top tier. Monitoring your 790 score can help you catch any declines early.

How to Reach a 790 Credit Score

Reaching a top-level credit score takes diligent financial habits over time. Some tips that can help:

• Keep balances low: Letting credit card balances exceed 30% of your limit can quickly pull down your scores. Try to pay in full each month.

• Never miss payments: Payment history is a huge factor in your scores. Set up autopay to avoid slip-ups.

• Limit hard inquiries: Each application for credit results in a hard inquiry, which can ding your scores a few points. Only apply for credit you need.

• Maintain credit history: Keep your oldest accounts open and active. Closing them can shorten your credit history and impact your scores.

• Diversify credit types: Using different types of credit – credit cards, auto loans, mortgages – can help demonstrate responsible management.

• Dispute errors: Errors or outdated information on your credit reports can negatively impact your scores. Dispute them.

• Monitor your scores: Routine monitoring ensures you catch any declines and identify areas for improvement.

Building credit takes patience, but developing the right habits can help you reach an excellent 790 score over time.

How to Maintain a 790 Credit Score

Once you’ve reached that peak score, you’ll want to keep nurturing your credit health. Here are some tips for maintaining a 790 score:

• Use rewards cards: Make small purchases on your rewards credit cards regularly to keep them active. Inactivity can lead to account closure.

• Limit new credit: New applications often involve hard inquiries that can cause small, temporary score drops. Only apply for credit you need.

• Watch your reports: Verify all the information on your credit reports is accurate and dispute any errors that could unjustly lower your scores.

• Beware debts and late payments: Carrying debt balances too high or missing payments can quickly deteriorate those excellent scores.

• Consider balance transfers: Transferring high-interest balances to a 0% APR card temporarily can minimize interest fees and keep your credit utilization down.

• Re-evaluate your needs: As your financial goals evolve, your ideal credit cards and loans may change too. Shop around periodically for optimal rates and rewards.

• Monitor closely: Check your credit scores frequently to catch any changes early. Addressing score drops quickly limits further deterioration.

Maintaining excellent credit takes diligence. But keeping tabs on your credit scores and proactively managing accounts can help preserve your 790 status.

Reaching a 790 Credit Score FAQs

Here are some common questions about improving credit scores up to 790:

How long does it take to reach a 790 credit score?

This depends on your starting score and financial habits. It could take just a year or two if you begin with “Good” credit. But building and exhibiting years of responsible credit use is needed if starting from scratch. Patience is key.

Does a 790 credit score guarantee loan approval?

While it represents low risk, a 790 credit score doesn’t automatically guarantee approval. Lenders also weigh factors like income, employment, and total debt levels in their decisions. But it does suggest you qualify for their best advertised rates.

What’s the fastest way to increase credit score to 790?

Paying down balances to decrease credit utilization is one of the fastest ways to potentially see an increase. Going from maxing out cards to letting statement balances report at under 10% utilization can boost your scores.

Can you have too high of a credit score?

There’s really no credit score that’s too high, as long as you’re managing credit responsibly. Ultra-high scores around 850 indicate elite credit health and show lenders your low risk. But once you’re in the “exceptional” tier, further score gains likely won’t win you better loan terms.

Is 790 a Perfect Credit Score?

While FICO and VantageScore don’t have a defined “perfect” score, a 790 comes close to the top of most scoring models. However, you might be able to achieve a score between 800-850 by further optimizing your credit habits. But for most lending purposes, being in the 790 tier means you already qualify for the best offers and rates. Routine credit monitoring and smart credit decisions can help you maintain your excellence.