Is a 622 Equifax Credit Score Good?

Base on the Equifax credit scoring model, a credit score of 622 means you have bad or poor credit. But what does this really mean, and is an Equifax score of 622 really that bad?

In this article we’ll take an in-depth look at 622 credit scores, what they mean, and how to potentially improve a 622 Equifax score.

What is a 622 Equifax Credit Score?

There are three main credit bureaus in the United States. Equifax is one of them. The others are Experian and TransUnion.

Equifax uses the Equifax Credit Score model, which ranges from 280 to 850, to calculate credit scores. A score of 622 falls in the very poor or bad range on this model.

In particular, a score of 622 on Equifax is in the 17th percentile across the whole country. In other words, this means that only 2017% of people with Equifax scores have a lower score. The remaining 83% have a higher Equifax credit score.

So a 622 is pretty low and could mean that there are problems or risk factors in someone’s credit history. But it’s still higher than the minimums for people with very bad credit, which usually start in the 500s.

Is a 622 Equifax Score Good?

Generally, a credit score below 670 is considered bad and a sign of poor credit health. So no, a score of 622 on the Equifax model is not considered good.

Here’s a quick rundown of the Equifax credit score ranges:

• 800-850: Exceptional
• 740-799: Very Good
• 670-739: Good
• 580-669: Fair
• 300-579: Very Poor

As you can see, a 622 Equifax score falls into the fair range, which is just above very poor. It signals to lenders that the borrower potentially carries a higher risk of default.

While not a good score overall, a 622 is also not the worst score a person could have. It still shows some creditworthiness and ability to manage payments and accounts responsibly.

Credit Score Factors Impacting a 622 Equifax Score

Several factors likely contributed to a 622 Equifax credit score. The most common reasons for lower scores in this range include:

• Late Payments: About 95% of people with a 622 Equifax score have late payments on their credit report. Even one 30-day late payment can drop scores significantly.

• High Credit Utilization: Higher balances compared to total credit limits can lower scores. Above 30% utilization on any account starts to negatively impact scores.

• Short Credit History: Not having enough accounts open for long enough can result in lower scores. Generally you need at least 6 months of credit history for scoring.

• Credit Inquiries: Too many applications for new credit in a short period results in hard inquiries, which can lower scores temporarily.

• Collections Accounts: Unpaid debts sent to collections severely hurt credit scores and can stay on reports for up to 7 years.

• Bankruptcies/Foreclosures: Major derogatory events like bankruptcies or foreclosures damage credit scores for up to 10 years.

So a combination of these factors is likely behind a 622 Equifax credit score. Checking your full credit reports is the best way to identify issues impacting your scores.

Is a 622 Equifax Score Bad?

While not the worst possible score, a 622 is below average and considered bad credit by most lenders. Some potential difficulties of having a 622 Equifax credit score include:

• Higher interest rates on loans and credit cards
• Lower chances of approval for credit cards and loans
• Potential need for a cosigner or collateral to get approved
• Higher security deposits required for rentals, utilities, cell phone plans
• Difficulty qualifying for prime mortgages

So in short, yes a 622 is a bad score that can make accessing credit more challenging and expensive. But the good news is there are still options, and you can take steps to improve your 622 score over time.

How to Improve a 622 Equifax Credit Score

If you have a 622 Equifax score, improving it takes time and discipline. But you can start taking actions to build your score immediately:

• Pay all bills on time – Payment history is a major factor, so pay on time always. Set up autopay if it helps.

• Lower credit utilization – Get balances well below 30% of limits on all accounts. Pay down balances aggressively.

• Limit new credit applications – Too many new accounts lowers scores, so only apply if truly needed.

• Check for errors on your credit reports – Dispute any inaccuracies with the credit bureaus.

• Consider secured cards – Applying for a secured card can help build scores with responsible use.

• Mix credit types – Open installment loans like personal loans or auto loans to diversify credit mix.

• Let time pass – Bad marks fall off your reports after 7 years, so scores improve with time.

With a consistent focus on these actions, a 622 Equifax credit score can start improving within a few months. But full credit restoration takes years of diligent effort.

Summary: Is a 622 Equifax Credit Score Good?

A 622 credit score with Equifax is in the low fair range and considered bad credit. It makes getting approved for new credit more challenging and often leads to higher interest rates from lenders.

While not a good score, a 622 is also not the worst place to start. With time and concentrated effort, a 622 Equifax score can be improved to access better credit options. Monitoring your detailed credit reports, keeping balances low, and making payments on time are the keys to boosting your Equifax score above 622.