SmartRateToolsDefinition
A credit score is a numeric summary of your credit history that helps lenders estimate how likely you are to repay borrowed money.
Typical range
Most common U.S. scoring models use a range of 300 to 850. Higher scores generally signal lower risk to lenders.
What affects your score
- On-time vs late payments
- How much of your credit limit you use
- Length of credit history
- Recent applications for new credit
- Types of credit accounts you manage
Why it matters
Credit scores can impact approval odds, interest rates, insurance pricing, and even rental applications. Improving your score can lower long-term borrowing costs.