What Is the Highest Credit Score Possible and How To Get It

Introduction

When you find out your credit score, and see it rising and falling for seemingly random reasons, it’s natural to be curious about where you fit in the grand scheme of things. And if you’re competitive, you might set out to snag the highest of high scores … even a perfect score, if you can get it.

Well, you can get it, but it’s extremely rare and difficult. A lot of factors go into your credit scores, and it takes hard work and consistent habits to get to the top of the heap. But if you really want to, you might be able to pull it off. More importantly, you can increase your credit score no matter where you currently fall on the scale.

Overview of Credit Score & Ranges

You actually have more than one credit score, because there are two companies with credit scoring models — FICO^® and VantageScore^®. Each of them has slightly different ranges, but both go from 300 to 850.

As far as what makes a good credit score, that’s slightly different between the two models as well.

How Your Credit Score is Calculated

Your credit score is calculated from the data in your credit reports, and updated regularly. The three credit bureaus gathering information from creditors to create your report are Experian, Equifax, and TransUnion. Depending on which creditors report what activity to which bureaus, and which credit scoring model a lender uses to make decisions, your credit score could change slightly from one day to the next.

It’s hard to predict exactly what impact any specific activity will have on this calculation. But if you use your credit strategically, charging small amounts and then paying off your balances in full every month, you can usually significantly boost your score over time.

What Factors Can Affect Your Credit Score

Payment history — including on-time payments — is the most important factor affecting your credit score. This makes up 35% of your FICO Score and 41% of your VantageScore.

Credit utilization ratio (CUR) — or how much of your available credit you charge — accounts for another 30% of your FICO Score and 20% of your VantageScore. Ironically enough, creditors and lenders want to give you more credit when you show that you don’t use it and don’t need it. So keeping your debts low by not maxing out your cards can have a big impact.

Other factors that affect your credit score include length of credit history, mix of credit, new credit, and your total balances.

What Is the Highest Credit Score You Can Have?

Since both FICO and VantageScore range from 300 to 850 on their standard base scales, 850 is a perfect score and as high as you can get. However, “perfect” is hard to attain no matter what we’re talking about, so 800 and above is considered excellent — or “Exceptional,” to borrow FICO’s language.

Does anyone have a perfect credit score? Sure, but it’s just over 1% of the population, according to Experian. People with perfect scores tend to have more lines of credit but use less of it. And none of their accounts are delinquent because they pay on time, every time, even when carrying a balance.

Over 73% of people with a perfect credit score are close to 60 years old, or older. That makes sense when you consider the length of their credit history, and the fact that they’ve had a much longer time to build and establish good habits.

Benefits of a High Credit Score

If you plan to borrow money through a loan or credit card, having a high credit score will make your life a lot easier.

Some of the benefits of a good credit score include:

• Higher credit limits so you can borrow more.
• Lower interest rates so you pay less for what you borrow.
• Lower credit utilization ratio due to more unused credit.
• Lower premiums on home and car insurance.
• More housing choices because it’s easier to be approved for a mortgage or rental property.
• Faster approval on utilities and mobile phone plans, often without requiring a downpayment.
• Better job opportunities since some employers check your credit before making an offer.

How To Get a High Credit Score

You’ll likely get similar terms and credit lines with a score of 760 or better as you will with a score that’s 800+. And many financial experts point to the 760 credit score as ideal because it allows you to qualify for the lowest rates while still being attainable.

However, whether you’re trying to get a score of 760, 800, or 850, the process is still the same. And yes, getting a score of 800 or above is doable with some good habits and consistent diligence.

Pay on time, every time

This phrase can start to sound like a broken record, but on-time payment really is crucial when it comes to raising your credit score. In fact, it’s the best and most important thing you can do — while late or missed payments are the worst.

Use less than 30% of your credit

Many people say there’s no magic number for credit utilization ratio, but you’ll hear “less than 30%” a lot. So that really is the magic number. The second magic number you’ll hear is “9% or less,” and if you can keep your CUR in the single digits you’ll almost definitely come out ahead.

Resist applying for too many cards

Having more available credit and a lower CUR is good, but applying for too many cards is bad. This is a red flag that creditors see as desperation, and each application is a hard pull on your credit report that could negatively impact your score. While you’re building credit, applying for one or two cards a year is more than enough.

Bottom Line

A perfect all-around credit score, and the highest you can get, is 850. Very few people actually achieve this — in fact, we could call it “the other 1%” and it’s just as elusive as being among the top 1% of wealthiest people in the country. And yet, striving for a better credit score is always beneficial.

If you’re looking for a new credit card to help you on that journey, see if you pre-qualify for a Credit One Bank offering, which doesn’t affect your score.