How to Get Your Credit Score Above 750

Having a credit score of 750 or higher can open up many doors when it comes to borrowing money and getting the best rates. But reaching this score takes time and effort. In this comprehensive guide, we’ll explore what a 750 credit score means, why it’s so desirable, and most importantly, the steps you need to take to reach this milestone.

What Does a 750 Credit Score Mean?

• Credit scores range from 300 to 850.
• A score of 750 or higher is considered “excellent” credit.
• According to FICO, the most widely used credit scoring model, only 46% of Americans have credit scores of 750+.
• Lenders view borrowers with 750+ credit scores as very low risk. You’re more likely to get approved and get better terms.

Why Is a 750 Credit Score Important?

There are many advantages that come with having excellent credit

• Lower interest rates – Lenders offer better rates to borrowers with higher credit scores. Even a small reduction in your interest rate can save thousands over the life of a mortgage or auto loan.

• Better loan terms – In addition to lower rates you may also qualify for things like lower down payments and waived fees.

• Higher credit limits – Credit card companies tend to give higher limits to customers with excellent credit. This helps lower your credit utilization.

• More card options – Want premium travel rewards or big sign-up bonuses? A 750+ score gives you access to the top credit card offers.

• Easier approval – Hitting at least a 750 makes it easier to get approved for loans and credit cards you apply for.

• No security deposits – Landlords and utilities often waive security deposits for renters with excellent credit.

8 Steps to Reach a 750 Credit Score

Improving your credit takes patience and discipline. But you can get there by following these essential steps:

1. Review your credit reports

The first step is to check your current credit score and review your credit reports from Experian, Equifax, and TransUnion. This will show you where you stand now and if there are any errors dragging down your scores. Dispute any mistakes with the bureaus.

2. Pay all bills on time

Payment history has the biggest impact on your scores. Even one 30-day late payment can knock your score down by over 100 points. Set up automatic payments or payment reminders to avoid ever missing due dates.

3. Pay down credit card balances

High balances hurt your credit utilization rate. Try to keep balances below 10% of your credit limits. Pay more than the minimums and consider doing balance transfers to low-rate cards.

4. Don’t close old accounts

Having long, positive credit histories improves your scores. Keep old accounts open unless they have an annual fee you can’t justify.

5. Become an authorized user

Ask a family member with good credit to add you as an authorized user. It can give your credit a boost. But make sure they pay on time.

6. Only open new credit when needed

New accounts lower your average account age, so avoid opening too many new cards. Only apply for what you need.

7. Limit hard inquiries

Each application triggers a hard inquiry, which can slightly ding your scores. Only apply for credit when you need it.

8. Build savings and live below your means

Good credit habits start with managing your spending wisely. Build an emergency fund and keep expenses low. It makes bills easier to pay.

How Long Does It Take to Reach 750?

Improving 100 points or more takes persistence. But you could see your scores start to move in the right direction within a few months. Expect reaching 750 to take about a year, depending on your starting score and credit report contents. The key is developing and sticking to the right habits long-term.

Maintain Your 750 Score

Reaching an excellent 750 credit score is a big accomplishment. But you have to keep up the good work. Get in the habit of checking your scores regularly. One late payment or high balance can quickly cause your score to drop. Stay vigilant and don’t let your good credit slip.

An 800 credit score is relatively rare, with approximately 23% of Americans achieving this “exceptional” FICO score range (800-850), according to The Motley Fool.