What Kind of Credit Score is 697? A Thorough Breakdown

Your credit score is one of the most important numbers in your financial life It gives lenders an idea of how creditworthy you are – whether you’ll be able to pay back money you borrow

But what does a specific score like 697 actually mean? Is it good or bad? Does it make a difference compared to scores that are just a little higher or lower?

In this comprehensive guide, we’ll breakdown exactly what a 697 credit score means and how it impacts your ability to get loans and credit cards.

Overview of Credit Scores

Before diving into the specifics of a 697 score, let’s do a quick overview of credit scores in general:

• Credit scores are three-digit numbers, generally ranging from 300 to 850, that represent your “creditworthiness.” The higher the number, the more likely you are to pay back debts.

• There are a few different credit scoring models, but FICO and VantageScore are the most widely used. Although they have minor differences, both score ranges mean basically the same thing.

• Scores are broken out into categories like poor, fair, good, very good, and exceptional. Each lender sets their own criteria, but in general, the higher your score, the better off you are.

• Key factors that influence your score include payment history, credit utilization ratio, credit history length, credit mix, and new credit inquiries. Good behaviors will raise your score over time, while missed payments and high balances can lower it.

• You can check your credit scores for free from sources like Credit Karma and Experian. Monitoring your scores helps you understand your credit health.

Now let’s dive into what a 697 credit score means specifically.

What a 697 Credit Score Means

A credit score of 697 is considered “good” credit according to both the FICO and VantageScore rating systems.

Specifically, it falls into the “good” ranges of:

• 670-739 for FICO
• 661-780 for VantageScore

This means a 697 score is above the “fair” range but below “very good” or “exceptional” credit. It’s better than about 33% of consumers but not as strong as the top 30%.

Here’s how a 697 score stacks up:

Credit Score Ranges

So while a 697 score doesn’t put you at the top tier, it still signifies relatively healthy credit compared to many other consumers. Lenders will see you as an acceptable borrower.

Credit Card and Loan Approval Odds

In practical terms, how does a 697 score impact your ability to get approved for credit cards and loans?

The short answer is that a 697 score keeps plenty of doors open, but doesn’t give you access to the very best rates and terms.

Here are some examples of what you can expect with a 697 score:

• Credit Cards – You should be approved for most unsecured cards, including rewards cards, but may not get giant credit limits or 0% intro APR offers. Your APR is likely to be on the higher end.

• Auto Loans – Approval is likely but interest rates probably won’t be rock bottom. You may need a sizable down payment to get favorable financing.

• Mortgages – Getting a conventional mortgage is feasible but you’ll pay a higher rate than someone with very good or exceptional credit. Alternatives like FHA loans may offer better terms.

• Personal Loans – While approval is possible, interest rates on a personal loan will be on the steeper side, making it expensive to borrow.

The bottom line is that a 697 score keeps plenty of lending options open to you. But it’s not high enough to get the very best deals. Taking steps to boost your score into the very good range can save you money.

How a 697 Compares to Surrounding Scores

Looking at scores right around 697 shows how small differences can impact your borrowing prospects:

• Scores in the 680s – Very similar to 697. You might see slightly higher rates but overall prospects are still decent.

• Scores in the 700s – A score of 700 is considered the start of very good credit. Getting approved becomes noticeably easier with 700+ scores.

• Scores in the 660s – Dropping below 670 puts you in the fair range. You’ll pay higher rates and likely need to put more money down to get approved.

So while being on the cusp of very good credit isn’t hugely different than a 697 score, falling just below 670 can limit your opportunities and make borrowing more expensive.

Even a difference of 10-20 points can impact your interest rates. So monitoring your scores closely is important.

How to Improve a 697 Credit Score

While a 697 score gives you access to plenty of credit, there are still good reasons to try increasing it:

• Lower interest rates save you money on credit cards, loans, and mortgages
• Higher approval chances for the best rewards credit cards
• Increased borrowing power and credit limits

Here are some tips to improve a credit score around 697:

• Pay all bills on time – Payment history is extremely influential. Set up autopay or reminders to never miss due dates.

• Keep balances low – High utilization hurts your score. Try to keep balances under 30% of your credit limits.

• Check for errors – Incorrect late payments or other mistakes can wrongly lower your score. Dispute any errors.

• Limit hard inquiries – Too many credit checks in a short period can ding your score. Only apply for credit selectively.

• Ask for credit line increases – Higher limits help keep utilization low for a score boost. Ask issuers periodically for CLI’s.

• Monitor your reports – Regularly checking your credit reports catches problems before they hit your scores.

With diligent credit management over time, you can potentially push your 697 score solidly into the very good zone, improving your financial opportunities.

The Takeaway

A 697 credit score represents good credit that keeps most lending options open to you. It’s a sign of relatively healthy credit management.

But improving your score further into the very good or exceptional ranges can save you money through lower interest rates. Plus it gives you better approval chances for top rewards credit cards and loans.

Knowing the nuances of what different score ranges mean allows you to properly evaluate your credit situation. Monitoring your scores lets you chart your progress as you work to maximize your credit health.

An excellent credit score generally falls within the 800 to 850 range. Scores in this range indicate a very low risk to lenders and often lead to the best interest rates and loan terms.