What is a Good Range for a Credit Score?

Credit cards and accounts can improve or worsen a credit score.

Obtaining a Good Credit Score

A "good" credit score is considered to be anything above 700. According to Cash Money Life, credit scores are based on a weighted formula that includes payment history, amounts owed, age of credit history, recent loans and the types of credit you have. Therefore, it is smart to have some amount of credit history. You can create credit history by using credit cards and with loans.

Ability to Pay

If you decide to open a credit card or account or obtain a loan, make sure you are able to pay and your finances are secure. Good credit history is made when payments are made on time, in full and over an extended period of time. If you miss a payment, it can easily drop your credit score.

Bottom Line

You can either improve or worsen your credit score depending on your ability to pay in full and in a timely manner on all credit accounts and loans. Here's a tip: Visit annualcreditreport.com (free and no strings attached) once a year to argue any negatives on your accounts, hopefully getting them removed.