What Is a Bad Credit Score?

Take control of your bad credit scores today. Learn how US Allied Financial can help you.

Based on the FICO ® Score range of 300 to 850, a credit score below 669 is considered to be either fair or bad. Lenders often refer to this group as “subprime,” which indicates borrowers who may have a hard time repaying a loan.

Information in your credit report includes:

• The number of credit card accounts you have, their borrowing limits and current outstanding balances
• The amounts of any loans you’ve taken out and how much of them you’ve paid back
• Whether your monthly payments for your accounts were made on time, late or missed altogether
• More severe financial setbacks such as mortgage foreclosures, car repossessions and bankruptcies

A bad credit score can be compared to a bad grade in school, a failing grade on a driving test, or getting bad results for any other type of assessment that uses a numerical ranking to judge performance. Getting
the news that your credit scores might be less than stellar can be disheartening, but the good news is you are not stuck with your bad credit scores. Make improvements to a few key credit management habits, and over time, your score will improve.