How to Reach an 800 Credit Score

Are you tired of being turned down for loans or credit applications due to a low credit score? Do you dream of achieving a perfect 800 credit score? With strategic planning and proper guidance, it's possible to reach an 800 credit score. In this blog, we'll explore the breakdown of a FICO and Vantage score, and give you specific points on how to improve each category to reach your credit goals.

FICO vs Vantage Score

Before diving into specific strategies, it's important to understand the difference between the two most common credit scoring models: FICO and Vantage. FICO scores are used by the majority of lenders and range from 300-850, with higher scores indicating better creditworthiness. Vantage scores range from 300-850 as well, but use a slightly different algorithm to calculate the score.

FICO Score Breakdown

The FICO score is calculated based on five specific categories:

Payment History (35% of score): This is the most important category and evaluates how consistently you make on-time payments over time.

Amounts Owed (30% of score): This category looks at how much debt you have compared to your credit limits on all credit accounts.

Length of Credit History (15% of score): This category measures how long you've been using credit.

Credit Mix (10% of score): This looks at the types of credit accounts you have, such as credit cards, auto loans, and mortgages.

New Credit (10% of score): This category evaluates how recently you've opened new accounts or had hard inquiries on your credit report.

Vantage Score Breakdown

The Vantage score is calculated based on six categories:

Payment History (40% of score): This category is nearly identical to FICO and evaluates your track record of making payments on time.

Age and Type of Credit (21% of score): This category looks at the types of credit accounts you have, as well as the length of your credit history.

Percentage of Credit Used (20% of score): This evaluates how much of your available credit you're using at any given time.

Total Balances and Debt (11% of score): This looks at your total outstanding balances on all credit accounts.

Recent Credit Behavior (5% of score): This category looks at your recent credit applications and inquiries.

Available Credit (3% of score): This evaluates the amount of credit available to you on all your credit accounts.

Strategies to Improve Your Score

Now that you understand the categories that make up your credit score, let's dive into specific strategies to improve your score in each category.

Payment History: Make all your payments on time and strive for consistency. Avoid missed or late payments, which can significantly impact your score.

Amounts Owed: Keep your credit utilization ratio low, ideally below 30%. This means that you're only using 30% or less of the credit available to you. If you have high balances, focus on paying down your debts.

Length of Credit History: Keep old credit accounts open, even if you're not using them, to help build the length of your credit history. If you're new to credit, establish a credit history by opening one or two accounts and using them responsibly.

Credit Mix: Having a diverse mix of credit accounts, such as a credit card, auto loan, and mortgage, can help improve your score. However, don't open accounts you don't need just for the sake of increasing your credit mix.

New Credit: Limit hard inquiries and opening new accounts, as these can have a negative impact on your score. Be strategic when applying for new credit accounts and only do so when necessary.

Examples of Time Frames to Reach an 800 Credit Score:

Improving your credit score takes time, but with diligent effort, reaching an 800 credit score is possible. Here are some examples of typical time frames to reach an 800 credit score:

Starting with No Credit: If you're starting from scratch, it can take around six months to a year to establish a credit history and reach an 800 credit score.

Starting with a Poor Credit Score (550-649): If you have a poor credit score, it can take around three to five years of consistent effort to pay down debt, establish a solid payment history, and reach an 800 credit score.

Starting with a Good Credit Score (700-749): If you have a good credit score, it can take around one to three years of responsible credit behavior to reach an 800 credit score.

Why Choose Credlocity:

While it's possible to improve your credit score on your own, it can be a difficult and time-consuming process. Credlocity offers expert guidance and support to help you achieve your credit goals. Here are just a few reasons to consider working with Credlocity:

Free 30-day trial: Credlocity offers a risk-free 30-day trial period so you can experience their services before making a commitment.

Money-back guarantee: Credlocity is confident in their ability to deliver results. If you're not satisfied with their services, they offer a 100% money-back guarantee.

Ethical standards: Credlocity is committed to following all federal and state regulations, including the Credit Repair Organizations Act, and are dedicated to fighting for your rights as a consumer.

Personalized approach: Credlocity offers a customized strategy for each client based on their unique credit history and goals.

In conclusion, reaching an 800 credit score takes time and effort, but it's achievable with the right strategy. By understanding the FICO and Vantage score breakdown and taking specific actions in each category, you can gradually improve your score over time. And if you need expert guidance and support, consider working with Credlocity to help you reach your credit goals.