Key takeaways
- A credit score of 800 or above is considered excellent and comes with the same benefits as a perfect 850 score.
- Benefits of an 800 credit score include better credit offers, lower interest rates and higher credit limits.
- To maintain an 800 credit score, it’s important to keep credit utilization low and regularly monitor credit reports.
There are a number of perks that come with top-notch credit, and the good news is that you don’t have to hit that perfect 850 credit score to enjoy them. Just getting your credit score over 800 — officially an excellent credit score — gives you the same advantages and benefits that come with a perfect credit score.
Reaching such a credit score takes time and commitment, but it’s not as impossible as you might think. Experian reports that 22 percent of all consumers have achieved excellent credit, and even more (28 percent) are on their way, falling within the very good credit range.
When you have an 800 credit score, you’ve done everything you need to prove you are a creditworthy consumer. People with 800+ credit rarely hear the word “no,” and banks and credit card issuers will be eager to loan you money, often at favorable terms.
Let’s take a closer look at what it means to have a credit score over 800, how to get an 800 credit score and some of the perks that come with it.
What it means to have a credit score over 800
Is 800 a good credit score? According to the FICO credit scoring system, it’s exceptional. Although both the FICO and VantageScore credit scoring systems go to 850, you actually don’t need to hit 850 to reap the same benefits as those with a perfect credit score.
If you have an 800 FICO score, you have an extremely positive credit history. You’ve likely been using credit successfully for many years and probably have a healthy mix of credit accounts that includes both revolving credit (like credit cards) and installment credit (like a mortgage).
In short, you’re the ideal credit consumer — responsible, financially savvy and unlikely to default on your credit obligations.
Having a credit score over 800 means there isn’t much else you can do to make your credit score better. All you can do now is maintain the healthy credit habits that got your 800+ credit score in the first place.
How to get an 800 credit score
So what are the actual steps to reach an 800 score? First, start by learning how to build credit — but don’t stop there. In addition to practicing responsible credit habits, like making all your payments on time and paying down your balances regularly, you’ll also want to take a few extra steps to improve your chances of earning an 800 credit score:
Keep your credit utilization low
Aim to keep your credit utilization as low as possible. This means paying off your balances in full on a regular basis. According to FICO, people with credit scores of 800 have a credit utilization ratio of around 11 percent. For instance, if your total credit limit is $10,000, you should strive to keep your combined balance on all your cards below $1,100.
Maximizing the Benefits of an 800 Credit Score
Having an 800 credit score not only boosts your purchasing power but also helps in maintaining a low credit utilization ratio, ultimately leading to a near-perfect credit score. In addition, with exceptional credit, you become eligible for some of the best rewards credit cards available in the market, allowing you to earn rewards on every purchase made with your credit card.
What to Do with an 800 Credit Score
Once you have achieved an 800 credit score, it is essential to continue practicing good credit habits to maintain your exceptional credit status:
- Set up mobile alerts or enroll in autopay to ensure timely credit card and loan payments.
- Keep your credit utilization low to optimize your credit score.
- Strive to pay off your credit card statement balances in full before the grace period ends.
However, it is crucial to avoid certain actions that could potentially lower your credit score even after reaching the 800 mark:
- Applying for a new credit card and triggering a hard credit inquiry may cause a temporary drop in your credit score.
- Making a large purchase that increases your credit utilization ratio could lead to a decline in your credit score.
- Exceeding the recommended credit utilization of 30% may negatively impact your credit score.
- Canceling your oldest credit card could reduce the length of your credit history and result in a lower credit score.
Conclusion
Having an 800 credit score is indeed a significant achievement, offering numerous benefits and opportunities. It is important to focus on maintaining your exceptional credit score by consistently making timely payments, keeping credit utilization low, and adhering to responsible credit practices that helped you achieve an 800 credit score initially.