Credit scores are more than just numbers — they’re powerful tools that can shape your financial future.
A score of 700 might seem average, but it actually places you in a strong position when it comes to borrowing, negotiating rates, and building long-term creditworthiness.
In this article, we’ll break down exactly what a 700 credit score means, how it compares to national averages, what you can do with it, and most importantly, how to keep improving it.
What Is a 700 Credit Score?
A credit score is a three-digit number that lenders use to determine your creditworthiness — or how likely you are to repay borrowed money.
Scores generally range from 300 to 850, with higher numbers representing stronger credit behavior.
A 700 credit score falls within the “Good” category, according to both FICO and VantageScore models.
While not yet considered “Excellent,” this score is high enough to qualify for favorable loan terms and unlock premium financial products.
Is a 700 Credit Score Good or Bad?
In short: it’s good — and you’re ahead of the curve.
Here’s how it stacks up:
- According to FICO, the average U.S. credit score is 714 (as of 2024).
- A 700 score ranks you higher than about 36% of U.S. consumers.
- Around 21% of Americans have scores in the 690–719 range — the “Good” range.
While it’s not yet in the top tier (“Very Good” or “Excellent”), a 700 score still shows that you have a history of responsible credit use.
It may reflect consistent on-time payments, a moderate utilization ratio, and few credit inquiries or delinquencies.
What Can You Do With a 700 Credit Score?
With a 700 score, you’re in a good position to access a wide variety of credit products with competitive rates.
Here’s what you can typically qualify for:
1. Credit Cards
You’ll likely be approved for most mid-to-high tier credit cards, including those with:
- Cashback or rewards programs
- Introductory 0% APR offers
- Travel benefits
You may not yet qualify for the most exclusive premium cards, but the doors are wide open to highly beneficial options.
2. Auto Loans
According to Experian, borrowers with scores above 661 typically qualify for lower interest rates:
- New car loan average rate: ~6.4%
- Used car loan rate: ~9.95%
With a 700 score, you’re in the “Prime” credit tier for most auto lenders.
3. Mortgages
Yes — you can buy a home with a 700 credit score. Many lenders offer standard mortgage products, and even some jumbo loans, to borrowers in the good range.
You may not get the absolute lowest interest rate, but your rate will still be competitive.
4. Personal Loans
Personal loans with fixed terms and lower interest rates become more accessible. With a 700 score, you’re more likely to:
- Get approved quickly
- Qualify for better APRs
- Avoid upfront deposits or collateral
How to Improve a 700 Credit Score
While 700 is a strong score, moving it up into the “Very Good” (740+) or “Excellent” (800+) range can offer even better terms and financial perks. Here’s how:
1. Lower Your Credit Utilization
Keep your credit usage below 30%, ideally under 10%
- Example: If your credit limit is $10,000, try to keep your total balances below $1,000.
Consider:
- Paying off debt
- Asking for credit limit increases (without increasing spending)
- Opening a new card to expand your total available credit
2. Pay Bills on Time
Late payments are the most damaging factor to your score. Even one missed payment (30+ days late) can drop your score by over 100 points.
Set up:
- Autopay for recurring bills
- Calendar reminders or smartphone alerts
- Grace period alerts from your issuer
3. Avoid Opening Too Many Accounts
Each credit application triggers a hard inquiry, which can slightly reduce your score. Too many in a short time can signal financial distress.
Tip: Space out new applications by at least 6 months unless absolutely necessary.
4. Keep Old Accounts Open
Even if you’re not using a card, the age of that account helps your credit history.
If possible, avoid closing old credit cards — especially those without annual fees.
5. Diversify Your Credit Mix
Lenders like to see a mix of:
- Revolving credit (credit cards)
- Installment loans (auto/student loans)
Having a balanced mix — and managing each type responsibly — gives your score an added boost.
Common Credit Score Mistakes to Avoid
Even with good credit, missteps can hurt. Watch out for these traps:
- Maxing out cards: High balances push up utilization and damage your score.
- Paying late (even once): One 30-day delinquency can erase years of progress.
- Closing your oldest card: Reduces your credit history and overall limit.
- Ignoring your credit report: Errors happen. Check your report regularly and dispute inaccuracies.
- Applying for store cards impulsively: These often come with high interest and little long-term benefit.
Tips for Maintaining and Growing Your Score
Consistency is key. To grow your credit profile:
- Track your score monthly with apps
- Use only what you can afford to repay
- Automate payments
- Review credit reports annually
- Consider becoming an authorized user
- Ask for credit limit increases
- Use secured cards if rebuilding credit
Also consider:
- Becoming an authorized user on someone else’s well-managed credit card.
- Asking for limit increases every 6-12 months if your income has grown.
- Using secured credit cards or credit-builder loans if you’re rebuilding credit.
Conclusion and Next Steps
A 700 credit score is a strong foundation — and a sign you’ve made good financial choices.
It opens the door to attractive loan offers, rewarding credit cards, and better borrowing terms. But it doesn’t stop there.
With small, consistent steps, you can take your credit from good to great — and unlock even more financial freedom.
Monitor your score, use credit wisely, and stay on track with smart money habits.