How Long Does it Take To Get 700 Credit Score?

SHORT ANSWER: It depends on your current credit score and the steps you can take to raise it quickly. A good credit score can open doors for lower interest rates on a mortgage or car loan and can help you get a rental apartment or a job. While building a 700 credit score can seem overwhelming, setting up a clear plan can make it happen faster. If you're wondering, "How long does it take to build credit to 700?" You'll need to consider your current credit score and the steps you can take to boost it. Read on for the key facts so you can take advantage of the benefits of a 700 credit score this year.

Is 700 a Good Credit Score?

Credit scores range from 300 to 850 on the FICO scale, commonly used by lenders. A 700 credit score is slightly less than average. According to Experian, one of the three credit bureaus, an average credit score is 714, but a score of 700 or above is usually considered good. 

Here is the breakdown of credit score categories, from poor to excellent:

• 300 to 579 — poor: This includes those unlikely to get approval for new credit. It's essential to improve a poor credit score to increase the chances of approval for loans, credit cards or even a rental property. 

• 580 to 669 — fair: This category is classified as “subprime” borrowers. They present a higher risk to lenders, so it’s more challenging to qualify for new credit lines, loans or rental properties. 

• 670 to 739 — good: Anything above 670 is usually considered a good credit score with an acceptable level of risk. A 700 credit score is just below the middle of this range. 

• 740 to 799 — very good: These people have a history of positive credit behavior and present a much lower risk to lenders. This makes it easier to get approved for additional credit.

• 800 to 850 — excellent: The highest category, these borrowers, are low risk and have access to the best interest rates and borrowing opportunities. 

Learning how to read a credit report and accessing your free credit report is essential to managing your credit score and building toward 700 or higher. You can also find what credit score you usually need to buy a house or credit score requirements for personal loans to set personal targets. 

How Long Does it Take to Get 700 Credit Score from Scratch?

How long it takes to get a 700 credit score from scratch varies from borrower to borrower. You could become an authorized user on a credit card of someone with excellent credit and (maybe) get a credit score of 700 in months. 

If you max out a credit card, you could see your credit score recover to 700 or higher in as little as three months, but individual factors come into play. It can take longer to recover if you maxed out a credit card when your starting score was under 600. Below is an overview of how long it takes to rebuild your credit score after adverse credit events.

How Long Does it Take To Get 700 Credit Score from 400?

Building your credit from 400 to 700 could take a few years. The exact timing to get a 700 credit score depends on which types of negative marks are dragging down your score and the steps you take to improve your credit going forward. Even in extreme cases like bankruptcy, your credit score should gradually recover, but understanding what affects your credit score can help speed up the process.   

There’s no exact recipe that will determine your repair timeline. However, getting a 700 credit score depends on several factors you can control. Here are the basic steps to take:

• First, you must make all monthly debt and utility payments on time. 
• Second, if you can pay off all revolving credit (i.e., credit cards), removing that debt can increase your credit score faster. Learn about debt consolidation loans for credit building.
• Next, if you have been paying rent and utilities on time, you can use a rent reporting company to get credit for up to two years of past on-time payments. 
• Also, if you can become an authorized user on a credit card of someone with an excellent credit score, you could see your credit score increase faster.
• Finally, avoid applying for too many new lines of credit, as that can further damage your credit score. Learn more about how to improve your credit score. 

How Long Do Derogatory Marks Stay on Your Credit Report?

While FICO data suggests how long it will take to bring your score back up after a financial mishap, there is also information on how long certain events can remain on your credit report and affect your credit score. Here is the data:

Why Does It Take Time to Build a Good Credit Score?

It takes time to build a good credit score because your score represents the probability that you will be late on payments or default on a loan. The credit bureaus cannot conclude this probability in a single month, and instead look at patterns over time. As those patterns change, your credit score changes with it. That's why establishing good credit habits is more important than your credit score today. Those habits will help you gain and maintain a good credit score in the long term.

It usually takes six months to establish a credit score if you start with no credit score and longer to get a good or excellent credit score. In many cases, you can expect a similar timeline to start seeing improvements. 

If you need to speed up the timeline, consider getting credit for past positive credit actions. The two main ways to do this are with a rent and utilities reporting company and by becoming an authorized user. You can get credit for up to two years of past on-time payments with rent and utility payments. As an authorized user, you benefit from a friend's long, positive credit history to boost your score. 

How Long Will it Take You to Get a 700 Credit Score?

Whether it takes you a few months to get a 700 credit score or requires years of consistent credit-building behaviors will depend on factors like your current credit score, what type of negative marks are on your credit history, how long they've been there and what you can positively impact now. For the next steps, learn to fix your credit score in six months or how much available credit you should have. Or, if you're ready to take your finances to the next level, consider the best budgeting apps or expense trackers.