FICO score
The most widely used credit score in U.S. lending, with base versions ranging from 300 to 850.
What it means
FICO scores are made by the Fair Isaac Corporation and are used in the large majority of U.S. lending decisions. Base FICO scores range from 300 to 850. There are many versions, including industry-specific scores for auto lending and credit cards that use a wider range, and different lenders may rely on different versions.
FICO publishes the general weight of each factor: payment history about 35%, amounts owed about 30%, length of credit history about 15%, new credit about 10% and credit mix about 10%. The exact effect of any action depends on the rest of a person’s profile. A score generally requires at least one account that has been open for six months or more and recently reported.
Example
For example, a person who has never missed a payment, uses about 10% of their available credit and has accounts going back many years would tend to score far higher than someone with a recent 60-day late payment and cards near their limits.
How it’s used
- Qualifying for a mortgage, where specific FICO versions are commonly used
- Comparing loan offers that are priced by score tier
- Understanding which habits move a score the most
Related terms
Educational information only, not financial, tax or legal advice. Rules, limits and rates change; check the IRS, your lender or plan, or a qualified professional before acting.