Is 696 a Good Credit Score?

By Kim Franke-Folstad

Here’s some good news: If you have a 696 credit score, you’re sitting firmly in what is considered the “good” range using both FICO® and VantageScore credit scoring models. And that could make it easier for you to qualify for a credit card or loan.

But because 696 is still a bit lower than the average U.S. credit score in 2024 (for FICO that’s 717, and for VantageScore it’s 701), even if you’re approved, you may not be offered a lender’s lowest interest rates and fees.

If you’ve been working to build or rebuild your credit, and you’re curious about where you stand as a potential borrower, read on for a look at what you can expect with a 696 credit score.

What Does a 696 Credit Score Mean?

A credit score typically must be near or slightly above the average for U.S. consumers to be considered “good.” Using the popular FICO scoring model, that’s anywhere from 670 to 739. Although a 696 score will likely be solid enough to get you a loan or credit card when you apply, there’s still a way to go before moving into the “very good” range (740 to 799) or the “exceptional” range (800-plus).

You may have to bump up your score a little more to find a really competitive offer. Borrowers who appear to be the lowest risk can anticipate receiving better terms and other perks.

What Can You Get with a 696 Credit Score?

It’s important to note that lenders have multiple FICO scoring models to choose from, including some that are industry-specific (for auto loans, mortgages, etc.). And it’s up to individual lenders to decide how they will assess credit scores.

Lenders also generally look at more than credit scores when making their decisions. If you have other factors working for you (a low debt-to-income (DTI) ratio, solid employment and a good income, cash in the bank or other assets), they’ll usually take that into consideration.

With that in mind, here’s what you may be able to get with a 696 credit score.

Can I Get a Credit Card with a 696 Credit Score?

A 696 credit should be good enough for you to be approved for an unsecured credit card. But you may not qualify for a luxury or premium card, the lowest annual percentage rate (APR) offered, the highest credit limit, or certain rewards or privileges.

To find the card that’s best for your current circumstances, it can be helpful to use a preapproval tool to compare various offers. That way, you can get a good idea as to whether you’ll be approved for the card you want before you actually apply.

While you’re comparison shopping, you also may want to look for cards that come with free credit score monitoring and/or an app that makes it easy and convenient to track your spending and saving. These extras can come in especially handy if you’re hoping to keep improving your credit.

Can I Get an Auto Loan with a 696 Credit Score?

The minimum credit score needed to get a car loan varies. And lenders may use an industry-specific scoring model that works a little differently than your basic credit score. But as with most types of borrowing, the higher your score, the more likely you are to receive better financing terms.

With a 696 credit score, you can expect to get an average APR that’s at least one or two percentage points higher than what car buyers with credit scores in the next highest range are paying.

By the way, if you’re wondering if it makes more sense to buy a new or used car, there are pros and cons to both. It may seem counterintuitive, but it actually can be easier to get financing for a new car. A used car is likely to have a lower price, though, which can be easier on your budget.

Can I Get a Mortgage with a 696 Credit Score?

Loan requirements, including minimum credit scores, can vary with different types of mortgages. And lenders may have their own credit score requirements as well. Here are some basics to consider:

•   If you’re applying for a conventional mortgage loan, you typically will need a credit score of at least 620. With a 696 credit score, you’re likely to be approved, but lenders probably won’t be offering you the best interest rates available.

•   Although the Department of Veterans Affairs doesn’t set a minimum credit score requirement for VA loan borrowers, lenders typically like to see at least a 620. And you may get a lower interest rate with your 696 credit score.

•   Considering a government-insured FHA loan? Borrowers with a credit score as low as 500 can qualify. If your credit score is between 500 and 579, your minimum down payment is 10%. If your credit score is 580 or higher, you must put down a minimum of 3.5%.

•   A minimum score of 640 is recommended for a government-backed USDA loan, although borrowers without a credit history may be evaluated through other criteria.

Though a 696 credit score should be high enough to qualify for any of these loan types, you may want to talk to a mortgage professional about how various costs might affect your monthly payments and which option might be right for you.

Can I Get a Personal Loan with a 696 Credit Score?

Unless lenders see some potential red flags on your application, you should be able to qualify for unsecured personal loans with a 696 credit score.

Your interest rate probably won’t be as low as what borrowers in the very good and exceptional ranges are offered. And you may have to settle for a lower loan amount. Still, personal loans tend to have lower interest rates than credit cards, which can make them a good choice for larger expenses. And you may find it makes sense to use a credit card consolidation loan to simplify your finances. Knowing you’ll have one fixed payment to make every month can help you stay disciplined and on track with your budget.

A personal loan calculator can help you determine how much your monthly payments might be if you choose to use a personal loan to pay for a large medical bill, a wedding, home improvements, or something else that’s important to you. You also can calculate how much you could save by using a personal loan to pay off any existing high-interest debt that’s getting in the way of your goals.

The Takeaway

A 696 credit score is generally considered to be in the “good” range, and it’s a great start if you’re trying to improve your credit reputation. Most lenders are likely to treat you as a creditworthy candidate when you apply for financing.

That said, you still may end up paying a higher interest rate than you would if you had a credit score in the “very good” or “exceptional” range. But if you keep paying your bills on time, and use the tools that can help you keep increasing your credit score, you can expect to qualify for even better financing terms in the future.

Think twice before turning to high-interest credit cards. Consider a SoFi personal loan instead. SoFi offers competitive fixed rates and same-day funding. Checking your rate takes just a minute.

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FAQ

What is a good FICO Score?

FICO scores run the gamut from 300 to 850, which is considered a perfect score. A score between 670 and 739 is considered “good.”

What credit score do I need for a $250,000 house?

In order to qualify for a conventional loan for a $250,000 house, you’ll likely need to have at least a 620 credit score.

What can I get with a 696 credit score?

A 696 credit score is considered good. With it, you likely can get approved for a variety of credit products, such as an unsecured credit card, personal loan, or mortgage. However, you may be charged higher interest rates and fees.