By Kim Franke-Folstad

A 616 credit score isn’t good or bad, though it is at the lower end of what is considered the “fair” range using the FICO® credit scoring model. That might make it more challenging for a borrower to get approved for a credit card or loan or to qualify for lower rates and fees.

Read on for a look at what you can expect with a 616 credit score.

What Does a 616 Credit Score Mean?

Typically, a credit score 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. A FICO Score in the 580 to 669 range is generally categorized as fair. And a score that’s lower than 580 is “poor.”

Keep in mind, though, that it’s up to each lender to decide how it will assess credit scores, and lenders have multiple scoring models to choose from.

Some lenders may look at a 616 credit score as a bit of a red flag — a sign that you may have had some past credit problems or perhaps lack a credit history. They’ll consider you to be more of a risk than a borrower with a higher credit score.

But that doesn’t mean you won’t stand a chance when you apply for a loan or credit card. If you have other factors working for you — say, a low debt-to-income (DTI) ratio, solid employment and a good income, cash in the bank, or other assets — you still may qualify. Some credit cards and loans are designed to work for borrowers with fair or poor credit. But you may be asked to pay a higher interest rate or to secure the loan with some type of collateral.

What Can You Get with a 616 Credit Score?

You may have a harder time qualifying as a borrower with a credit score that’s on the borderline between fair and poor, but there are options available.

Can I Get a Credit Card with a 616 Credit Score?

With a 616 credit score, you might have a better chance of qualifying for a secured credit card vs. an unsecured credit card. But that isn’t necessarily a bad thing: Using a secured card can be helpful as you work to improve your credit reputation.

A secured card works pretty much like a traditional credit card, except that you’ll have to put down a deposit that “secures” the card. The credit card company will hold onto your money just in case you default on your payments, but you’ll get the deposit back if you close your account or if you transition to an unsecured card later on. Your credit limit with a secured card is usually the same as your deposit.

Whether you qualify for a secured or unsecured card, it’s likely that your interest rate and other costs will be on the high end until you can improve your creditworthiness. So it’s important to compare offers, preferably using a preapproval tool, so you’ll have a good idea as to whether you’ll get the card or not before you actually apply.

Remember to look for cards that come with useful credit-building elements, such as free credit score monitoring and/or an app that makes it easy and convenient to track your spending and saving.

It’s also important to be sure the credit card you choose regularly reports to all three of the major credit bureaus.

Can I Get an Auto Loan with a 616 Credit Score?

The minimum credit score required to get an auto loan can vary. And lenders may use an industry-specific scoring model for auto loans 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.

Coming up with a higher down payment or getting a cosigner may help you get a loan and/or a better annual percentage rate (APR). Both moves can make you a lower risk for lenders. But with a 616 score, you can expect to get an APR that’s at least a few percentage points higher than car buyers with credit scores in the next highest range.

If you’re wondering if it’s smarter to buy a new or used car, there are pros and cons to both. Though it may seem counterintuitive, it actually may be easier to get financing for a new car, because it can be more difficult for lenders to accurately value a used car. But a used car is likely to have a lower price that’s easier on your budget.

Can I Get a Mortgage with a 616 Credit Score?

Requirements can vary with different types of mortgages, and lenders may have their own credit score requirements as well. Here are some basics to know:

•   If you’re applying for a conventional mortgage loan — a loan from a private lender that isn’t insured by a government agency — you typically will need a credit score of at least 620.

•   Lenders also like to see a minimum credit score of 620 for a VA loan, which is backed by the U.S. Department of Veterans Affairs. However, some lenders will accept a score as low as 580.

•   With a government-insured FHA loan, you’ll need a minimum 580 credit score to qualify for a down payment as low as 3.5%. Applicants with lower scores, down to 500, must put down at least 10%.

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

Though a 616 credit score is below the preferred minimum for most of these loan types, you may want to talk to a mortgage professional about whether you could qualify and what option might be right for you. If you have stable employment, a low DTI ratio, and other positive information on your application, you might have a better chance of getting the type of loan you want. But you should be prepared to pay a higher interest rate than you would if you had a better credit score.

Can I Get a Personal Loan with a 616 Credit Score?

There are personal loans that are geared specifically to borrowers with fair or poor credit scores. This means you probably can find a lender who will approve your application with a 616 credit score, especially if the loan is in a lower amount and/or you’re willing to pay a higher interest rate.

One option to consider, if you have an asset that you’re willing and able to put up as collateral, is a secured personal loan. With this type of loan, the lender is taking less risk, which may make qualifying easier. And the interest rate may be lower than with an unsecured personal loan.

The overall cost of borrowing is key when you’re considering a personal loan. Credit cards are convenient and useful for smaller, everyday amounts or purchases that might earn points. But even unsecured personal loans tend to have lower interest rates than credit cards, which can make them a good choice for larger expenses. And knowing you’ll have a fixed payment to make every month can help you stay disciplined and on track.

Wondering how a personal loan might compare to other financing options? A personal loan calculator can help you determine how much your monthly payments might be, and if you could save by using a personal loan to pay off an existing loan or high-interest credit card balance.

You also may find it makes sense to use a credit card consolidation loan to simplify your finances and help you save money.

The Takeaway

A 616 credit score may not be considered “good,” but it is a good start if you’re trying to build or rebuild your credit reputation.

You may find that you’ll have to pay a higher interest rate when you borrow than you would if you had a higher score. But if you consistently pay bills on time — and use the tools available to help you keep improving your credit score — you can likely expect to qualify for better financing options down the road.

Think twice before turning to high-interest credit cards. Consider a SoFi personal loan instead. SoFi offers competitive fixed rates and same-day funding. See your rate in minutes.

FAQ

Is 616 a bad credit score?

A 616 credit score is neither good nor bad. It’s considered on the lower end of “fair,” according to the FICO scoring model. And it’s lower than the average U.S. credit score of 717.

Can I buy a house with a 616 credit score?

Generally speaking, you need a credit score of at least 620 to qualify for a mortgage loan. However, some lenders may offer loans to borrowers with a score as low as 500. A mortgage professional can help you determine the option that best fits your situation.

What can I get with a 616 credit score?

A 616 credit score is considered fair. You might qualify for secured credit cards, personal loans, or even a mortgage, though you’ll likely need to pay higher interest rates and fees.

By Jamie Cattanach

Congratulations: If you have a 691 credit score, you officially have a good credit score — at least as far as FICO scores are concerned. (While there are different types of credit scores out there, FICO® scores are the ones most frequently used to assess borrower creditworthiness in the United States.)

Good credit scores are those that range from 670 to 739, according to Experian®.1 But that doesn’t mean good credit is the best credit you can have. Higher score ranges to aspire to include very good credit (740-799) and excellent credit (800-850). Still, if your score is 691, you should take the time to commend yourself on your solid credit history.

What Does a 691 Credit Score Mean?

A credit score of 691 puts you in the range of “good” credit. That’s higher than two other tiers: poor credit (300-579) and fair credit (580-669).

Here’s how the most popular credit score ranges at FICO stack up (you may have different credit scores depending on the system being used):

•   Poor: 300-579

•   Fair: 580-669

•   Good: 670-739

•   Very Good: 740-799

•   Excellent (or exceptional): 800-850

Being in the good credit category can unlock your ability to successfully apply for a variety of financial products, including credit cards, auto loans, personal loans, and mortgages with competitive rates. While it’s not just your credit score that’s considered, the better your score, the lower your interest rates are likely to be.

That’s why it’s important, even if you already have a good credit score, not to rest on your laurels. Continue to stay consistent with the on-time payments and other behaviors that got you here to build your score even more — and qualify for the most favorable possible loan terms.

Recommended: Using a Savings Account Calculator

What Else Can You Get with a 691 Credit Score?

Along with the bragging rights of saying you have a “good” score, here are a few of the financial products you may be able to successfully apply for with a 691 credit score.

Can I Get a Credit Card with a 691 Credit Score?

You will likely qualify for a credit card if you have a credit score of 691. Credit cards are often offered to people with scores over 580. (There are even credit cards on the market for people with poor or limited credit history, though a cash deposit may be required for a secured card.)

With a good credit score (one over 670), you may be able to qualify for cards with more perks, like cash back, travel benefits, and other credit card rewards. Of course, the credit card issuer may also take other financial information, like your income, into consideration.

Can I Get an Auto Loan with a 691 Credit Score?

According to Kelley Blue Book, the average new car sold for a whopping $47,870 in August 2024. You might spend a whole lot less if you buy a used car, but still: Many people need a loan to get behind the wheel at all.

While there’s no set minimum credit score to take out an auto loan, plenty of lenders do look for a good credit score. Having a better credit score, again, could mean a lower interest rate. For instance, those shopping for a new car with a poor credit score could be charged an interest rate of 15.62% vs. 5.38% for those with excellent credit, according to one recent study.

Plus, if you are interested in buying used, you’ll likely need a better credit score than you would for a new-car loan, according to Car and Driver: “Most used auto loans go to borrowers with minimum credit scores of at least 675,” the magazine reports. (Good news: That’s you!)

Can I Get a Mortgage with a 691 Credit Score?

Aside from retiring, buying a home is one of the biggest financial goals many Americans have. If you have a credit score of 691, this major milestone may be within reach. Even people with substantially lower credit scores — as low as 500 — may qualify for certain types of mortgages, like FHA loans. But with a good credit score, you likely have more offers to choose from.

For most conventional home loans, a score of 620 will unlock opportunities. Again, though, your credit score doesn’t guarantee you a successful application. Given the massive size and scope of the loan, mortgage lenders tend to look at your holistic financial picture, including your income, job history, debt-to-income ratio (DTI), and more.

Still, your score is an important consideration during the underwriting process, and even a slightly lower interest rate could save you tens of thousands of dollars over the course of a 30-year mortgage.

Can I Get a Personal Loan with a 691 Credit Score?

Personal loans are a type of loan you can use for just about anything you want to. Unlike auto loans and mortgages, they’re not secured by a specific piece of collateral. (That’s why they’re also called unsecured loans.)

With a credit score of 691, you’re likely to qualify for a personal loan, though keep in mind that the interest rates on these types of loans tend to be higher (since unsecured loans are riskier for the lending institution). People with a credit score of 580 or higher will likely also qualify for a personal loan, but at a higher interest rate than people like you with higher scores.

Even with an affordable monthly payment, the overall cost of the loan can scale quite quickly over time. A personal loan calculator can help you understand exactly how much those up-front funds will cost you.

Of course, there are some instances where personal loans might be a smart money move. For example, some people take out personal loans to consolidate their credit card debt, which usually has even higher interest rates. Along with helping simplify your monthly payment process, debt consolidation done right can significantly lower the overall amount you stand to pay in interest. That can be a win-win.

Other uses for a personal loan include:

•   Home renovations

•   Medical, dental, or car repair bills

•   Travel

•   Weddings and other big celebrations

Some people might use personal loan funds for a passion project or side hustle (such as buying photography equipment), too.

Recommended: 7 Tips to Managing Your Money Better

The Takeaway

If your credit score is 691, congratulations: You have good credit! You will likely qualify for a range of credit offers, such as a mortgage, personal loan, rewards credit cards, and more. Maintaining that score — or building it even higher — takes work and persistence. Given how much you stand to save on future loans, it’s well worth the effort.

If you’re leveraging your good credit score to access a personal loan, see what SoFi offers.

Think twice before turning to high-interest credit cards. Consider a SoFi personal loan instead. SoFi offers competitive fixed rates and same-day funding. See your rate in minutes.