By Lauren Ward

A 716 credit score is generally considered good and may help you qualify for a wide variety of financing opportunities more easily. It’s also right on par with the average American’s score of 717. That said, there’s still some room for improvement, especially if you want to access the lowest interest rates possible.

Learn what to expect with different types of credit products when you have this credit score.

What Does a 716 Credit Score Mean?

Your credit score is a three-digit number from 300 to 850 that rates your creditworthiness and indicates to lenders how likely you are to pay back the funds you borrow. Two widely used credit scoring models, FICO® and VantageScore, use information from your credit report to calculate your credit score. Generally speaking, the higher your score, the better you look to potential lenders.

Let’s see how FICO Scores — which are used in 90% of lending decisions — are categorized and how a 716 credit score stacks up.

•   Poor: Less than 580

•   Fair: 580-669

•   Good: 670-739

•   Very good: 740-799

•   Exceptional: 800+

As you can see, a credit score of 716 falls within the “good” range. With that score, you can likely qualify for many loans and credit cards and potentially get better terms, including lower fees and interest rates.

How to Build Your Credit Score

A 716 FICO credit score is solid, but if you can raise your score into the “very good” range, you may be able to qualify for even better rates and terms.

One smart habit to adopt: Pay your bills on time, every time. Payment history makes a bigger impact on your credit score than anything else — a whopping 35% on FICO’s credit rating scale. If you need help managing your bills, consider setting up autopay or using a budget app to keep payments on track.

It’s also a good idea to pay down any revolving debt you have. That’s because using a lot of your available credit can be a sign to lenders that you’re overextended, and could negatively impact your credit score. (Amounts owed make up 30% of your FICO Score.)

What Else Can You Get With a 716 Credit Score?

A credit score of 716 can help you qualify for most types of financing, including credit cards, auto loans, mortgages, and personal loans. But there are other financial factors that can impact your eligibility as well. Here’s how to navigate each type of credit when you have a 716 credit score, plus what other kinds of requirements may be in place.

Can I Get a Credit Card With a 716 Credit Score?

There are credit card options for users with nearly any credit score available. With a credit score of 716, you could qualify for just about any card out there and take advantage of several credit card perks.

Common credit card benefits to look for when you have a good credit score include:

•   Cash back or rewards points: Credit card reward programs let you earn cash back or points as you make purchases with your card. Cash back is usually calculated as a percentage of your spending, while rewards programs accrue points per dollar spent.

•   One-time sign-up bonus: With a strong credit profile, you may qualify for a card that offers a monetary reward when you sign up. Usually you need to meet a minimum level of spending within a certain time frame in order to receive it.

•   Higher credit limits: A higher credit score, along with a low debt-to-income ratio (DTI), could help you qualify for a higher credit limit on your card.

•   Travel insurance: Some credit cards provide travel insurance, such as rental car collision insurance, trip delay insurance, and trip cancellation insurance.

As you search for a credit card, consider these benefits as well as the starting APR before you apply.

Can I Get an Auto Loan With a 716 Credit Score?

Is a 716 credit score good for getting an auto loan? Short answer: Yes. Not only are you likely to meet a lender’s credit requirements, but you may even qualify for a lower APR. When you look at the average car loan interest rate, borrowers with a 716 credit score average a 6.87% APR for a new car purchase and 9.36% for a used car.

Just remember that credit score isn’t the only factor lenders look at when evaluating an auto loan application. They also look at your income and DTI to determine how large of a monthly payment you can likely handle.

Your loan term also impacts your interest rate regardless of credit score. Shorter terms (up to 48 months) tend to have the lowest rates, while longer terms typically come with higher rates. Finally, the size of your down payment also impacts your rate.

If you want to qualify for the lowest auto loan rate possible with a 716 credit score, try to keep your outstanding debt low, maximize the amount of money you put down, and opt for a shorter loan term.

Can I Get a Mortgage With a 716 Credit Score?

With a 716 credit score, you can likely qualify for a variety of home loan programs and get a lower interest rate. You’ll still need to meet other lender requirements, including income and DTI limits. But your credit score shouldn’t hold you back when you’re ready to buy a home.

Check out the most common types of mortgages and their typical credit score requirements:

•   Conventional loans: Most lenders require at least a 620 credit score for a conventional loan. So with a 716, you’ll be nearly 100 over the minimum requirement. The minimum down payment is usually 3% or more.

•   FHA loans: There are two different credit score requirements for an FHA loan, and a 716 meets both of them. To qualify for a 3.5% down payment, you must have a 580 or higher, and for a 10% down payment, you need at least a 500.

•   VA loans: The government doesn’t set a minimum credit score requirement for VA loans. That’s left up to the lender. While many lenders like to see at least a 620, some may specialize in lower credit scores. Either way, veterans and military members with a 716 should qualify.

•   USDA loans: Borrowers with scores in the low 600s or less may qualify for a USDA loan; they may just need to provide a letter of explanation with their application. But for 716 borrowers who meet the income and location requirements, this can be a great mortgage option.

Can I Get a Personal Loan With a 716 Credit Score?

Based on credit score alone, you could qualify for a personal loan with a 716. A personal loan calculator can help you gauge what monthly payments look like for different loan amounts and interest rates, whether you’re looking to consolidate credit card debt or use the funds for other purposes.

If you are rejected for a personal loan even with a good credit score, consider these other factors that could impact your eligibility:

•   Low or inconsistent income

•   High debt-to-income ratio

•   Errors or incomplete information on application

Also pay attention to how many loans and credit cards you apply for in a short period of time. Each hard inquiry in a 12-month period can drop your score by as much as five points. Multiple credit applications could cause your 716 score to drop into the 600s, so get quotes with a soft pull before submitting a full application.

The Takeaway

Is a 716 credit score good? By and large, yes, it is. For many people, a 716 FICO Score helps them get approved for most types of financing, including auto loans, mortgages, credit cards and personal loans. However, keep in mind that a credit score is just one piece of information a lender considers. Other financial factors, such as income, debt-to-income ratio, and employment history, may also influence their decision.

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.

By Lauren Ward

When you’re applying for financing, most lenders view a 704 credit score as good. That means from a credit perspective, you’re likely to qualify for financing with better rates than individuals with lower scores. You do, of course, need to meet other financial requirements as well. Plus, there’s still some room for improvement, so keep reading to find out exactly what a 704 FICO® score means.

What Does a 704 Credit Score Mean?

A 704 credit score falls into the “good” category on a typical credit score range. It’s also in line with the average American’s credit rating. According to FICO, the credit scoring model used in most lending decisions, the average credit score in the U.S. is 717. VantageScore, another popular credit scoring model, cites its average score as 702.

As you can see, if you have a 704 credit score, you’re right in line with most other Americans. Still, there’s room for improvement. Here’s how FICO categorizes its scores so you can compare a score of 704:

•   Poor: Less than 580

•   Fair: 580 to 669

•   Good: 670 to 739

•   Very good: 740 to 799

•   Exceptional: 800+

How to Build Your Credit Score

If you have a 704 FICO Score, there’s a good chance you already qualify for a wide range of financial products. But taking steps to get an even higher score can help you qualify for better-quality financing products and lower interest rates.

Factors that impact your score include your credit utilization, payment history, credit history length, types of credit you use, and recent credit or loan applications. Find out which areas of your credit report need help in order to strategically improve your score as quickly as possible.

For example, if your payment history is less-than-stellar, you may want to consider setting up automatic bill payments so you never miss a due date. Or if you’re using too much of your available credit, try paying down balances.

Some free credit monitoring services may also offer tips on how to improve your score based on the information in your credit report.

What Else Can You Get With a 704 Credit Score?

With a 704 credit score, you’re well on your way to qualifying for multiple types of financing. But your score may affect your application differently depending on what kind of financing you’re looking for.

Here’s what to expect with a 704 credit score when trying to get a credit card, auto loan, mortgage, and personal loan.

Can I Get a Credit Card With a 704 Credit Score?

Each creditor has its own minimum credit score requirements. That said, your credit card approval odds are good as long as you have a score of 700 or higher. So with a 704 credit score, you’ll likely get approved.

However, remember to apply for cards strategically. With each application, a lender performs a hard credit pull that can lower your score by around five points. Inquiries can impact your score for a year and stay on your credit report for two years. If you have a 704 and apply for a few credit cards in a 12-month period, your score could drop below the 700 threshold and make it harder to qualify for a credit card.

Getting preapproved with a soft credit check gives you a sense of what kind of credit terms you qualify for without actually hurting your score. That lets you compare a few different options to see which cards offer the best APR, fees, and credit limits.

Can I Get an Auto Loan With a 704 Credit Score?

Can you get a 704 credit score car loan? Yes, a 704 is a good credit score for qualifying for this type of financing. In fact, there’s no minimum credit score for an auto loan. However, in addition to meeting credit score requirements, you’ll also need to showcase your ability to make your monthly payments along with a few other financial qualifications.

For instance, you must prove that you bring in a steady income, typically by submitting copies of recent pay stubs, W-2s or 1099s, or bank statements. If you’re self-employed, you may need to show your two most recent tax returns.

Lenders also look at your debt-to-income ratio (DTI). That means you can’t exceed the maximum ratio of debt payments compared to your income each month, including the new car payment. Generally speaking, lenders consider a DTI of 36% and below as good. That means all of your debt payments can only account for 36% of your pretax income each month. However, you may be able to qualify for a car loan with a higher rate.

Finally, depending on the lender, you may also need to provide a down payment. A larger down payment helps keep your payments lower and could help you qualify for better terms.

Can I Get a Mortgage With a 704 Credit Score?

A 704 credit score can get you a good mortgage rate. But as with an auto loan, your credit score isn’t the only factor mortgage lenders look at when evaluating an application. There are also multiple home loan programs that each have different credit score criteria. And lenders can implement even stricter minimums if they choose.

There are four main types of mortgage loans that most homebuyers choose from:

•   Conventional loans: This type of mortgage is the most common and has stricter requirements compared to federally insured mortgages. You typically need at least a score of 620 to qualify, so borrowers with a 704 should meet the credit requirement.

•   FHA loans: This government-backed home loan program has flexible credit requirements, but your score impacts the minimum down payment required. With a 704 credit score, you can make just a 3.5% down payment. Borrowers can still qualify with a score as low as 500, but will need to make a 10% down payment.

•   VA loans: This mortgage program is for veterans, military members, and surviving spouses. There is no specified credit minimum, but most lenders have a bottom threshold around 620, making it easy to qualify with a 704 score.

•   USDA loan: Like a VA loan, there are no specific credit score requirements for a USDA loan. However, eligible homes are restricted to designated rural areas and you must meet income requirements in order to qualify.

Can I Get a Personal Loan With a 704 Credit Score?

Whether you’re looking to consolidate credit card debt or fund a home renovation, a personal loan is likely within reach if you have a 704 credit score. Note that personal loans often come with cheaper rates than credit cards, especially if your score has recently improved.

As you weigh your financing options, use a personal loan calculator to estimate your monthly payments based on the loan amount, repayment term, and interest rate. If the rate is higher than you’d like, consider holding off on a formal application until your score has improved a bit.

The Takeaway

Wondering if a 704 credit score is good? In general, it is. With that score, you may get approved for most types of financing, including credit cards, mortgages, auto loans, and personal loans. Other financial factors, such as your income and debt-to-income ratio, could also impact a lender’s decision. If your score isn’t where you want it to be, consider taking steps to build it up. For example, be sure to consistently pay bills on time, avoid using too much of your available credit, and pay down balances on revolving debt.

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.