What is the average credit score in the United States? 690 is the correct answer. So, how near were you? It’s fine if you were a long way off. You need to know a few things before you can make an educated guess. You should be aware of the state of the economy. You should also be aware of the complete spectrum of credit scores.

A weakening economy, for example, might have a negative impact on credit scores. Yet, the current economic crisis has not had as great of an impact…yet. It’s probable that it will still have an impact on credit ratings, so do everything you can to keep or increase your score despite the slow economy.

Now for the credit score range. The highest possible score is 850, while the lowest possible score is 300. The average of those two values is 575, according to some simple math. That’s what the math says, but the average credit score in the United States is 690. This is due to the fact that, no matter how difficult things become, people continue to do their best to pay their payments on time. It’s because of the American spirit and the desire to maintain one’s word. Whatever the case may be, the actual average of 690 is much higher than 575.

Lenders who do not specify the cutoff point for different loan terms create even more confusion. Not to mention that these points are subject to alter at any time for a multitude of reasons. For example, while you might have been able to secure a reasonable loan with a credit score of 680 (10 points below average) three years ago, getting the same terms today would be tough.

So, what type of score do you need today to get the finest terms? Again, each lender is different, but in general, you’ll need a credit score of 720 or higher to receive the best rates. That’s a big jump from 680 and 30 points over the national average. Lenders may have stricter rules because the economy is affecting them as well, or because they view everyone as a larger risk than they did before. Of course, it doesn’t matter what the cause is if you can’t receive the best credit terms or if you can’t get a loan at all.

You should also be aware that each state has its own credit score average. This implies that lenders in each area have different figures to work with. Iowa, Minnesota, New Hampshire, Massachusetts, Vermont, Montana, North Dakota, and South Dakota are among the states with an average score of 700 or higher. Louisiana, Texas, West Virginia, Georgia, Michigan, Alabama, North Carolina, Nevada, New Mexico, Alaska, and Arizona have the lowest averages (about 660 to 670).