Everyone knows that a bad credit score can prevent someone from getting approved for loans. When your credit score is low, chances are that you’ll be denied the loan even if a lender approves the loan, or you may be charged a higher interest rate.
Different lenders use different in-house guidelines, and what is considered a bad credit score varies. However, credit scores are created using FICO or Vantage Score Solutions. FICO scores range from 300 to 850, while Vantage’s numerical scale ranges from 501 to 990.
Whether you use FICO or Vantage score, higher scores can help you receive competitive financing offers from lenders. But how bad can a bad credit score be?