Remember when 680 used to be considered a good credit score? If your rating was in this area, then you could probably qualify for the best rates on loans, credit cards, etc. But according to this article I just read over at SmartMoney, now you need at least a 720 to qualify for those same perks.
Frankly, I don’t really understand how credit scores are calculated and don’t pay attention to mine. All I know is that I pay my bills on time (ALWAYS) and don’t have a wallet full of credit cards that I never use. I probably don’t have a perfect score though, as I never carry a balance or incur extra fees and penalties. Of course lenders WANT people to carry a balance on their cards, so I doubt I’m viewed as desirable.
Anyway, if you’re interested in “how 720 became the new 680”, then click through to that SmartMoney article.