5 Min Read | Updated: October 15, 2023
Originally Published: November 30, 2020
Getting a perfect credit score is a notable financial goal. See what impacts your credit score – and what it takes to get a perfect 850 FICO score.
This article contains general information and is not intended to provide information that is specific to American Express products and services. Similar products and services offered by different companies will have different features and you should always read about product details before acquiring any financial product.
At-A-Glance
A small percentage of Americans have a perfect credit score, but it’s important to understand that perfect isn’t permanent.
Credit scores, by nature, are bound to fluctuate every so often.
Perfecting your credit score might not be necessary to get the best interest rates on credit cards and loans – excellent credit is typically good enough.
The average FICO credit score in America has been steadily growing since 2013.1 As of 2021, the average score stood at 714, which is considered good credit. But what about the elusive perfect credit score of 850? Though rare, it is possible to get a perfect score – but it can be a challenge to maintain. The good news is that you don’t need a perfect credit score to reap the benefits of having great credit. Let’s see what a perfect credit score looks like, why having excellent credit, for all intents and purposes, is good enough, and steps you can take that may positivelyimprove your credit score.
Is It Possible to Get an 850 Credit Score?
Yes. An Experian study found that as of 2021, 1.3% of all credit-holding Americans had a FICO score of 850.2 A perfect score generally requires years of exemplary financial behavior, like making on-time payments, keeping a low credit utilization ratio, and maintaining a long history of credit accounts. A wide credit mix and only a few hard credit checks also play a role.
But a perfect credit scorecan be as hard to maintain as it is to get. For example, if you pay off a loan in full – an admirable financial move that can free up your finances for savings and other purchases – you’ll decrease your credit mix, something that may negativelyimpact your score.And even if you maintain a wide credit mix for an extended period of time, it’s important to remember that your credit score is a snapshot of your credit history at any given moment and so is bound to fluctuate every so often.
What Do Perfect Credit Score Holders Have in Common?
It might be surprising to know that people with perfect credit scores do in fact use credit, take out loans, and carry debt. The distinguishing factor is how they manage their debt. One study found that Americans with perfect FICO credit scores tend to have more credit products in their name but carry less debt than those with average – yet still good –FICO scores.Specifically, perfect scorers had an average of 5.9 credit cards but only about $2,558 in debt, compared to the national averages of 3.9 credit cards and roughly $5,221 in debt, according to the same Experian study mentioned above.
The bottom line? Those with perfect credit scores tend to display their ability to keep debt down while having many credit accounts, among other positive factors that affect your credit score.
A Perfect Credit Score Might Not Offer Any Extra Benefits
Though a perfect 850 credit score is a commendable goal, good-to-excellent credit is typically high enough to ensure your chances of getting approved forcredit cards,loans, and mortgages with better interest rates and loan terms.
Still, the higher your credit score, the better your chances of locking in lower interest rates for certain types of loans – with one caveat. Lenders typically don’t distinguish between a score of 800 and 850. Some experts go as far as to suggest there may not be additional benefits for FICO scores beyond 760, indicating a score in the high 700s may, in many cases, be as good as perfect. FICO’s Loan Savings Calculator, for example, shows a score of 760 might secure you as low an interest rate on a loan as a score of 850.3
Tips for Maintaining a Healthy Credit History
Still, if you’d like to take steps to improve your credit, you may want to consider these healthy credit tips:
- Pay your credit card bills often. Instead of paying your statement once a month, some “800 club members” make credit card payments weekly to avoid carrying a balance.4
- Keep a solid payment history. Always pay on time and never miss a payment. Your payment history makes up 35% of your FICO score.5
- Consider your credit mix.Credit score companies like to see a wide variety of credit sources, like multiple loans and credit cards. But it doesn’t make sense, of course, to take on new loans if you can’t pay them back. And it’s not wise to avoid paying down debt just to keep the variety. Credit mix makes up only 10% of your FICO score and, in the run of a long life, good financial habits are typically more important than hitting 850.
- Increase your credit limit.The higher your credit limit, the easier it can be to maintain a lower credit utilization ratio, which can have a better impact on your credit score. Toincrease your credit limit, you can apply for a new credit card or ask for an increase. But make sure your finances can handle the increased limit – it’s more important to spend responsibly.
- Don’t close old accounts.If you can help it, keep old accounts open. One person with an One person with an 850 credit score noted his oldest account is over 30 years old, greatly increasing his length of credit history – which makes up 15% of your FICO credit score.6
- Regularly monitor your credit report. Check your credit reportoften, keeping an eye out for any errors that could be decreasing your score. Unauthorized hard inquiries, for instance, can cause score dips and signify fraud.
- Only open a new credit card when you really need it.Every time you open a new credit account, the credit issuer will make a hard inquiry. Since hard inquiries will drop your score a few points, keep this in mind when considering a new account.
FAQs for Getting a Perfect Credit Score
What is a perfect credit score?
An 850 FICO score is the highest you can get and is considered a perfect score. Only 1.3% of credit-holding Americans have a perfect credit score.
Does anyone have a 900 credit score?
FICO scores only go as high as 850. Some credit models can go as high as 900, including FICO Auto Score and FICO Bankcard Score models, though these are less commonly used.
Does anyone have a 850 credit score?
A report by Experian estimates that 1.3% of the scorable population has a perfect FICO credit score of 850.
How many people have an 800 credit score?
According to FICO, over 23% of the scorable population has a credit score of 800 or higher. This is up from just over 16% in 2005.7
Is 780 a good credit score?
A credit score of 780 is very good. Scores ranging from 670-739 are generally considered good, and scores ranging from 740-799 are considered very good.
The Takeaway
It’s certainly possible to get a perfect credit score, but even if you do, your score likely won’t stay at 850 forever. Common financial moves – like applying for new credit or paying off a loan in full – may cause a temporary dip in your score. However, good financial habits can help you to build a strong credit history over time.
1 “What Is the Average Credit Score in the U.S.?,” Experian
2 “The Elusive 850: Experian Reveals Traits of Consumers With Perfect FICO Scores,”Experian
3 “Loan Savings Calculator,”myFICO
4 “Getting Into the 800 Club Is Tough—Staying in Is Tougher,”The Wall Street Journal
5 “What is Payment History?,”myFICO
6 “This credit expert has a perfect credit score—here’s exactly how he does it,”CNBC
7 “Is 800 a good credit score? Here’s what to expect when you reach this number,”CNBC
Megan Doyleis a business technology writer and researcher whose work focuses on financial services and cross-cultural diversity and inclusion.
All Credit Intelcontent is written by freelance authors and commissioned and paid for by American Express.
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