Is A 610, 635, 640, 645, 650 Credit Score Good For Mortgage Or Car Loan?

If you are planning to apply for car or mortgage loan, it will be useful to know whether your credit score suits creditor’s requirements. In this article we will consider if 610, 635, 640, 645, 650 credit scores are good for mortgage or car loan. These rates are very common for US borrowers.

Your credit score affects the interest rates you will be offered when applying for any credit. For instance, getting a mortgage loan with an interest rate that is one point more will cost you additional $5.000 on 10 years mortgage (in average). This sum will grow significantly with the growth of mortgage term, 30 years mortgage will cost you additional $50.000 at the same rate.

At first lets consider wheather 610, 635, 640, 645, 650 credit scores are good for mortgage loan or not. Why creditors and loaners provide different rates for different credit scores? In such a way they compensate the risk they are opposed to when lending money to a client with smaller credit score.


A credit score is an indicator of person’s solvency. The lower it is, the less chances to get money back a lender has.

The statistics shows that borrowers with a credit score below 630 are risky for lenders. If they are qualified to get a mortgage loan, they will be offered much higher interest rate that will result in $50 – $250 of extra payment per month. That is why a 610 credit score is not good for mortgage loan. The average mortgage rate offered to them will be 8 – 9.5%, while the borrower with 650 rate will get 7% rate.

Having a credit score above 660 provides more opportunities to get beneficial mortgage rates and save thousands of money on payments. However, a credit score of at least 700 is considered to be a ‘good’ for mortgage loan. This is what you should understand.

The story with auto loans is pretty the same. The lower score means higher rates.


Is a 610, 635, 640, 645, 650 credit score good for car loan?

Everything above 700 is risky for car loan providers.

The rate between 620 and 700 is average. Having such a score you will need to consider lots of variants in order to find the most financially advantageous. Everything lower 620 is considered to be a problematic score in terms of interest rates.

Applying for a mortgage or a car loan is a serious financial step that should be well prepared. Consider using all possible ways to improve your credit score. It doesn’t always need some money spends, but it may help significantly in getting more beneficial interest rates.

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