630 Credit Score: Is It Good or Bad? (2023)

At a Glance

12.5% of Americans had credit scores within fair range as of April 2021. A credit score of 630 is considered "Fair" and is lower than the average credit score in the US. Your credit score is more significant because it influences whether you are approved for credit cards or loans and what the interest rate will be even if you are.

A 630 credit score is not typical, even yet it is in no way terrible. Due to this, some creditors might deny credit applications from customers with a credit score of 630 as having bad credit, while others might approve your loan but are likely to charge you excessive interest rates and fees. It is anticipated that over 27% of consumers with credit scores below the fair range will experience major future delinquencies.

Is 630 Credit Score Good or Bad?

Simply put, no. A credit score of 630 is neither superb nor exceptional but neither poor nor good. Well-known credit scoring algorithms classify a 630 credit score as average.

630 Credit Score: Is It Good or Bad? (1)

Reviewing your credit report, you can learn what factors contributed to your low credit score. You might begin establishing the foundation for a better score if you stop the actions that caused the decline in your credit score.

What Impacts your 630 Credit Score?

Your credit file, which contains information about your debt management history, is often utilized to determine your credit score. Your credit and bill-paying habits are reflected in the score. If you have strong credit habits, your score will climb; conversely, if you have negative or irregular habits, your score will drop. Several factors might affect your 630 credit score, including:

  • Public information
  • Credit Utilization Ratio
  • Late or missed payments
  • Length of credit history
  • Total debt and credit mix
  • Recent credit activity on your account

Public Information


If bankruptcies or other public records appear on your credit report, it can severely impact your credit score.

Credit Utilization Ratio


To determine your Credit Utilization Ratio, add up the balances on your revolving credit accounts and divide them by the total credit limit. For example, if your credit card has a limit of $10,000 and you owe $1,000, your Credit Utilization Ratio is 10%. It is recommended that you keep your Credit Utilization Ratio within 30% to avoid lowering your 630 credit score. Credit usage is responsible for about 30% of your credit score.

Late or Missed payments


Delinquent accounts, and late, or missed payments can harm your credit score. Making it a habit of paying your bills on time will help your credit score. It is the single biggest influence on your credit score, which accounts for 35% of your FICO score.

Length of Credit History


Along with other things, the length of your credit history is also a detriment to your credit score. The number of years you have been a credit user can influence up to 15% of your FICO score. NTC (New to Credit) users must be patient and careful to avoid destructive credit behaviours.

Total Debt and Credit mix


If you have multiple credit accounts, revolving and installment credit, then the FICO credit score will usually work in your favour. On the other hand, if you have only one credit account and your credit score is 630, it might help if you broaden your credit portfolio. The debt and credit mix make up 10% of your total FICO score.

Recent Credit activity


If you are someone who keeps applying for new loans and credit cards, your credit score might take a hit. Some companies trigger a check known as a hard inquiry when you apply for loans or credit cards. What happens during the hard inquiry is that the lender obtains your credit score to determine if you can get the credit line or not. Hard inquiries might drop your credit score by a few points, but it rebounds within a few months if you keep up with your credit card bills. New credit activity can account for up to 10% of your FICO scores.

630 Credit Score: Is It Good or Bad? (3)

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What does a Credit Score of 630 mean for your Life and Finances?

Even though a credit score of 630 is not that bad, there is room for improvement. Your life and finances will be impacted in several ways with a 630 credit score. If your credit score is 630, it will have an influence on your life and finances in some ways, including:

  • Personal loans with a high APR
  • High-interest rates or refusal to approve unsecured loans
  • Obtaining cell phone connectivity
  • Having trouble finding apartments
  • Cards with high-interest rates

Can you get a Credit Card with a 630 Credit Score?

Yes, you can apply for the Azpire Credit Builder Card to raise your credit score of 630. Obtaining a credit card with a credit score of 630 is manageable, but there is a big risk that the lender will charge you a high-interest rate and that other banks will deny your application. You don’t need to worry about the interest rate with Azpire. Even if you are a new to credit user, you can get a secured credit card like the Zolve Azpire Card (New to Credit). Applying for this secured credit card is one of the best things you can do to enhance your credit.

How to Improve your 630 Credit Score?

Your low credit score will eventually increase from 630 to a decent (670-739) rating with good credit habits and practise. The following are a few strategies that could aid you in raising your 630 credit score:

  • Paying your bills on time
  • Avoiding high credit utilization
  • Debt management plan
  • Credit builder loan
  • Use a secured credit card
  • Establish a credit mix

Paying your bills on time


The secret to improving your credit score is to pay your obligations on time. This is the best course of action if your credit score is 630 and you're looking for ways to improve it.

Avoid high credit utilization rate


Regardless of how many accounts you have, strive to maintain your credit utilization below 30% to prevent your credit score from declining.

Debt management plan


A debt management strategy may be useful if you're having trouble making your credit card payments. To develop a feasible repayment schedule, you must work with a non-profit credit counselling organization. Or consult a credit counselor to improve your 630 credit score.

Credit builder loan


These small loans are provided by some credit unions and are intended to help NTC users establish credit. If you continue to make the required payments, these loans aid in the development of your credit.

Apply for a secured credit card


A deposit equal to the entire credit limit is usually required for this, which often has a low credit limit of just a few hundred thousand dollars. The creditor reports to the three main credit bureaus your use of this card and prompt, consistent payments.

Look no further if you want to improve your 630 credit score by applying for a secured credit card.

Folks, meet the
Zolve Azpire Card

630 Credit Score: Is It Good or Bad? (4)

What is it?The Zolve Azpire card helps you build credit using your own money. It is a credit builder card that helps you start building your credit score from the first transaction. It is available to all, even if your credit score is 630.

We record every swipe of your Zolve Azpire Card, and by the month’s end, we add up all the transactions for the month and report it to the bureaus so that your credit score gets built for a better financial future.

Establish a credit mix


The FICO scoring algorithm favours users with many credit accounts and a range of loans, including installment loans like mortgages, auto loans, and home equity loans.

You may experience difficulty obtaining loans or credit cards if your credit score is 630. You should be aware of this and take action to raise your credit score as a result. If you improve your credit score from 630 to good (670-739), you might get more favourable conditions, reduced fees, and cheaper borrowing rates.


630 Credit Score: Is It Good or Bad? ›

Your score falls within the range of scores, from 580 to 669, considered Fair. A 630 FICO® Score is below the average credit score. Some lenders see consumers with scores in the Fair range as having unfavorable credit, and may decline their credit applications.

What can a 630 credit score get you? ›

What Does a 630 Credit Score Get You?
Type of CreditDo You Qualify?
Unsecured Credit CardYES
Home LoanYES (FHA Loan)
Personal LoanMAYBE
Auto LoanMAYBE
1 more row

Is 630 a good credit score to buy a car? ›

The short answer is yes, but you're likely to get a significantly higher-than-average interest rate.

Can I get a $20,000 loan with a 630 credit score? ›

Credit score: You'll generally need good to excellent credit (scores from 640 and up) to qualify for a personal loan, though some lenders also provide options for borrowers with poor or fair credit.

How to build credit with a 630 credit score? ›

Tips to work on your 630 credit score

Consider applying for a secured credit card. This type of card is backed by a cash deposit. Get a credit-builder loan or secured loan from a credit union. A credit-builder loan allows you to build your score and put away money for a goal at the same time.

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