Where a borrower has a VantageScore® of 860, out of a possible 990.

John Green is a real estate salesman based in Connecticut.  He earns a good salary plus some commission earnings.  He has a credit score of 860.

This score is considered Very Good and gives John a B rating. A number of factors affect the credit score, but with 860, this borrower would be considered a low risk by most lending institutions, which would conclude that he is capable of repaying debts consistently and on time. Such a borrower would receive lower interest rates and better terms than those with lower scores. The final overall terms of any credit or loan offering would also be dependent on his monthly income, monthly debt and John’s employment history.

The factors that led to this borrower being given a B rating and not an A could include the following observations, based on their credit report. Firstly, some of the accounts in the report may be too recent and have not been on record for a sufficient length of time for the required history of payment data to be obtained. It would help if these accounts were allowed to mature over time, which would result in an increased score. 

Secondly, a few of the revolving accounts may not have high enough credit limits and requesting increased limits from the lenders could eradicate this problem. 

Thirdly, the balances on those revolving accounts may be too close to the limits, so reducing the balances would also improve the credit score. Also if the account has recent collection agency accounts, it might lower the score and only the passage of time would help improve this particular issue. 

Finally, the account could simply have too many credit report inquiries, so it would help if John utilized the existing accounts and avoided trying to open new ones. This is especially true of credit card accounts.