By CreditNinja Reviewed by Matt Mayerle
Modified on March 8, 2024

A 650 credit score is generally considered to be a fair credit score, although below the average.

According to FICO, the average credit score in 2023 was 718.

Consumers with a 650 score may still have decent lending options available to them, as it’s not seen as “bad” by FICO or VantageScore. However, you may have to spend time comparing lenders to find the best interest rate and terms with this specific credit score.

Key Takeaways for a 650 Credit Score

Overview of Your
Credit Rating

A 650 credit score is a fair credit score. You might not qualify for all loans, but you may still qualify for secured loans, such as a mortgage, car loan, certain personal loans, and more!

Borrowing Options With a
650 Credit Score

If you need emergency cash, consider applying for bad credit loans. These loans are meant for people who don’t have a good credit score and have trouble qualifying for traditional loans. 

Improving a 650
Credit/FICO Score

Pay all of your monthly bills on time and work on paying down any existing debt. You can also sign up for a secured credit card or credit builder loan to start building a better credit score.

Is a 650 Credit Score Good?

A 650 score is decent and can help borrowers get quick financing for unexpected emergencies. This score is on the lower end, but there are still lending options available to you. Check out all of the helpful products and tools you may still qualify for below:

What Can You Get Approved for With a 650 Credit Score?

There are a few different loans and credit cards you can qualify to get with a 650 score. You don’t have to settle for predatory payday loans just because your score is on the lower end of the scale. Below are a few examples of loan options for people with fair credit scores. 

Personal Loans

A personal loan is an installment loan that borrowers can use for all types of expenses. Lenders provide a lump sum that is paid off in monthly installments over a few months or years. The average loan amount for all personal loans is between $2,000 and $25,000. Personal loans are typically unsecured, so eligibility is based on the borrower’s creditworthiness

If you have a fair credit score, you may be eligible for an online personal loan if you have recurring income. If you are self-employed, you could still qualify if the lender accepts alternative sources of income, such as invoices or tax returns.

Bank Loans

Borrowers with decent credit scores may be able to qualify for bank loans. Bank loans may offer fewer loan fees and lower APRs. However, the minimum credit score requirements can be quite high, and the approval process may take longer than for an online loan. 

Credit Cards

A credit card is a useful financial tool that allows borrowers to continuously borrow funds and repay them. There are many credit card options available if you have a 650 credit score. However, you may not get a significant credit limit or the best rate.There are also secured credit cards that allow you to build credit while making purchases. 

Here are some of the best credit cards for a 650 score:

  • First Progress Platinum Elite Mastercard® Secured Credit Card
  • OpenSky® Secured Visa® Credit Card
  • Capital One QuicksilverOne Cash Rewards Credit Card®
  • Credit One Bank® Platinum Visa® for Rebuilding Credit
  • Discover it® Student Cash Back

Car Loans

A car loan can help qualified individuals buy new or used vehicles. A 650 score may be sufficient to get a decent car loan offer. But ensure you compare multiple lenders to get the best rate and use financial calculators to determine how much the total loan cost will be. You may find that a shorter repayment schedule can help you save hundreds on interest.


Products to Help Improve a 650 Credit Score

There are several products available that can help you maintain and improve good credit. Take a look at some helpful products down below. 

Credit Monitoring

Monitoring your credit often can help you keep an eye on your improvement progress and detect any suspicious activity. Borrowers can view their credit score by looking at their monthly credit statements, using a credit score service, or through their bank. 

Budgeting Apps

A budgeting app can help borrowers keep track of their monthly expenses. Once you see where your money goes each month, it’s easier to know what expenses to cut and how to save money. There are plenty of free apps available, such as YNAB, Goodbudget, and PocketGuard. 

Automatic Payments

Signing up for automatic payments can help you avoid late charges and a lower credit score. By signing up for autopay, the monthly amount is automatically deducted from your debit or credit card on the due date. Just ensure that you have sufficient money in your account to cover the scheduled payment. 

Benefits of a 650 Credit Score

Here are some of the benefits of a 650 score:

May Qualify for Several Financing Options

The benefit of a 650 score is that it is not bad, which means you may be able to get loan offers with decent terms. By researching lenders and comparing loan offers, you can find the best loan for your current financial situation. 

You Have a Good Credit File

Many consumers are credit invisible, which means their credit file is thin and a credit score cannot be generated. But with a 650 score, you are in a perfect position to qualify for certain loans and improve your credit further by making timely payments. 


How to Improve Your 650 Score

Here are a few ways to maintain your fair score:

Avoid Risky Quick Fixes

A credit repair company usually requires a large upfront fee for mediocre results. Remember that obtaining a good credit score takes time. If you need help organizing your finances or establishing a debt repayment plan, look for a reputable non-profit credit counseling organization. 

Check for Credit Report Errors

It’s not unusual to find errors on your credit report. According to the American Bankruptcy Institute, about 13% of the entire national population has mistakes on their credit reports. Wrong balances, incorrect payment dates, and other errors can damage your credit score. 

Remember to request your free annual credit reports from the three major credit bureaus and review your information for inaccuracies. If you find an error, you can file a dispute with the credit reporting company or companies.

Make Timely Payments

Your payment history counts for 35% of your FICO Score. By making all of your monthly payments on time, you can steadily increase your credit score and improve your payment history on your credit reports over time. However, making late payments can result in a lower score and late fees. To avoid late or missed payments, consider signing up for autopay or payment alert text messages. 

Improve Credit Utilization Management

Credit utilization is the amount of available credit you have compared to your debt, and it makes up 30% of credit scores. If you have a lot of outstanding debt, you may have a lower credit score and experience difficulty qualifying for loans. 

But you can quickly pay off existing debt and increase your available credit by:

  • Establishing a monthly financial plan
  • Consolidating debt
  • Paying more than the minimum
  • Reducing monthly expenses.

Focusing on debt repayment can help you obtain a good credit score and credit history.  

Become an Authorized User

An authorized user is someone that is added to an existing credit card account but is not responsible for repayment. Authorized users can benefit from the primary borrower’s timely payments without actually using credit limits. But remember that if the primary borrower misses a payment, it will also reflect badly on your credit history. 

Be Cautious with New Credit

Applying for new credit can decrease your credit score by as much as 5 points. If you are trying to improve your 650 credit score, try to avoid applying for new credit accounts unless absolutely necessary. But if you need money for an unexpected emergency, make sure that the repayment terms are manageable for your budget. 

FAQs About 650 Credit Scores

Your credit utilization ratio plays a big role in your credit score. With a 650 score, keeping your credit use low can really help. This ratio shows how much of your available funding you’re using. Lenders like to see it under 30%. So, if you can, try to pay down those credit card balances.

There are different credit scoring models out there, like FICO and VantageScore. Each has its own way of calculating scores. With a 650 score, one model might view you more favorably than another. It’s a good idea to check which model your lender uses and understand how it works. This knowledge can help you better prepare for your loan application.

Definitely! While a 650 credit score is considered fair, you still have options. Some lenders specialize in loans for people with your credit score. Plus, if you have other strengths like a stable income or low debt-to-income ratio, you might still snag a loan with decent terms.

What Interest Rate Can I Get With a 650 Credit Score?

Borrowers with fair credit scores typically get loan offers with higher interest rates. Lenders charge higher rates on unsecured loans to lower the financial risk. That’s why it’s critical to avoid settling for the first loan offer you get. It’s in your best interest to inquire with multiple lenders and compare rates. But suppose you raise your credit after taking out a car loan. In that case, you could refinance to get a new car loan with lower interest rates. 

Can I Buy a House With a 650 Credit Score?

Borrowers with 650 credit scores may be able to get a mortgage to buy a home! Learn about some mortgage loan options for lower credit scores below. 

  • Conventional Loans — Fannie Mae and Freddie Mac both require a minimum credit score of at least 620. If your credit score is 650, you could qualify for a conventional loan to buy a real estate property.
  • FHA Loans — The Federal Housing Administration offers mortgages with flexible qualification requirements for first-time home buyers. The minimum credit score needed to get an FHA loan through most lenders is 580.
  • VA Loans — The Department of Veterans Affairs backs mortgages to help eligible veterans, surviving spouses of veterans, and active members in the armed forces purchase homes. A VA loan does not require a specific credit score minimum or down payment, but you must meet specific standards to qualify.
  • USDA Loans — The United States Department of Agriculture backs USDA mortgage loans. Most lenders will require a 640 credit score, but the minimum credit score requirement varies.  

To better understand what loans and credit products you can get with a 650 FICO Score, check out this helpful guide:

Borrowing Aspect

Expectation for a 650 Credit Score

Approval Likelihood

Moderate to High

Annual Percentage Rate (APR)

Generally Higher

Loan Options

Secured Loans (e.g., Mortgages, Car Loans), Personal Loans, Bad Credit Loans

Loan Terms

Varies, but may have less favorable conditions

Credit Limits

Moderate, depending on lender’s policy

Interest Rates

Higher compared to those with excellent credit

Fees and Penalties

Potentially higher fees and penalties

Mortgage Options

Possible, but with higher interest rates and possibly higher down payments

Auto Loan Conditions

Approval likely, but with higher interest rates

Credit Card Offers

Limited, often with higher interest rates and lower limits

Top 5 Resources for a 650 Credit Score

Related Credit Scores

630  639  640  642  645  655  660  665  670  675