Why A Credit Score above 800 is not worth It by William Lathrop

To get a credit score above 800, you will need to be disciplined in your spending and use of credit. It is something that is also going to take time. To be at this level of credit score, you will be one of the few top American consumers. But is it worth it to have a credit score this high?

The argument is sometimes made that a credit score above 800 is not needed. There are not real benefits to having a credit score this high. Consumers with these high scores are just grouped together in one large group of scores ranging from 760 to 850. Everyone in this group will get the same interest rates. Therefore getting a higher credit score has no real financial reward. For the most part it is true. Looking at sites like MyFICO.com you will find charts that show mortgage rates based on credit score. If you have a credit score above 800, you will not get a better interest rate than someone with a 790. That might be a bit disappointing.

The real reward might be in the form of a sense of achievement. You really are one of the top consumers in the nation. There is not that many people at the top and you are one of them. Even though there is little financial reward compare to a score in the high 700's, you will be able to know that you are doing the right things with your credit. Another aspect to consider is getting a score this high makes any drops will continue to keep you in the top group. A person who has a 770 or 780 and takes a drop in score means they will be in the lower group of credit scores. You are protecting yourself from changes and you have given yourself a buffer. Also, when standards of lending tighten such as today you are protected from not qualify for the best rates.

Also, having a score this high you will have the potential to give advice to others. Individuals that are trying to improve their credit scores will want to hear your story. They will want your advice. You can tell it to them. Actually, you might even be able to sell it to them.