Key takeaway: For many credit-scoring models, credit scores below 600 are generally considered “bad” or “poor,” which means you may still be approved for loans or credit cards, but you’ll likely face higher interest rates and less-favorable terms.
A credit score of 600 or lower is generally considered to be a “bad” or “poor” credit score, but the exact range for bad credit scores depends on the scoring model.
You have many credit scores, each one backed by a unique scoring model. While some credit scoring models share the same credit score ranges, some of them categorize those ranges differently. Your lender may also have its own criteria for what they consider to be a bad score, regardless of what your scoring model says.
Credit Karma provides free VantageScore® 3.0 credit scores, plus free credit reports, from TransUnion and Equifax. If you’re not sure whether your VantageScore® 3.0 score is considered “bad,” you can log into Credit Karma and check.
If your credit scores are low, you’ll likely have trouble qualifying for the best loans and credit cards. If you do qualify, the terms and rates may not be favorable. Let’s break down what a bad credit score really means and how to improve your scores if they’re low.
- What is considered a bad credit score?
- What factors affect your credit scores?
- What happens if you have a bad credit score?
- How to improve a bad credit score
- Next steps: Check your credit reports
- FAQs about bad credit scores
What is considered a bad credit score?
Your credit scores can be different depending on the credit reports and scoring model used to calculate them. So, what does a bad credit score look like for each model? Let’s take a look at a few popular examples.
What is a bad FICO credit score?
FICO base credit scores have a range of 300 to 850, while industry-specific FICO scores have a range of 250 to 900. If you have a base score below 580, you’re in the lowest FICO credit score range — called “poor.” Having a credit score in the poor range is often what people mean when they say “bad” credit score. Industry-specific FICO ranges are categorized similarly, but they may vary based on the exact scoring model being used.
Being in this range means that your FICO credit score is well below the average score for U.S. consumers, according to FICO.
Here are all five base FICO score ranges:
- Poor: 300 to 579
- Fair: 580 to 669
- Good: 670 to 739
- Very good: 739 to 799
- Excellent: 800 to 850
See where you can check your FICO scores for free.
What is a bad VantageScore credit score?
Like FICO scores, VantageScore uses a range of 300 to 850. Below are the VantageScore® 3.0 and 4.0 ranges.
- Poor: 300 to 600
- Fair: 601 to 660
- Good: 661 to 780
- Excellent: 781 to 850
What is a bad score for a mortgage?
Lenders don’t generally say what scores they consider bad, but certain loans do have guidelines in place for minimum qualifying scores. Here are the minimum credit score guidelines for a few common mortgage loans:
| Loan type | Minimum credit score |
|---|---|
| FHA | 500 (with 10% down payment) 580 (with a 3.5% down payment) |
| Conventional Loans | Varies by lender, but many of them set minimums of about 620. |
| USDA Loans | No set minimum, but a score below 640 triggers additional credit profile reviews and verifications. |
Just because there are minimum score guidelines in place, however, doesn’t mean a lender will approve an application with that low of a credit score. Your lender likely has its own guidelines in place that could be higher.
What is a bad score for an auto loan?
There is no minimum credit score for securing a car loan. Each auto lender sets its own minimum credit score requirements.
However, higher credit scores mean you’re more likely to be approved and receive favorable terms. Experian’s State of the Automotive Finance Market report for the third quarter of 2025 shows that nearly 94% of all auto loans for new cars went to borrowers with a VantageScore 4.0 credit score above 600:
| Credit score range | Percentage of new car loans |
|---|---|
| 300–500 | 0.48% |
| 501–600 | 5.78% |
| 601–660 | 11.24% |
| 661–780 | 35.81% |
| 781–850 | 46.68% |
What factors affect your credit scores?
Your FICO and VantageScore credit scores are affected by similar credit score factors. Here’s a breakdown of what they are:
- Payment history: This is the most important factor to your credit scores. It tracks whether you consistently pay your bills on time.
- Credit utilization: This looks at how much credit you’re currently using on revolving accounts like credit cards compared to your overall available credit and is included in FICO’s “amounts owed” category. A high credit utilization could lead lenders to think you’re overextended and might not be able to afford more debt.
- Length of credit history: This factor measures the average age of all of your accounts, as well as the ages of your newest and oldest accounts. For VantageScore models, this is part of the “depth of credit” category.
- Credit mix: This shows the different types of credit accounts you have, such as credit cards and auto loans. You don’t need one of each to successfully build credit, but lenders typically like to see that you can manage different types of accounts. This is also part of VantageScore’s “depth of credit” category.
- New credit: This section tracks how many credit accounts you’ve recently applied for or opened by looking at the hard inquiries on your account. Opening too many accounts in a short timeframe can hurt your scores.
What happens if you have a bad credit score?
Having bad credit scores doesn’t mean you’re a bad person, but it can make certain aspects of your financial life harder. Here are some examples:
- You may not have access to the loans and cards you want. Many of the best products on the market are only available to people with good to excellent credit.
- You may be offered unfavorable terms by lenders. If you are offered a loan or credit card, you likely won’t be offered the best terms available. You may have to pay additional fees, for example, or have a higher interest rate than someone with strong credit.
- Your insurance premiums might be higher. Home and car insurance providers can use credit scores to determine how high your premiums should be. If you have bad credit, you might have to pay more for insurance.
- You might have a difficult time getting approved for a rental property. Some landlords may check your credit scores and reports before agreeing to rent you a property. Lower credit scores can cause a landlord to deny you or charge you additional upfront costs.
- You might be turned down by a potential employer. While employers can’t check credit scores, they can sometimes check modified versions of credit reports, depending on state laws. The same negative information on a credit report that contributes to low scores is typically visible to potential employers, and they could decide whether this information affects their hiring decision.
How to improve a bad credit score
The good news is that it’s never too late to improve your credit scores. You can start by following these steps:
- Pay your bills on time, every time. Payment history is the most important factor in credit scoring, so ensuring you make timely payments each month is key.
- Keep your credit utilization low. Paying down your balances lowers your credit utilization ratio, which is better for your credit scores. Experts typically recommend keeping your credit utilization ratio below 30% each month.
- Avoid taking on new debt or opening new accounts. If you’re struggling to manage your current debt, adding new accounts to the mix could make it harder for you to focus on building credit. If you are trying to rebuild your credit after closing old accounts or dealing with an event like bankruptcy, consider starting with a secured credit card or credit-building account.
Next steps: Check your credit reports
With so many ways that your credit reports and scores can influence your life, it’s important to keep close tabs on both and take quick action when you notice any mistakes.
Credit Karma provides free credit reports and VantageScore® 3.0 credit scores from TransUnion and Equifax, two of the three major credit bureaus. By regularly checking your credit reports, you can make sure there are no errors dragging down your scores. If you do find any errors, you can dispute them.
Credit Karma also offers credit monitoring services and can alert you to changes in your credit reports, such as new hard inquiries. By keeping an eye on your scores and reports as you rebuild your credit, you’ll be able to track your progress.
Want to know more about your exact credit scores? Learn what your score means: 300 320 340 360 380 400 420 440 460 480 500 520 540 560 580 600 620
FAQs about bad credit scores
A credit score below 700 is not necessarily considered “bad,” but it depends how far below 700 the credit score falls. For example, a credit score that’s right around 700 is likely to fall into the “good” category for both FICO and VantageScore credit score ranges, but a credit score that’s around 500 will be in the “poor” category.
Lenders have their own criteria for what they consider to be good credit scores, however, so even a score in the good category might not be enough for some loans or credit cards.
To find out whether you have bad credit, start by checking your credit scores and reports. Looking at your credit reports alongside your scores can show you whether you have derogatory marks like late payments that are hurting your credit scores.
In general, bad credit may be viewed less favorably than having no credit — though it depends on your lender. Having no credit history implies that you don’t have much — if any — experience with credit.
Bad credit history, on the other hand, could imply that you’ve made credit mistakes in the past that have resulted in a lower score.