With both FICO® and VantageScore®, a credit score of 720 falls within the “good” category. This means that you can potentially qualify for any kind of loan – including a personal loan, auto loan, or mortgage – you want for relatively reasonable terms since your credit score indicates you are a historically low-risk borrower. You likely have a history of on-time payments, low credit utilization, a long credit history, a good credit mix, and fewer new credit accounts. With a 720 credit score, there is still room to improve for even better loan terms, but you’re on the right track.
How much money you can borrow against each type of loan depends on the lender you approach. It is always a good idea to first do your research on the best potential lender, find out their qualifying terms, and build towards those terms to get the best deals.
