What is the lowest credit score?

Most credit scoring models follow a scoring range of 300-850 with 300 being the lowest and 850 being the highest. Within the different FICO® score categories, any score between 300-579 is considered very poor.

According to Experian® data, about 16% of the American population has a very low credit score. Possible reasons for this could be public information such as bankruptcies, defaulted loans, or foreclosures being recorded in your credit report. A history of late or missed payments and having a high credit utilization rate lower your credit score considerably. Both these factors put together contribute to 65% of your credit score. So the reason for poor or very poor credit scores could include continuously missed payments while maxing out one’s credit card(s).

One simple but effective way to avoid negative scoring or improve your credit score is to never miss payments and keep your credit card balance as low as possible, preferably below 30% per credit card.