It may be hard to imagine digging yourself out of $100,000 in credit card debt and boosting your credit score by 400 points. But it’s possible—just ask Lynnette Khalfani-Cox.
Khalfani-Cox boosted her credit score from the low 400s to a perfect 850 after spending three years paying down her debt. Now, the New York Times bestselling author teaches others how to do the same through her books, including the newly released “Bounce Back: The Ultimate Guide to Financial Resilience,” and her financial education platform, The Money Coach.
Although her credit score sits at 806 as of the last report date on Jan. 20, she says she still receives the same benefits as when she had a perfect 850.
That’s because Khalfani-Cox’s most recent score still places her in the “exceptional” credit score category. Here are the ranges Experian defines as poor, fair, good, very good and exceptional.
- Poor: 300 to 579
- Fair: 580 to 669
- Good: 670 to 739
- Very good: 740 to 799
- Exceptional: 800 to 850
But you don’t necessarily need to be in the 800 range to get the most favorable terms when you’re applying for something like a new credit card or personal loan, says Khalfani-Cox.
Over the past year, her score has fluctuated from 765 in February 2023 to 839 in August of that year to then 806 as of January 2024.
“My 800 or my 850 FICO score is not going to get me any better loan rates or terms than the person who has a 760 or 780 FICO score,” Khalfani-Cox tells CNBC Make It. “Once you’re in the perfect credit scoring range, banks are going to fall all over themselves to do business with you.”
How Khalfani-Cox stays in the ‘perfect’ credit score range
Since your payment history counts for 35% of how your credit score is calculated, Khalfani-Cox is sure to never miss a payment.
“I have a very long established credit history over 25 years,” she says. “I have an excellent payment track record and I never miss any payments.”
Additionally, Khalfani-Cox never uses up her entire credit limit, which helps her keep her…
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