Whether it is earning a 1500+ SAT score, spelling nearly every word correctly in the National Spelling Bee, or becoming one of the greatest basketball players of all time, there’s something fascinating about those who perform at the very highest levels possible. How do they do it? 

Along those lines, we are often asked the following question: What does it take to earn a very high (800+) FICO score? Or, at the very least, getting really close to that? Let’s take a look. 

Payment History

As we know, payment history is the largest factor in calculating your FICO score. Folks with credit scores over 800 (and especially the closer we get to 850), almost never miss payments. Some of them put due dates on their calendar (or pay as soon as they receive statements), while others set up some sort of autopay (so that even if they forget to make a payment, their computer doesn’t). 

They often monitor their credit accounts through a centralized platform like Mint.com. If, by some sort of mistake, one of these high-credit individuals ends up with a late payment on his or her report, they’ll make efforts to get it removed, whether through credit repair, or by convincing a credit issuer, to remove these late payments, as an act of goodwill.

Debt Utilization

Those with superior credit, manage their debts in a very smart, careful way. As we’ve discussed before, with credit cards, it is important to make sure that your overall credit card debt, is below 30% of your credit limit, while your debt on any single card, must also be below 30% of it’s limit. 

Those with the very best credit, go an additional step beyond this approach. According to FICO, those with over 800 credit scores, typically have under 7% utilization. They actually have several credit card accounts, and keep a small balance on one card (perhaps around 3-4% of the credit limit), while keeping $0 balance (paying off balances immediately), on other cards. Of course, they have to use their cards at least occasionally – otherwise the credit accounts will be closed. 

To enjoy the very best credit, there’s also a second part to the equation: A high credit limit. This shows that you are trusted by card issuers, and that your income is sufficient to manage your debts. Many credit card companies require verification of income, especially for large credit limit increases. 

So, at least one of those cards should offer a high limit (probably at least $10,000.00, although much higher is possible). How do you go about obtaining a higher credit limit? Simple: Always pay on time, keep your credit card debts low, and then ask for a limit increase. Keep in mind that requests for a credit limit increase usually result in a credit inquiry, so you’ll want to request these no more than once per year. 

Age Of Accounts 

The age of your credit accounts, makes up 15% of your credit score. To a large extent, a credit score over 800 is really a factor of age, since most folks with scores this high have at least one account which is 10 years or older. If you aren’t at least 35, it will be difficult (although not impossible) to achieve a FICO score over 800 right now, because you simply haven’t had credit for long enough. 

This doesn’t mean, of course, that you can’t work towards it. Try to avoid closing credit card accounts that you’ve had for a while, even if you don’t really seem to make use of them (instead, spend the minimum amount required to keep the account active). While you should have at least two credit cards (more like 3-4 is ideal), you should avoid applying for cards unnecessarily. Instead, let your accounts age, and your credit score continue to grow. 

Mix of Credit

An 800+ credit score isn’t just about credit cards, or large credit limits. In fact, if all you have are credit cards, you aren’t likely to enjoy over an 800, any time soon. Your credit mix, or having a range of different accounts, makes up 10% of your credit score. 

Instead, folks with premium credit will normally have at least one installment loan (i.e. a loan with a fixed amount, such as an auto loan, mortgage loan, or student loan). In particular mortgage loans are very helpful towards achieving the highest scores, since a mortgage is a long-term commitment, with a tougher approval process, and for a larger dollar amount. An auto loan, a student loan, or even a credit builder loan, can all work well, in moving you towards an 800.

Credit Inquiries

Having the best credit possible, means applying for credit occasionally (after all, to manage and maintain credit, you need to have some credit in the first place), but not too often. Remember, credit inquiries (also known as “hard pulls” count towards 10% of your credit score).  A score of 800 or higher, probably means that you won’t be applying for credit more than 3 to 4 times per year, possibly less (if you already have several credit card accounts, and perhaps a mortgage or auto loan, there might not be much reason to apply for credit at all).

The Final Word 

Achieving the best credit possible, requires attention, patience, knowledge and consistency. You need to monitor your credit, be aware of how your actions affect your credit, and be diligent, in terms of making payments on time, and keeping balances low. 

The benefits, however, are immeasurable. Besides bragging rights (and the personal satisfaction of knowing how special you are), you’ll have access to pretty much any credit card you’d like, and you’ll pay the very lowest rates on mortgages, auto loans, and much more. If you want to join the 800 Club, you now understand how it’s done. So, what’s stopping you?