Who Has a 473 Credit Score?

Credit scores often improve with age, a trend reflecting the time it takes to build a solid financial history. According to 2023 data from Experian, the average FICO score rises with each generation. Here is the breakdown by age group:

• Generation Z (ages 18-26): 680
• Millennials (ages 27-42): 690
• Generation X (ages 43-58): 709
• Baby Boomers (ages 59-77): 745
• Silent Generation (ages 78+): 760

Credit Cards With a 473 Credit Score

A credit score of 473 places you in the "poor" credit range, which can be a significant hurdle when applying for new credit. Lenders generally view scores in this range as high-risk, making it challenging to qualify for most conventional credit cards. Consequently, your options will likely be restricted to secured cards that require a cash deposit or specific unsecured cards tailored for individuals with bad credit, which often carry higher interest rates and fees.

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Kudos uses AI-powered tools to provide personalized credit card recommendations based on your specific financial needs and preferences. Its Explore Tool allows you to compare options from a database of nearly 3,000 cards, transparently matching you with the best fit for your situation.

Auto Loans and a 473 Credit Score

A 473 credit score places you in the deep subprime category, which means you will likely face some of the highest interest rates from lenders. While approval is still possible, the terms will be significantly less favorable, leading to much higher costs over the life of the loan.

• Super-prime (781-850): 5.25% for new cars, 7.13% for used cars
• Prime (661-780): 6.87% for new cars, 9.36% for used cars
• Non-prime (601-660): 9.83% for new cars, 13.92% for used cars
• Subprime (501-600): 13.18% for new cars, 18.86% for used cars
• Deep subprime (300-500): 15.77% for new cars, 21.55% for used cars

Mortgages at a 473 Credit Score

With a 473 credit score, your mortgage options are extremely limited, as this figure is well below the minimum for most lenders. According to current mortgage requirements, even the most accessible government-backed programs, like FHA loans, typically require a score of at least 500 with a 10% down payment. While some subprime lenders may exist, securing a loan with a score this low is highly improbable through traditional channels.

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If you were to find a lender willing to consider your application, the impact of a low credit score would be significant. You would face much higher interest rates, potentially costing you tens of thousands more over the loan's lifetime. Lenders would also require a larger down payment and subject your entire financial profile to intense scrutiny through a process called manual underwriting. Your choices would be severely restricted, and the loan terms would be far less favorable.

What's in a Credit Score?

Figuring out what goes into your credit score can feel like trying to solve a complex puzzle, but it generally boils down to a handful of key elements. The most common factors include:

• Your history of making payments on time is the most significant factor.
• How much of your available credit you're currently using, known as your credit utilization ratio, plays a major role.
• The age of your credit accounts, including the average age and the age of your oldest account, is also considered.
• Lenders like to see that you can responsibly manage different types of credit, such as credit cards and loans.
• Opening several new credit accounts in a short period can be seen as a risk and may temporarily lower your score.

How to Improve Your 473 Credit Score

Don't be discouraged by a 473 credit score; with consistent effort and the right strategies, you can significantly improve your standing. Meaningful changes are often possible within just a few months of positive financial behavior.

• Monitor your credit reports. You can obtain free reports from the major bureaus to check for any inaccuracies that might be holding you back. Disputing and correcting errors can remove negative items that are unfairly dragging down your score.
• Establish automatic bill payments. Since payment history is the most significant factor in your FICO® score, setting up automatic payments ensures you never miss a due date. This builds a positive track record, which is the foundation for recovering from a low score.
• Reduce your credit utilization ratio. Aim to use less than 30% of your available credit by paying down balances or even making multiple payments per month. This demonstrates responsible credit management to lenders and can have a major positive impact on your score.
• Become an authorized user. Being added to a credit card account of a trusted person with a strong payment history can be very beneficial. Their responsible credit habits can be reflected on your credit file, potentially giving your score a helpful lift.

The Kudos platform can act as your financial companion to help you manage your cards and monitor your score as you improve it.