Excellent credit puts you at the top of the credit food chain. You’ll have full access to the best, quickest, and least expensive credit available. And it can be a big help if you’re applying for a job or insurance policy since both also rely on your credit history in making a determination about your acceptability.
If you have excellent credit, it’s clear you’re already doing everything right. For that reason, I’ll avoid most credit advice, and instead focus on loan opportunities available to you. Rest assured, there are plenty!
Overview of the best emergency loans for excellent credit
Lender Best for APR Term
Fiona Getting quotes quickly Varies by lender 6 to 144 months
Monevo Wide range of lenders 1.99% - 35.99% APR 12 months - 144 months
Marcus No fees 6.99% - 24.99% APR. Reduce your APR by 0.25% with AutoPay 3-6 years
Credible Personalized loan quotes starting at 5.40% APR (with autopay), See Terms* 1 to 7 years
SoFi Unemployment protection starting at 7.99% APR (with autopay discount) 2 to 7 years
Payoff Debt consolidation 5.99% APR to 24.99% APR 2 to 5 years
Prosper Next-day funding 7.95% to 35.99% APR 3 to 5 years
Reali Loans Mortgage loans Varies based on market 15 or 30 years
The best lending sources for people with excellent credit
Excellent credit means virtually unlimited loan options. You’ll be entitled to the best pricing and terms available in all loan categories. Even so, some loan sources are better than others.
With excellent credit, it is usually to your advantage to get many lenders competing for your business. You can do this with a loan aggregator. Those are online platforms that many lenders participate in. You complete a brief application, and lenders send you loan offers. You can pick the one that works best for you.
Check with your bank or credit union, and then try the aggregator to see if you can get a better deal. The most popular aggregators include Fiona, Monevo, and Credible.
- Fiona shops around to find the best deal on a personal loan to help you save money, and their quick no-obligation application gives you quotes quickly so you can pick the best terms for your loan.
- Monevo casts a wide net for its quotes, gathering rates from up to 30 different lenders in only 60 seconds. Simply enter your desired loan amount, the intended purpose, and your estimated credit score to get your rates.
- Marcus by Goldman Sachs® is another personal lender to consider. With Marcus, you can apply for no-fee personal loans from $3,500 to $40,000. Marcus gives you a fixed APR for the life of your loan and rates range from 6.99% - 24.99% APR. Sign up for autopay and save up to 0.25% APR on your interest.
- Advertiser Disclosure - We do not feature every company or financial product available on the market.
- Credible, another popular loan aggregator, gives you quotes after just inputting some basic information with their quick application. This way you can compare rates with Credible’s online marketplace and get an idea of what you can expect to pay in real-time.
To get a sense of what loans you qualify for, you can also check out some of the lenders available in your area:
Personal loan lenders
If you have excellent credit, you may want to shop for some lenders specializing in personal loans. Here are a few to consider:
- SoFi issues low-fee loans of up to $100,000 through an easy online application process. Rates are as low as 7.99% APR, and terms are available from two to seven years. One of the best things about SoFi, though, is its unemployment protection. If at any time during your loan term you lose your job, SoFi will let you pause your payments (12 months max) and even provide resources to assist in your job search.
Peer-to-Peer (P2P) lenders
Generally speaking, excellent credit means you won’t need to turn to P2P lenders. Their rates probably won’t be as good as what you will get at a bank or credit union. More important, P2P lenders charge loan origination fees, ranging from 1%-6% of the loan amount. But they do provide unsecured personal loans of up to $40,000 for any purpose.
However, the main reason for using a P2P when you have excellent credit is for business loans. You can get an unsecured personal loan at a low rate, based on your excellent credit. You probably won’t be able to do this at a bank or credit union, because they don’t like to make loans to small businesses. P2P loans can be particularly beneficial with a new business since you will not be required (nor able) to prove the financial viability of a business that hasn’t even been launched yet.
The most popular P2P lenders include Payoff and Prosper.
- Payoff promotes itself as a great alternative to credit cards. Move your balances over and pay one monthly payment, possibly at a lower interest rate. Loan amounts range from $5,000 to $40,000, with interest rates from 5.99% APR and 24.99% APR with terms from two to five years. There may be loan origination fees of up to 5%, but there are no application or late fees.
- Prosper will loan up to $40,000 to qualified borrowers, with loans available in as little as one business day. You can get a quote in minutes by answering a few simple questions and, if you want to proceed, complete the entire application process online. Once the application process is finalized, you can see the money in your account as early as the next day. As with Payoff, you will pay origination fees. Prosper’s origination fees range from 2.41%-5% of the loan amount.
Other types of loans for excellent credit
Banks and credit unions
With excellent credit, you’ll have your choice of banks and credit unions to borrow from. All will want your business – it’ll just be a matter of who will provide the best combination of interest rates and terms.
Credit unions are probably the better source because they are owned by their members and operate as non-profits. As a result, you’ll usually pay a lower rate of interest.
However, if you have excellent credit, and substantial assets on deposit with a bank, you can often get preferential rates and loan terms. It’s common for banks to offer special financing arrangements for preferred customers. You should always check with your bank first, before going to any other loan sources.
Home equity loans
With excellent credit, you’ll get the best terms with the lowest interest rates on these loans. They can either be outright loans, or home equity lines of credit (HELOCs). Either is likely to have rates that are lower than what you can get on other loan types since they’re secured by your house. You can also generally get higher loan amounts, particularly if you have substantial home equity.
There are some caveats with these loans, and they can be found in the “fine print”. Read it carefully, and be aware of all provisions.
Here are a couple of reputable options:
- Figure offers interest rates as low as 4.49% APR¹ which includes a 0.50% discount for opting into a credit union membership (0.25%) and enrolling in autopay (0.25%). This rate also includes payment of an origination fee in exchange for a reduced APR, which is not available to all applicants or in all states. You’ll have approval in a few minutes, with funds available in just five business days.
- Hometap lets you access your home equity without taking on extra debt. Hometap gives you up to 15% of your home’s current value now, and then when you’re ready to sell, it takes its share of the profits. You can also buy out Hometap at any time.
Credit cards for people with excellent credit
When you have excellent credit, you’ll have your pick of the best credit card offers available. In fact, you’re probably getting multiple credit card offers on a regular basis. Lenders have access to databases showing who has excellent credit. They’ll take full advantage, and bombard you with offers.
And with your excellent credit, you’re in a position to select the very best offers available.
Here are a few of the best credit cards for people with excellent credit:
The Chase Freedom Flex℠ offers a 0% Intro APR on Purchases for 15 months and 0% Intro APR on Balance Transfers for 15 months. After the introductory period, your APR range will be 19.74% - 28.49% Variable with a $0 annual fee.
The Chase Freedom Flex℠ offers 5% cash back on up to $1,500 in eligible purchases in bonus categories each quarter you activate, as well as 5% cash back on travel purchases when you book through Chase Ultimate Rewards®. Cardholders can also earn 3% back when dining or visiting drug stores and 1% cash back on all other purchases.
Plus earn a $200 bonus after you spend $500 on purchases in the first 3 months from account opening.
The Citi® Diamond Preferred® Card offers an introductory 0% for 21 months on Balance Transfers from date of first transfer and 0% for 12 months on Purchases. After the intro period, cardholders can expect an ongoing APR of 17.99% - 28.74% (Variable) on purchases made with the card.
Another benefit of the Citi® Diamond Preferred® Card is that you’ll pay no annual fee. You’ll also get all the benefits that come with Citi® cards, including purchase and identity theft protection, automatic account alerts, and flexible payment dates.
If you’re using the Citi® Diamond Preferred® Card to consolidate existing debt, a 5% of each balance transfer; $5 minimum.Card info has been collected by MoneyUnder30 to help consumers better compare cards. The financial institution did not provide or approve card details.
Getting an auto loan with excellent credit
With excellent credit, you’ll have absolutely no trouble getting an auto loan. You can apply with any bank, credit union, or dealership-related lender, and get approved with the best rates available. Or, you can check out Fiona.
As a personal strategy, it’s best to apply with your own bank or credit union. Credit unions in particular tend to offer the lowest auto loan rates since they’re member-owned. At a minimum, apply for an auto loan with a credit union, then bring the loan approval to the car dealership. See if they’ll make you an even better offer. They may not be able to, but it’s always worth the effort.
Your excellent credit will not only ensure a speedy approval, but you’ll also be able to get the best terms. That may include 100% financing – if that’s what you choose – and a loan term as long or short as you prefer.
You’ll definitely be in a preferred position when it comes to interest rates. Take a look at our auto loan calculator to see what kind of rate you can get.
Getting a mortgage with excellent credit
There may be no single loan type where having excellent credit can save you more money. Mortgage lenders will provide loans for people with credit scores as low as the 580 to 620 range. But the higher your credit score, the lower your interest rate will be.
And for what it’s worth, there really isn’t any significant difference in the interest rate you pay from one company to another. They all sell their loans under the same programs – FHA, VA, Fannie Mae, and Freddie Mac. Your credit score will have a much bigger impact on the rate than the lender you apply with.
Reali Loans is a great way to test the waters before you start shopping around. You can get pre-approval for a mortgage by providing pay stubs and downpayment information. You’ll be provided quotes from multiple lenders, and you can use the information to choose the best rate. Most importantly, the pre-qualification process doesn’t affect your credit score.
Check out our mortgage calculator to see what kind of rate you can get.
The hidden benefit of excellent credit with mortgages
If you know much about mortgages, you’ve probably at least heard of private mortgage insurance, or PMI. But here’s a not so surprising fact – PMI premiums are also based on your credit score. In fact, the impact is even greater than it is with mortgage rates themselves, at least on a monthly basis.
Let’s work an example based on two credit scores.
For this example, I’m going to be referring to the MGIC Rate Card for PMI premiums. MGIC is one of the largest PMI providers in the nation.
Let’s say you’re purchasing a home for $400,000. You’re going to make a down payment of 5% – $20,000 – and taking a 30-year fixed-rate mortgage for $380,000. Put another way, you’ll be taking a mortgage equal to 95% of the purchase price. And that means PMI will be required.
If you have average credit, 680 to 699, the annual premium will be 1.08% with 30% coverage. That will result in an annual premium of $4,104, which will translate into a monthly premium of $342. That amount will be added to your basic mortgage payment, plus your property taxes and homeowner’s insurance.
By contrast, if your credit score is at least 760, the annual premium rate on the same loan drops to 0.41%. On a $380,000 mortgage, the annual premium is $1,558, or about $130 per month.
Adding up all the mortgage savings from excellent credit
Because of your excellent credit, you’ll save $212 per month, or $2,544 per year, just on your PMI premiums. When you consider you’ll be paying those premiums for several years, that can really add up. Over 10 years, that’s a difference of $25,440.
When you add the PMI savings to the money you’ll be saving from your lower interest rate on the mortgage itself, it adds up to tens of thousands of dollars.
This is why excellent credit is especially important when you’re applying for a mortgage, and particularly when you’re making a minimum down payment.
What’s the definition of excellent credit?
As was the case in our articles on fair and good credit (see below), I’m going to rely on the Experian definition of excellent credit.
Experian breaks excellent credit into two categories – very good and exceptional. But either qualifies as excellent with the vast majority of lenders.
Very good includes a credit score range between 740 and 799. 18.2% of the population falls into this category. Exceptional includes a credit score range between 800 and 850 (the maximum credit score possible). This group represents 19.9% of the population.
Whether your credit score comes under Experian’s definition of very good or exceptional, doesn’t make a whole lot of difference. Most lenders will consider a credit score of better than 740, and without any significant derogatory credit, to be excellent. You’ll be eligible for the best loan programs and pricing possible in virtually every lending capacity.
Let’s look at what kinds of financing is available if you have excellent credit.
Common document requirements for a loan application when you have excellent credit
Below is a list of documentation commonly required for loans of all types. Exactly which items you’ll be required to furnish will depend on the lender and the kind of loan you’re applying for. However, if you have excellent credit, lenders will often relax the documentation requirements. For example, if you have preferred customer status at a bank, they may not require any documentation at all.
Nonetheless, be prepared to furnish any and all of the following:
- Your most recent pay stub and W-2(s) to document your income.
- Evidence of Social Security or pension income (award letter or 1099).
- Contact information for your employer (the lender will verify your employment directly).
- Copies of completed income tax returns for the past two years, if you’re self-employed or work on commission.
- Make, model, and value of your car; VIN number if you’re applying for an auto loan.
- If you’re paying or receiving child support or alimony, list the amount you’re paying or receiving.
- Bank or brokerage statements, or even retirement account statements.
How to maintain your excellent credit
If you have a credit score of 740 or higher, you probably don’t need much advice on credit. But since people do sometimes fall from excellent credit grace, let’s spend a bit of time talking about what to do – or not do – to maintain your high credit level.
Here are some dos and don’ts:
- Do continue to make all your payments on time, including utility bills and medical payments.
- Don’t apply for new credit too frequently – new loans can drop your credit score.
- Do monitor your credit regularly. If errors appear, correct them immediately with creditors, and make sure they report the corrections to all three major credit bureaus.
- Don’t cosign loans. Even though you aren’t the primary borrower, if that person makes a late payment, it will be reflected on your credit report. If they default, that will also show up on your credit report.
- Do keep your credit card balances low. Even if you have a perfect payment history, your credit score can be negatively affected by an excessive credit utilization ratio.
Excellent credit is a definite asset and one you’ll want to protect at all costs. It will enable you to pay less for financing every time. Above are some lenders that offer some of the best deals for those lucky folks who have excellent credit.
- Getting A Loan With Good Credit (Credit Score 670-739)
- Getting A Loan With Fair Credit (Credit Score 580-669)
- Getting A Loan With Poor Credit (Credit Score Under 580)
¹ You will be responsible for an origination fee of up to 4.99% of your initial draw, depending on the state in which your property is located and your credit profile. You may also be responsible for paying recording fees, which vary by county, as well as a subordination fee if you ever ask Figure to voluntarily change lien position.
*Available APRs range from 6.80% to 15.00%. The advertised APR includes a 0.25% discount for enrolling in autopay as well as the payment of a higher origination fee in exchange for a reduced interest rate, which is not available to applicants or in all states. The lowest APRs are only available to the most qualified applicants, depending on credit profile and the state where the property is located, and those who also select five year loan terms; APRs will be higher for other applicants and those who select longer loan terms. As representative example, for a borrower with a 60% CLTV and a 740 credit score who is eligible for and chooses to pay a 4.99% origination fee in exchange for a reduced APR on a five-year Figure Home Equity Line with an initial draw amount of $50,000 would have a fixed annual percentage rate (APR) of 8.21%. The total loan amount would be $52,495. Alternatively, a borrower with the same credit profile who pays a 3.99% origination fee would have an APR of 8.82% and a total loan amount of $51,995. Your actual rate will depend on many factors such as your credit, combined loan-to-value ratio, loan term, occupancy status, and whether you are eligible for and choose to pay a higher origination fee in exchange for a lower rate. Rates change frequently so your exact APR will depend on the date you apply. APRs for home equity lines of credit do not include costs other than interest. Property insurance is required as a condition of the loan and flood insurance may be required if your property is located in a flood zone. Figure Lending LLC dba Figure. 15720 Brixham Hill Avenue, Suite 300, Charlotte, NC 28277. (888) 819-6388. NMLS ID 1717824. For licensing information go to www.nmlsconsumeraccess.org. Equal Housing Opportunity. Licensed in Alabama 22533, Alaska AK1717824, Arizona 0948458, Arkansas 114692, California: Loans are made and arranged pursuant to a Finance Lenders Law License, Licensed by the California Department of Financial Protection and Innovation under the California Finance Lenders Law (License 60DBO81967), Delaware 026994, Florida MLD1636, Georgia Residential Mortgage Licensee 61229, Idaho MBL-9625, Indiana 39933, Iowa 88893478 and 2018-0048, Kansas MC.0025537 and SL.0026703, Louisiana 1717824, Massachusetts Mortgage Lender License ML1717824, Michigan FL0021494, Mississippi 1717824, Missouri 19-2421, Montana 1717824, Nebraska 1717824, Nevada 4823, New Hampshire 22423-MB, Licensed by the N.J. Department of Banking and Insurance, New Mexico 1717824, North Carolina L-180811, North Dakota MB103310, Ohio RM.804317.000, Oklahoma ML011894, Pennsylvania 66882, South Dakota ML.05202, Tennessee 151185, Washington CL-1717824, West Virginia ML-36248, Wisconsin 1717824BA