What is a Good Credit Score in Australia?

A good credit score in Australia generally starts from the mid-600s, but the exact number depends on the credit reporting agency. Understanding where your score sits—and what it means for your financial opportunities—can help you make informed decisions when applying for loans, credit cards, or other financial products.

Key Takeaways

A good credit score in Australia is usually above 660, but the range varies by agency.
Equifax, Experian, and Illion each use different scoring bands and terminology.
A higher score means you’re seen as less risky by lenders, improving your access to credit and better rates.
Your score is not fixed; it changes with your financial habits and credit history.
Knowing your score’s category helps you understand your borrowing power and plan your next steps.

What is a Credit Score?

A credit score is a number that reflects your creditworthiness. Lenders use this number to decide how likely you are to repay borrowed money. In Australia, your credit score is calculated by three main agencies: Equifax, Experian, and Illion. Each agency collects and analyses your credit information slightly differently, so your score may vary between them.

Credit Score Ranges in Australia

Each credit reporting agency uses its own scale and categories. Here’s how they break down:

For Equifax, a score between 661 and 734 is considered good.
For Experian, a score between 625 and 699 is good.
For Illion, a score between 500 and 699 is good.

If your score is in the “very good” or “excellent” range, you’re likely to be viewed very favourably by most lenders.

Why Does a Good Credit Score Matter?

A good credit score is more than just a number—it’s a key factor in your financial life. Here’s why it matters:

Easier Approval: Lenders are more likely to approve your applications for loans, credit cards, and mortgages.
Better Interest Rates: Higher scores often qualify for lower interest rates, saving you money over time.
Higher Credit Limits: Lenders may offer you more credit.
Better Rental Prospects: Some landlords and agents check credit scores as part of the rental application process.

More Negotiating Power: With a strong score, you may be able to negotiate better terms with lenders.

How is Your Credit Score Calculated?

Your credit score is based on the information in your credit report. The main factors include:

Repayment History: Whether you pay your bills and loans on time.
Credit Accounts: The number and type of credit accounts you have (credit cards, loans, etc.).
Credit Enquiries: How often you apply for new credit.
Defaults and Negative Events: Any missed payments, defaults, bankruptcies, or court judgments.
Credit Utilisation: How much of your available credit you’re using.

Each agency weighs these factors differently, but timely repayments and responsible credit use are always important.

What Do Lenders Consider a Good Credit Score?

While agencies provide score ranges, individual lenders may set their own benchmarks. Some major banks may only consider scores above 675 or even 700 as “good,” especially for certain products like home loans. Always check with your lender if you’re unsure.

What if Your Score Differs Between Agencies?

It’s common for your score to vary between Equifax, Experian, and Illion. This is because:

Each agency may hold slightly different information about your credit history.
Not all lenders report to every agency.
Scoring models and ranges differ.

When reviewing your score, always check which agency your lender uses and compare your score to their categories.

What Does a Good Credit Score Mean for You?

Having a good credit score in Australia means:

You’re seen as a lower risk by lenders.
You’re more likely to be approved for credit products.
You can access better deals and lower interest rates.
You have more flexibility and choice in financial products.

If your score is below the “good” range, it may be harder to get approved, or you may face higher interest rates and stricter conditions.

How Often Does Your Credit Score Change?

Your credit score is dynamic. It changes as your financial behaviour and credit history change. Positive actions—like paying bills on time and reducing debt—can improve your score. Negative events—like missed payments or frequent credit applications—can lower it.

What Can Affect Your Credit Score?

Common factors that can impact your score include:

Missed or late payments
Applying for credit too often
High levels of existing debt
Defaults, bankruptcies, or court judgments
Errors on your credit report

How to Check if You Have a Good Credit Score

You can request your credit score for free from each agency once a year. Knowing your score helps you understand your financial standing and plan your next steps. For detailed instructions, see our guide: How to Check Your Credit Score in Australia.

Conclusion

A good credit score in Australia generally starts at 660 or higher, but the exact number depends on the credit reporting agency. Understanding your score’s category can help you gauge your borrowing power and take steps to improve your financial future. If you want to learn more about managing your credit or need support with your credit report, Easy Credit Repair is here to help. Check out our services or get a free quote.

Disclaimer: All information in this article is based on research and our views only. If you have questions about your credit score or need personalised advice, please reach out to us.