486 Credit score: What You Need to Know in 2025

Who Has a 486 Credit Score?

While age isn't a direct factor in calculating your credit score, there is a clear trend of scores increasing over time. The average credit scores by generation show a steady climb based on 2023 data:

• 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 486 Credit Score

A credit score of 486 falls into the "poor" credit range, which can make qualifying for a traditional credit card a significant challenge. Most mainstream lenders view a score this low as a high-risk indicator, meaning they are more likely to deny an application for an unsecured card. Consequently, your options will likely be limited to secured credit cards that require a cash deposit or specific unsecured cards designed for rebuilding credit, which often come with high fees and interest rates.

‍

Using its AI-powered tools, Kudos can help you find the right card by matching your stated preferences—like the need to build credit—with options from its database of nearly 3,000 cards. The platform can also offer insights into how different cards may impact your credit score, helping you make a decision that aligns with your financial goals.

Auto Loans and a 486 Credit Score

A 486 credit score places you in the deep subprime category, which can make securing an auto loan challenging. While approval is still possible, you can expect to face significantly higher interest rates and less favorable loan terms.

Based on a 2025 analysis, here are the average auto loan rates for new and used cars by credit score:

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

Mortgages at a 486 Credit Score

With a 486 credit score, your mortgage options are extremely limited. Your most viable path is likely an FHA loan, as some lenders approve scores as low as 500. However, according to mortgage requirements, securing one with a score below 580 requires a minimum down payment of 10%, and approval is not guaranteed.

A low score also leads to less favorable loan terms. You can expect a significantly higher interest rate, increasing the overall cost of your home. FHA loans will also include expensive mortgage insurance premiums. Lenders will conduct manual underwriting, scrutinizing your income, debt, and explanations for past credit issues before making a decision.

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's primarily based on a handful of key financial habits. The most common factors include:

• Your payment history tracks whether you have paid past credit accounts on time.
• Credit utilization is the percentage of your available credit that you are currently using.
• The length of your credit history considers the age of your oldest account and the average age of all your accounts.
• Having a healthy mix of credit types, such as credit cards and installment loans, can positively impact your score.
• Recent credit inquiries and newly opened accounts can temporarily lower your score.

How to Improve Your 486 Credit Score

Having a 486 credit score can feel discouraging, but it's entirely possible to rebuild your credit profile using proven methods. With consistent, positive financial habits, you can see meaningful improvements by focusing on a few key areas.

• Monitor your credit reports regularly. You can obtain free reports to check for inaccuracies, as disputing errors is one of the fastest ways to correct information that may be unfairly lowering your score.
• Establish automatic bill payments. Since payment history is the most significant factor in your score, setting up automatic payments ensures you never miss a due date and begin building a positive record.
• Reduce your credit utilization ratio. Keeping your card balances low, ideally under 30% of your limit, shows lenders you can manage debt responsibly and can significantly improve your score.
• Become an authorized user. Being added to the credit card of a trusted person with a strong payment history can add their positive account data to your credit file, which is especially helpful for rebuilding a poor score.

Using a financial companion like the Kudos browser extension can help you manage your cards and payments as you work to improve your credit.