720 Credit Score Refinance
A 720 earns near-best refinance pricing on every option. The top tier is just ahead at 740.
A 720 credit score earns near-best refinance pricing. Rate-term and cash-out both price strongly, PMI on any refinanced conventional loan is low, and your options are unrestricted. The top tier opens at 740, so a 720 is one step from the best the scale offers, with only a small remaining gain.
One Step From the Top
At 720 a refinance prices about as well as it gets short of the top tier. Cash-out is competitive, and refinancing out of FHA insurance is clearly beneficial with equity.
The 740 break is the last one. If you are close, reaching it can shave the rate on a large refinance; if not, 720 is already excellent, and there is little reason to delay a refinance that makes sense today.
| Refinance Type | Available at a 720 Score? |
|---|---|
| Conventional rate-term | Near-best |
| Cash-out | Strong pricing |
| Final Break | 740 |
| Above 720 | Small gain |
What a 720 score changes for Refinance
Credit scores work in bands rather than single points, so the score either side of yours is what decides whether the terms move. Here is what the nearest bands do to a refinance in Florida, and what the same 720 reaches on other programs today.
Drop to 700: Strong refinance pricing. See 700 with Refinance
Reach 740: Best-tier refinance pricing. See 740 with Refinance
If you are close to the band above, it is usually worth asking a lender what it would take to get there before you lock anything in. Paying down a revolving balance is the fastest lever most borrowers have, and it can move a score within one billing cycle.
One thing worth knowing before you read too much into a number: lenders do not use the score you see on a free credit app. They pull all three bureaus and work from the middle score, and on a joint application they use the lower borrower’s middle score. Ask which score a lender is working from before you assume you sit in a particular band.
What else a 720 score reaches
FHA Loan at 720: Rarely the best pick now.
VA Loan at 720: Near-best VA pricing.
Conventional Loan at 720: Strong — one break from the top.
Jumbo Loan at 720: Strong jumbo terms.
720 Credit Score Refinance — FAQ
Nearly. A 720 earns near-best refinance pricing across rate-term and cash-out. The top tier opens at 740, so a 720 is one step away with only a small remaining gain.
Usually not, unless 740 is close and the loan is large. The gain from 720 to 740 is small, so a refinance that makes sense today is generally worth doing rather than waiting.
Verify the details for your own situation against these government and agency sources: HUD FHA loan program and HUD Handbook 4000.1 (FHA rules).
A Refinance With a 720 Score?
Get matched to the right Florida loan for your score · Licensed FL mortgage broker NMLS# 1859012
Rates are illustrative only. APR and payments vary by credit score, loan amount, and market conditions. Subject to credit approval. Not a commitment to lend. NMLS# 1859012. Equal Housing Lender.