Do Student Loans Affect Your Credit Score – Lessons in credit scoring: Paying off student loans drops your FICO score?
Do Student Loans Affect Your Credit Score – Whats The Best?
When you’re looking to pay off your student loans, ask a trusted credit advisor what they’re looking at when they consider your FICO score.
We had a client contact us that had their credit tank because they paid off their student loans.
They thought it would improve their credit, but it did the opposite.
When consumers ask how to improve their credit score, we have to consider what score they’re specifically asking about.
Are they talking about improving their FICO score?
If so, which one?
FICO has several different scores that factor into your scores, and you should consider those scores when you’re applying for a loan or looking to pay off a loan.
If you want to know what your FICO score is, you can go to https://www.myfico.com/ and for $20-$40/month you can find out your accurate scores. (Not an affiliate link.)
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