Does consolidating your student loans hurt your credit rules about dating a married man
There are a couple of ways that paying off an installment loan affects your credit score.
The number of accounts you have that have balances is one factor in how your credit score is calculated.
Paying off an installment loan though doesn’t have as large of an impact on your score, because the amount of debt on individual installment accounts isn’t as significant a factor in your credit score as credit utilization is.
So it’s important to note that your creditors may report that you’ve missed a payment on your credit reports in the first month your plan starts.Unfortunately, some people get into bigger trouble with debt after they consolidate. Because once the debt is consolidated, you’ll have zero balances on all of your credit cards.It can be really tempting to start going out and spending before you pay off the consolidated debt. Always finish paying off consolidated debt before you start charging again.If you are unavailable, a confirmation text will be sent, so connecting at your convenience is quick and easy. With credit playing such a huge factor in our financial futures, it’s no wonder we look for ways to maximize our credit scores.