I have a $500 loan that I can pay off with 0 interest before a specific date. I can easily do this. However I'm curious how much better of a credit score and/or loan payment history it will give me if I eat up the 5% interest and just make the scheduled quarterly payments.
Also does good a student loan payment history help out with auto loan apps?
I have no installment credit history and need what ever would help when I become a first-time car buyer.
Thank You
Full Version: $500 student loan
Good question. ttt
QUOTE (eonaxes @ Jun 19 2009, 06:15 PM) 
I have a $500 loan that I can pay off with 0 interest before a specific date. I can easily do this. However I'm curious how much better of a credit score and/or loan payment history it will give me if I eat up the 5% interest and just make the scheduled quarterly payments.
The whole point of having a good credit score is to get lower interest rate. You are trying to do it backwards. You should do what is good for you economically/financially not what is good for your credit score.
QUOTE (eonaxes @ Jun 19 2009, 06:15 PM)
Also does good a student loan payment history help out with auto loan apps?
I have no installment credit history and need what ever would help when I become a first-time car buyer.
I have no installment credit history and need what ever would help when I become a first-time car buyer.
I asked this questions yesterday in auto forum. MarvBear said student loans DO NOT qualify as an installment loan for purpose of buying a car. The thread is here http://creditboards.com/forums/index.php?showtopic=404410
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