Can Paying Off A Loan Early Hurt Credit?
Even if you pay off the balance, the account stays open. ... And while paying off an installment loan early won't hurt your credit, keeping it open for the loan's full term and making all the payments on time is actually viewed positively by the scoring models and can help you credit score.
What happens to my credit score if I pay off all my loans?
Your credit score may drop after you finally pay off debt, but it's only temporary. Your credit score may go down after paying off a loan or a credit-card balance. ... When you pay off a credit-card balance, avoid canceling the credit card altogether, because that can affect your credit utilization.
Your credit score may drop after you finally pay off debt, but it's only ...
Why is it bad to pay off a loan early?
Paying off the loan early can put you in a situation where you must pay a prepayment penalty, potentially undoing any money you'd save on interest, and it can also impact your credit history.
What Happens If You Pay Off A Personal Loan Early? - CNBC