Real Estate Investor · ID · Member since 2008 · 101 posts · 0 votes
I paid off one of my loan that had a high intrest rate. how long dose it take to come off my credit report? an will it help my credit and look good for the lenders?
I paid off one of my loan that had a high intrest rate. how long dose it take to come off my credit report? an will it help my credit and look good for the lenders?
Lance,
Technically the account will continue to show on the report. That is largely a good thing. What will be updated is the amount owed. The interest rate never shows so it does not matter if you paid off a high interest rate account when computing a credit score. It matters a lot to you when you write the checks each month.
You do not want to have only short term accounts. It is good to let older account stay open if they are revolving. Try to keep the oldest. Accounts over 3 years are good and a longer credit history is slightly better.
Closed accounts with no activity likely will stop appearing after 7 years. Not exactly true in all situations.
I paid off one of my loan that had a high intrest rate. how long dose it take to come off my credit report? an will it help my credit and look good for the lenders?
Lance,
Technically the account will continue to show on the report. That is largely a good thing. What will be updated is the amount owed. The interest rate never shows so it does not matter if you paid off a high interest rate account when computing a credit score. It matters a lot to you when you write the checks each month.
You do not want to have only short term accounts. It is good to let older account stay open if they are revolving. Try to keep the oldest. Accounts over 3 years are good and a longer credit history is slightly better.
Closed accounts with no activity likely will stop appearing after 7 years. Not exactly true in all situations.
Ok,
I kept open 2 of my acounts. They been open for more then a little over 2 1/2 year.
I file a dispute to the experian asking them to take it off and that I payed it off and the result was they delete the acount. so what I should of done was kept it there.
The acount/loan with the high intrest rate that I payed off was open for only 8 month.
Loans that are paid off on time and as agreed a perfect to leave on your credit report. Taking them off will lower your score in many situations.
A credit score is all about how you handle credit. Not having a track record is bad. Having a good track record is good. Hence you want to pay as agreed or early but never remove an account unless there was late payments or other issues. Granted you can not have accounts removed just because you want them to be removed.
You will be wasting money if you call an attorney.
Very unlikely you will get a lender to put something back on your credit file once it they have deleted it. Just not what they normally do. Call the lender and ask just to be sure.
hondal,
If you only paid it off, it should stay on your report as a "paid in full, closed account (by borrower)".
That is a good thing to pay off a loan, depends what type of loan it was though.
It is also a good thing for that loan history to stay on your report, this is typical because lenders want to see your history. If you were current on all your payments, than you WANT it to stay on your report!
If you got a deletion letter, or disputed the account with one of the credit agencies, then it probably was removed altogether.
You should check your report again, ill bet it is still on there.
Good luck