CC's paid off - will paying off term loan (less than 2mths old) help

[frfiv40]

All - my cc's are paid off, but still open. 

I can payoff a term loan that has been open for less than 2 months ($4200) - long story. 

I'm trying to get a few points boost in my credit score before I go for a Home Equity Loan (smallish) in August. I'm on the cusp of a score break that will lower the interest rate by a percent or two.   

Does paying off that loan help.  If so, does anybody have an idea of what kind of bump I'm likely to see?

BTW - I will be two year out of BK as of August 1st.

Thanks,

Frank  

[Tuscani]

How is your credit card utilization? What are your current scores?

[frfiv40]

I've had a cc account open prior to the bankruptcy that I didn't use --- hence there's approximately 24 mths of payment history (although, initially the balance was 0 throughout the BK process.

Utilization - varies - up and down depending on work travel.  Typically, I pay them nearly off each month. 

There is a "high" right now showing that has already been paid off, but has yet to be reported as zero.  That just happened this month. 

Scores - Experian 605

Equifax

[Kevin5974]

The problem I see you facing is not really your credit score (my guess maybe up to a 30 point jump) but really the fact that if you need to obtain a personal loan in the future, they might screw you on the interest rate after seeing that didn't finance with your previous one for very long so they are going to try to get more interest out of you since they fear you will be paying it off in a short amount of time. My advice is to pay it and knock probably a percentage off your mortgage loan...

[frfiv40]

whoops hit the send button. 

To complete credit scores

Experian 605

Equifax 659

Transunion 617 <likely to go up since they just removed a double account>

[Tuscani]

Paying off the loan may help some.. but it's the BK and util hurting you the most.