New Member
Posts: 1
Registered: ‎03-05-2008

Installment or Revolving?

I have a high debt ratio but have the opportunity to bring that ratio more in line with an upcoming lump sum payment. Is it more favorable as far as the credit score is concerned to pay down my installment loans or revolving charges? Is it best to do this at once or preferred over a few months?
I still have work to do to bring my score up after the lump sum payment as I can not pay down all the debt but with the help of this forum and concentration I know it will happen
Thanks in advance for any and all help
Super Contributor
Posts: 8,161
Registered: ‎03-25-2007

Re: Installment or Revolving?

Personal opinion - pay off revolving.  It is nearly always the highest APR and high revolving creit balances are a score killer
The slide from grace is really more like gliding
And I've found the trick is not to stop the sliding
But to find a graceful way of staying slid
Moderator Emeritus
Posts: 7,970
Registered: ‎12-19-2007

Re: Installment or Revolving?

Hey doxydawg, welcome to the forum. If you haven't already, please read credit scoring 101 (helps tons) and other "stickied" threads. As MV said, revolving (much more risky type of credit-unsecured), so potential reward, for using it the way they want to see it used, is greater.
Do what is true in spite of the consequences--your future is only as true as you are.
Regular Contributor
Posts: 236
Registered: ‎01-08-2008

Re: Installment or Revolving?

Also, pay it all at once. There is no need to spread it out.
Word... To your Mothers... All of them

TU(2/14/09)=719 EQ(2/2/09)=696 EX(1/21/09)=704

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