Score Dropped 42 Points after Paying off Installment Loan???

[Anonymous]

This was a loan for an atv that I bought last July and paid off last December for $12000. I don't understand why it dropped. Shouldn't it have increased? This was the only installment loan I had. I have a home equity line that is at 95% and 4-5 credit cards with decreasing balances that were all included before my score went from a proud 728 to a now 686! Am I missing something here? 

[llecs]

Discussion started here:

http://ficoforums.myfico.com/fico/board/message?board.id=generalcredit&message.id=122128#M122128

[Anonymous]

Credit is considered new for 1 year. After the first year you would have seen an increase in score. Because you PIF before that  you say a drop in scores as you lost your mix of credit.

FICO likes a mix of credit. There are many who do not have this mix & still have high scores. Most will have a long history, no baddies and several CCs.  The also might have an old(closed) installment that adds to history.

I PIFd my auto loan within 1 year & lost points.  I then re-fied it and got back the points.

installment loans count 10% of your scores. CCs and history about 35% of your FICO scores