Reply
Valued Contributor
Posts: 1,589
Registered: ‎11-10-2012
0

Would Installment Loan Help My FICO?

Hello all...I am stoked, since my Walmart TU FICO rose 68 points this month, from 708 to 776! Now, it says that my #1 factor affecting my score is lack of recent installment loan experience, such as a car loan. Do you all think I should take out a small personal loan from my bank (Chase) and would that end up raising my scores in the long run? I don't need a loan, so this would only be for FICO score purposes, so if you think it's not a good idea to just get a loan for this purpose, let me know. Thank you for your help.

 photo Logo - Credit Card Collection - Data Inclusive_zpsbldohfea.jpg
Super Contributor
Posts: 7,132
Registered: ‎02-27-2013
0

Re: Would Installment Loan Help My FICO?

your score is already at 776. there's no need to raise it any higher.

you already qualify for the best rates and can easily get most of the cards out there. other factors such as income probably will play a bigger role in making any difference from that point onwards.

 

JPMorgan Palladium (100k), AmEx Platinum (NPSL), AmEx SPG (46k), AmEx BCP (42k), Chase Sapphire Preferred (47k), Citi Prestige (31k), Citi Thank You Preferred (27k), Citi Executive AAdvantage (25k), JPMorgan Ritz-Carlton (21k), Merrill+ (15k), US Bank Cash+ (22.5k), Wells Fargo (12k), Bloomingdale’s (12.4k), Chase Freedom (5k), Discover IT (5k).
Moderator
Posts: 27,207
Registered: ‎09-13-2012
0

Re: Would Installment Loan Help My FICO?

IF you get a bump it might be 1-2 pts in all likely hood. Not worth the inq hit, AAOA and its not going to make an approval decision if your score is in the mid 700's.
Valued Contributor
Posts: 1,589
Registered: ‎11-10-2012
0

Re: Would Installment Loan Help My FICO?


enharu wrote:

your score is already at 776. there's no need to raise it any higher.

you already qualify for the best rates and can easily get most of the cards out there. other factors such as income probably will play a bigger role in making any difference from that point onwards.

 


Yes...you are quite right. I guess when you're a member on these forums you never know when to stop...lol. Thanks for bringing me down to earth!

 photo Logo - Credit Card Collection - Data Inclusive_zpsbldohfea.jpg
Valued Contributor
Posts: 1,589
Registered: ‎11-10-2012
0

Re: Would Installment Loan Help My FICO?


09Lexie wrote:
IF you get a bump it might be 1-2 pts in all likely hood. Not worth the inq hit, AAOA and its not going to make an approval decision if your score is in the mid 700's.

Also good advise like enharu's. Like I told enharu, sometimes you just get obsessed with "the numbers." Thanks for your reply.

 photo Logo - Credit Card Collection - Data Inclusive_zpsbldohfea.jpg
Highlighted
Moderator
Posts: 27,207
Registered: ‎09-13-2012
0

Re: Would Installment Loan Help My FICO?

Valued Contributor
Posts: 1,607
Registered: ‎09-15-2012
0

Re: Would Installment Loan Help My FICO?

For anyone else who might read this - DON'T GET A LOAN YOU DON'T NEED! Save your money, but a nice gift for yourself, and sit on your nice 776 credit score. A car loan, mortgage, or other type of installment loan will come over time for the majority of people.

In My Wallet: Amex BCP (12/12) $32,000, Chase Freedom (12/12) $16,500, Citi Forward (12/12) $14,600, Cap1 Quicksilver (6/12) $14,000, Barclaycard Rewards (5/13) $10,500, Citi Thank You Premier (6/15) $6,800

Last App: June 27, 2015
Moderator
Posts: 27,207
Registered: ‎09-13-2012
0

Re: Would Installment Loan Help My FICO?

Thanks SnackTrader! You said it exactly how I wanted to...caps and all! 😉
Advertiser Disclosure: The listings that appear on myFICO are from companies from which myFICO receives compensation, which may impact how and where products appear on myFICO (including, for example, the order in which they appear). myFICO does not review or include all companies or all available products.
† Credit cards for FICO Score ranges: The score ranges are guidelines based on actual applicant approvals and having a FICO Score in a particular range does not guarantee you will be approved for credit cards recommended in that range.

Copyright ©2001-2015 Fair Isaac Corporation. All rights reserved.   | Terms of Use | Privacy Policy | Sitemap

IMPORTANT INFORMATION: All FICO® Score products made available on myFICO.com include a FICO® Score 8, along with additional FICO® Score versions. Your lender or insurer may use a different FICO® Score than the versions you receive from myFICO, or another type of credit score altogether. Learn more

FICO, myFICO, Score Watch, The score lenders use, and The Score That Matters are trademarks or registered trademarks of Fair Isaac Corporation. Equifax Credit Report is a trademark of Equifax, Inc. and its affiliated companies. Many factors affect your FICO Score and the interest rates you may receive. Fair Isaac is not a credit repair organization as defined under federal or state law, including the Credit Repair Organizations Act. Fair Isaac does not provide "credit repair" services or advice or assistance regarding "rebuilding" or "improving" your credit record, credit history or credit rating. FTC's website on credit.