Re: Auto Credit and Scoring
02-22-2010 05:22 AM
You are right, it doesn't at all. And some lenders might even penalize you with at fee for doing that! Why? Because if you pay more on the principal, you will be paying less interest over time. CU's usually never do this ("no pre-payment penalties") on loans.
I read over at CB that prepaying an auto loan would not help your record and to just pay off the loan on time. At first blush I would tend to agree with you.
Starting Score: 517
Current Score: 612
Goal Score: 715
Take the FICO Fitness Challenge
Equifax FICO History
We all pay for our mistakes in the past, even if they where accidents or pure ignorance...