Score drop from auto loan payoff.

[vivekp01]

I paid off my auto loan with 2 months of payments remaining as I plan on purchasing a new car soon. Unsurprisingly my score dropped but I did not expect it to fall this much. All my other accounts (CC's) maintain <20% utilization across total limit. 

[Hex]

Yeah it's a paradox. Happens to the best of us. Sometimes if someone's credit isn't stellar it's better to buy the new car before paying off the first loan. 

[805orbust]

I'm always fascinated by this one. However,  Fico gone do what Fico gone do.  Same goes for utilization on those installment loans. You start getting big score jumps under 30%, 19% and 9% 

[Fester82]

It happened to me too. Messed up isnt it.

[SouthJamaica]

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@vivekp01 wrote:

I paid off my auto loan with 2 months of payments remaining as I plan on purchasing a new car soon. Unsurprisingly my score dropped but I did not expect it to fall this much. All my other accounts (CC's) maintain <20% utilization across total limit. 

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It's a typical score drop in FICO 8's and 9's, for the 'no open loan' penalty. Take comfort in the fact that your mortgage scores probably reacted a lot less, if at all.