Mortage scores affect with Auto Lease ending?

[Anonymous]

We are closing on a mortgage in the first week of April. My middle score is sitting at 614, so its just an FHA 3.5% deal. My lender told me to go and get a small loan to try and increase my scores so maybe we would get a better rate(  i just went with selflender as I couldnt get approved for a conventional loan). Ive been rebuilding my credit for about a year now and paid a whole bunch of charge offs off my report.

My only concern now is my Auto Lease with Toyota financial is ending on February 19. This is the only auto loan on my report right now besides some credit card (5) and retail accounts. Does anyone have experience how this is going to affect my scores when toyota marks the account as closed and satisfied? Im terrified its going to drop my scores last minute before we close. Im trying to think of ways to get around this maybe extending my lease or buying another car? Although we honestly only need 1 car until May this year so we were planning on just getting rid of the car anyways.

[CreditInspired]

Don’t do anything before talking to your LO. Let him/her give you instructions on what to do.

[homeloanexpert]

I tell all my clients who have installment loans that will be paid off during or by closing to expect a drop in score once the loan is paid off. So cover your bases and make darn sure your LO runs your credit through the Credit Analyzer and they click that loan as paid in full and hit recalculate. It should be pretty accurate. This is an invaluable tool that we have at our finger tips. I can't tell you how many deals I have saved by using these credit bureau tools.

Best wishes to you!

[UpInSmoke]

I just went through this. My FICO 8s dropped as much as 18 points. My mortgage FICOs didn't blink. From what I understand mortgage FICOs are not as sensitive as FICO 8s to installment loans. Best of luck!