Last Personal Loan 2013

[Anonymous]

Since it is showing, would it make any difference to fico in getting another loan purely to pay a chunk to under 8% then slow pay the rest back? If yes, who would give me the highest amount with a good %. Scores upper 600's maybe low 700 on at least one.

[Anonymous]

My comments in blue below.

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@Anonymous wrote:
Since it is showing.....

I think you mean that you have a closed loan that appears on your reports.  Is that right?

would it make any difference to fico in getting another loan purely to pay a chunk to under 8% then slow pay the rest back?

Yes.  It matters a lot to FICO 8 and also to one of the three mortgage scores.  The strategy you mention is known here on the forums as the Share Secured Loan Technique.

If yes, who would give me the highest amount....

The highest loan amount?  If you are doing this purely to boost your score, why is it important what the amount of the loan is?

.... with a good %.

Does that mean a good interest rate?  If you plan to pay off almost the entire amount in the first month, the interest rate won't make much practical difference.  You will still pay very little interest regardless.

Scores upper 600's maybe low 700 on at least one.

You can find three good alernatives here in the Quest for an SSL Alternative thread.

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[Anonymous]

Yes, paid off in 2013 in perfect standing.

Figured a high amount showing paid would be better for the future requests than say, a $1000 one.

Yes on interest since I would pay on 8% for at least 12 months or more.

Thought to ask for over $20,000, pay it next day to under 8% then set up auto monthly payments until paid off. Would 12 months be good or do I need longer?

[Anonymous]

As soon as you pay the loan off, you will lose the scoring benefit you get from it.  Therefore you should opt for the longest possible loan term that you can get

There is no scoring advantage to have a large loan in contrast to a small one.

As touches the issue of interest, I encourage you to do the math on a small loan and I think you'll see that it doesn't matter much.  For example, try looking at a $1000 loan paid down to $80.  Then compare the interest you pay on a 10% loan ($8 per year) compared to a 5% loan ($4 per year).  The difference is $4 -- not worth worrying about.  And even if you did get a larger loan ($5000) you could still pay it down to $80 early on.

I encourage you to look at both of the two links I gave you.