Relatively new here and working on building my credit as solid as possible in the next 3-5 years in preparation for a future mortgage. I currently have one credit card (planning on opening another, but that 4506T form for Discover, ugh) and an auto loan. My current scores I can access, EX and TU are 795 and 690 respectively. The auto loan is brand new and I imagine both will increase as my AAoC goes back up over time, I show a solid installment repayment history, the HP drops off, and the total loan amount to current balance percentage reduces.
My questions are below and specifically related to how best to work upcoming medical bills. I had surgery last month and will be billed approximately $2-$2.5k, I'm waiting on one claim to settle with my insurance company and then I'll know the exact amount. I have the savings to pay however much immediately. Alternatively, I could set up a payment plan with the hospital (I have no information yet on how that's handled, interest rates?, a grace period?, etc). As I have minimal current installment loan history for a manual review for a mortgage (although I'll have 1 loan, 2 years worth of perfect payments once I'm done on the auto loan in the farther future), I'm wondering if I should set up a payment plan with the hospital or just pay it off quickly.
Does a payment plan with a medical center factor in to FICO scores? Would show up on a manual review as installment history? (Or maybe it'd only show up if it went delinquent and was reported, which it won't. I'm mentally trying to plan ahead for my budget and maximing my credit score and credit history. Perhaps, I can only make this decision once I know the medical center's terms, but I'm just wanting to plan ahead.
Pretty sure the payment plans are handled in-house and wouldn't show up on your credit until you don't pay and is handed off to collections. Make sure you keep records and receipts of everything.
I've never had any medical payments show up on my reports unless I paid through a credit card like care credit. Went through 3 kids and all doctors and dentists were willing to make payment agreements for amounts insurance didn't cover.