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I have paid 2 mortgages and several car loans, but they are all falling off my reports. Equifax is the only one still showing my mortgage, not sure why they are different.
Experian and Transunion list "lack of installment loan" and "length of credit history" as factors holding my score down. 17 year difference in AAoA.
I went a long time without using credit after 2008. I have opened several credit card accounts over the last three years and this has me with a low AAoA on EX and TU, and I expect it will soon happen with EQ. Nothing I can do about that. No missed payments, a couple of small medicals that aren't worth dealing with.
My question, I have been pre-approved for several loans from a few CUs I belong to. Is it worth taking a small loan just to check the installment loan box? Don;t need the money, just caught up in the FICO score game.
@AllZero wrote:
What are your current FICO scores? About 700 across the board. EQ is 740. all 8 scores.
What is your AAoA? 1.4, and 17. EQ still shows a paid mortgage.
What is your AoYA? 3 months
Are you a member of Navy Federal Credit Union or reside in Texas? No and no. But I qualify for Navy Fed
Are you familiar with SSL Shared Secured Loan? No
@mikesonthemend wrote:I have paid 2 mortgages and several car loans, but they are all falling off my reports. Equifax is the only one still showing my mortgage, not sure why they are different.
Experian and Transunion list "lack of installment loan" and "length of credit history" as factors holding my score down. 17 year difference in AAoA.
I went a long time without using credit after 2008. I have opened several credit card accounts over the last three years and this has me with a low AAoA on EX and TU, and I expect it will soon happen with EQ. Nothing I can do about that. No missed payments, a couple of small medicals that aren't worth dealing with.
My question, I have been pre-approved for several loans from a few CUs I belong to. Is it worth taking a small loan just to check the installment loan box? Don;t need the money, just caught up in the FICO score game.
In my opinion, it doesn't pay to do that, unless you can get the kind of loan where you can immediately pay it down to 9% of the original loan amount, without advancing the payment dates. E.g., a $3000 60-month share secured loan which you immediately pay down to $450, and then keep it open for the next 59 months with a small, mostly paid down balance showing. Alliant Credit Union used to have loans like that, but discontinued them. The only one I know of now that has that is Navy Federal Credit Union.
BTW the long term share secured loan technique only pays big scoring dividends in the FICO 8 and 9 scores, and has much less effect on the older scoring models, such as the mortgage scores.
OP, how many cards and what are the limits? Utilization as well? - Maintaining current lines and not going over a certain threshold will improve your scores over time. Since you're hovering at 700 now, it could be beneficial to wait on new accounts.
Also what are your credit plans? - Adding a HP and new account further lowering AAoA lowers your score, although temorarily. It still takes time to recover those lost points. So if you don't need a new loan, I'm not sure it's really worth the hit to satisfy credit mix. IMO
They could just cancel each other out short term. I'm not sure how the SSL would increase your scores once it's paid to 90% though, others may have DP's on that.
SSL is a quick way to get 20-30 points across the board for FICO 8 and it stays there for the entire duration of the loan.
Make sure you take $3010 though, some who have done $3001 got given 36 months instead.
My SSL pushed all of my scores over 700 despite my credit seeking and BK on my record. It was well worth it.