@TJL08109 wrote:HI all - First post here.
I recently took out a personal loan to pay off some debt. I paid off my credit cards. Now my question is I have an Upstart loan for Roughly 7500 left on it at 245.xx a month for another 41 months. If i pay $7400, Will my monthly payment adjust so that i'm paying like $2 a month for the rest of the loan (41 months)? Give or take a dollar or so. That way my loan isn't closed early and I still get the payment History?
I hope that makes sense.
1. You'll get the payment history no matter what. It will continue to be reported in your credit reports, most likely for years to come, after it is closed.
2. I don't know what Upstart's policy is about how to treat prepayments. But I think the majority of lenders will update the payment dates, so that it wouldn't stay open on the books for long.
3. If you have no other installment loans, you could take the $7500, use it to fund a share secured loan with NFCU or PenFed, use the proceeds from the SSL to pay off Upstart, and then use the savings at NFCU or PenFed to pay down the SSL to $700 or less. There would probably be a temporary score ding, but once you were showing no Upstart loan, and a mostly paid down SSL, you'll be good.
@DaveInAZ wrote:
@TJL08109 wrote:Thanks for the response. I saw a video basically saying never to pay it completely off early, and if you make a large payment, it will just adjust the amount due and you can keep the loan open until maturity. That is why I'm wondering if that would work in this case. I guess the only way to find out is to try?
I'm pretty sure the payment terms are set by the amount of the loan & the length of time of the loan, car loans are this way and several years ago I had a Prosper personal loan that I made a large payment to and the payment amount didn't adjust, so I just paid it off early. But the only way to find out is to try & find out.
Do you have an offer for a "credit card" from Upgrade? I use quotation marks because their "credit cards" actually report as a Line of Credit, not a revolving credit card account. I recently applied & was approved for their "Cash Rewards Elite Card". I only applied for the card to get a $400 bonus for opening their Rewards Checking account, I saw the offer on my Credit Karma account & confirmed the offer on Doctor of Credit before applying. When I log into my Upgrade account I see a pre-approval for a personal loan, which I don't want or need, but that's why I thought you might have an offer for a card. An Upgrade card reporting as a line of credit might take care of you wanting a loan to report.
Upstart, not Upgrade @DaveInAZ. Completely different products. 
OP, I believe if you overpay, they'll reduce the amount of the next monthly payment, but they won't push out the due date.
@TJL08109 wrote:HI all - First post here.
I recently took out a personal loan to pay off some debt. I paid off my credit cards. Now my question is I have an Upstart loan for Roughly 7500 left on it at 245.xx a month for another 41 months. If i pay $7400, Will my monthly payment adjust so that i'm paying like $2 a month for the rest of the loan (41 months)? Give or take a dollar or so. That way my loan isn't closed early and I still get the payment History?
I hope that makes sense.
With Upstart any excess payment sent goes towards the principal balance. When your next billing cycle hits you will owe the full payment amount of the scheduled payment. Upstart does not push back payments.
@TJL08109 wrote:Well they must have done something since my next payment is supposed to be in 2024
Maybe it's different because you paid so much. Pay attention to it around your next due date. There agreements specifically state that they don't push out payments. Unless yours is different.
@TJL08109 wrote:Thanks for the response. I saw a video basically saying never to pay it completely off early, and if you make a large payment, it will just adjust the amount due and you can keep the loan open until maturity. That is why I'm wondering if that would work in this case. I guess the only way to find out is to try?
As I said, it depends on the lender. But the majority advance the next payment date. That video is wrong if that's what it said.