@Anonymous wrote:Paid off 1 Student loan and my FICO score went DOWN one point. Any insight to why paying off a Student Loan decreases Experian FICO score?
Yes its possible to have a score move down a few points when your last instalment loan closes. Instalment loans dont move Fico scores very much either way unless you default on one. I would not worry about this at all.
Welcome to the board 
@gdale6 wrote:
@Anonymous wrote:Paid off 1 Student loan and my FICO score went DOWN one point. Any insight to why paying off a Student Loan decreases Experian FICO score?
Yes its possible to have a score move down a few points when your last instalment loan closes. Instalment loans dont move Fico scores very much either way unless you default on one. I would not worry about this at all.
Welcome to the board
Two possibilities.
One was covered by the other poster. If your only installment loan is closed, your credit mix changes. Optimally, you should have at least one installment loan account.
The other possibility is that something else in your credit report also changed resulting in a loss of points even though you paid off your loan. If you are using myfico's monitoring, the service only recalculates your score when a triggering even occurs. However, not all events that change your score are triggering events. Thus, you may see something like a reduced balance and reduced score on an alert because a non-triggering event reduced your score. The FAQ thread in the product feedback forum has a list of events that trigger a score recalculation.