So, my student loans are my oldest accounts. I'm thinking ahead to when I pay them off--not considering the issue of credit mix (I'm hoping to be in a position to buy an apartment around when my student loans are almost entirely paid off and doing my credit score the most good, so I'll hopefully still have an installment loan when I pay off the last one), I'm wondering when they will stop impacting my average age of accounts and my age of oldest account. Is it still 7 years after paying off aka closing if the account was in good standing/never had a late payment/etc.? I feel like I only ever see people talking about accounts falling off your report in the cases where you want the history to disappear, but I'd like to keep the good history on there as long as I can because my credit cards are much younger...
Generally? 10 years from closing or last activity.
But there's no rule or law about it... they could be removed immediately on closing, or linger on reports for decades.
10 years is the usual case, though.
So, my student loans are my oldest accounts.... I'd like to keep the good history on there as long as I can because my credit cards are much younger...
The best way to do that is to keep them open. You can do that by paying them down to a small balance but not paying them off. Many SL handlers will push the due date of the next payment way into the future if you do that. The result is having a number of old open accounts on which you pay almost no interest... and then when you finally do pay them off, they will likely stay on your reports for ten years after that.
My student loan is much older than my oldest credit card (SL opened in March 2001). The original loan amount was 42k and I owe $70 on it. The next payment is due in 2022. I wish I had several smaller loans like you do (rather than one big one) because then I'd have many old accounts rather than just one.
Thanks! That was about what I figured- I originally had 6 loans and I'm kicking myself that I already paid two off before I learned more about how scoring works and realized I could keep them at a very low balance and have them on my report for longer. I'll definitely be doing the low balance but leave open trick for the remaining 4, so snowballing payments but leaving the accounts open as long as I can. I want to keep that nice AAoA anchor while my newer accounts age