@folks19 wrote:
After having my first and only credit card for about 8 months, and my experian fico score was about 708 points, i decided to take out a creidt builder loan to have a better credit mix. After getting the the loan (about a month and a half ago) my score dropped to 669. Was taking out that loan a good moov? How much can i expect my score to go back up in the next 6 months?
Yes it takes a little while to get the scores up, as you build history. Also note that as you pay down the loan, your scores will increase. Are you using credit karma or myFico to get your scores; Ck uses vantage scoring and MyFICO uses Fico scoring. If you have a car loan or student loan, those are also installment loans, and you only need one.
Also you might look into the AZEO method of Fico score optimization. It's all over this forum so search it. The formula:
3 credit cards +1 installment loan = best Fico score
is tried and true. You pay down each card to zero before their statements cut EXCEPT for one which you le report a small balance then pay it in full (PIF) by the due date. All Zero Except One = AZEO
good luck!!
