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Question By
MCDR65

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Don't understand why my credit score drop after paying off my car loan?

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Credit Scores are based on Open Lines of Credit.

When you paid off your Car Loan ( Good job on doing it ) that line of Credit is now closed and not part of your Credit Score any more.

Thats Why

Reply by
mmitten

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That makes sense however it should show a positive mark that you've paid something off. What's the point of trying to do good when it doesn't count?

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