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jvail1088

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I have a credit card from bank of america and paid a car loan off and my score is worst then better
I more I try the worst it gets

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EdinHollyHillFl

Score went down because don't have the open credit line you had before it was paid off. Before it was unused credit line, now it's not because account is closed now and doesn't exist anymore. Credit line utilization actually goes up when auto loan is paid. Not like credit card that can be reused.

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When you pay off an auto loan your score will drop. You close a line of credit and also you may have closed one of your oldest accounts depending on your situation. How is your utilization rate on your credit card? Don't use more than 25% of your available credit, if you are currently using more than 25% of your available balance, pay it down and that should help your score. When it comes to loans, pay them down but not off to see a credit score increase instead of a decrease. I know this doesn't really make sense, you would think paying off a loan would be good for your credit but it actually is not.

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