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pvsriram

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I took an auto loan 2 weeks back and it slashed off my credit score by 50 points from 710 to 660.
I took an auto loan 2 weeks back and it slashed off my credit score by 50 points from 710 to 660. I am shocked to see that. Is it so and recovers quickly or what should i do now?

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Look at your FICO scores and see if they took such a hit as well. For the most part, every time you take out a loan and add debt your score will fall, the severity of the drop will depend on the rest of your credit profile. When you get the loan paid down, your score will start to recover. Be aware that when you pay off and close the loan, you will be in for another score decrease. The best scoring scenarios for loans are to get them paid down but not off.

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