Eliminating Debt

Just a quick question here, I have a boat loan of $10,000 witha credit score of between 680-700. I sold the boat and was wondering how much my credit score will go up, if any. Also, how long does it take from the time the loan is paid and until it will be reported on my credit score.

It will take at least 1 month! to record as paid on the boat…to increase your score it will take a month to 2 months to increase score…

thank you. Do you know how much it might go up? I have about 85K in debt, well 72K now (But 55k is in my rental house) and 10k is in my truck payment and about 7k in othe misc debt. Im hoping to get my score up to about 750 plus in the next year or so.

I have a rehab house that im doing now that should eliminate my misc debt once i sell it and my truck loan if i choose to pay if off opposed to pocketing the money.

One thing you do not want to do is get rid of all your debt, you need to continue having some lines of credit otherwise it will hurt your credit.

As for how much your score will go up from my experience it should go up 30-50 pts, for some reason boat loans hurt credit more than other things.

cool, that works for me…

i will always have some debt as i plan on buying and selling houses with credit cards. I have about 4 or 5 credit cards right now that i plan to keep open. The reason im looking to get my score up around 750 plus, is i want to increase my credit line to 75k-100k. I dont know if it will happen, but it would be nice to throw the house on the CC and not have to pay a bunch of closing costs to turn around and flip it. Then if i end up keeping it and renting it, i would just do a refinance if needed.

These are a few ways to help boost your credit
• Keep balances low on credit cards and other “revolving credit”.
High outstanding debt can affect a score.
• Pay off debt rather than moving it around.
The most effective way to improve your score in this area is by paying down your revolving credit. In fact, owing the same amount but having fewer open accounts may lower your score.
• Don’t close unused credit cards as a short-term strategy to raise your score.
• Don’t open a number of new credit cards that you don’t need, just to increase your available credit.
This approach could backfire and actually lower

A nother key factor is if you keep the balances at 50% or lower it will boost your score. As for the boat it will depend on your debt to income ratio and your available credit verses used credit. :-\

Yeah, my score probably wont go up as i have 2 cards that are going to be close to maxed out by the time im done with this property. If i can sell it right away i will be ok, but i should have my cards open again if i dont sell within 2 months, as i will take out a heloc or 2nd mortgage.