Does keeping an auto loan for at least one year give you a better credit score?

I bought a used car in january, the guy said i should at least keep it (keep paying on it) for at least a year so it would show up on my credit report as major credit. Is this true? Also would it hurt me to sell it and pay off the loan even though i've only been paying on it say 6-7 months? thanks

Does keeping an auto loan for at least one year give you a better credit score?

Yes sure it will help!

Does keeping an auto loan for at least one year give you a better credit score?

Auto Loan Guide: http://autoloans.autoloanassis... Report It

Does keeping an auto loan for at least one year give you a better credit score?

You establish credit by taking a loan and paying it off. Complete the loan. You pay all the interest in the front of the loan. It isn't to your advantage to pay it off now

Does keeping an auto loan for at least one year give you a better credit score?

i would find out if you get a rebate for interest if you pay off early. if not, then i would pay for a year and invest your money elsewhere to make the most off of it. you will get good credit either way. on one hand having the year of payments demonstrates history / reliability. on the other hand lenders will also find you attractive because the loan is paid off. any closed loan that is paid off counts stronger than loan that is outstanding . owing the money is reported as having an open balance and it makes your debt ratio look higher. credit is a combo between historical payment record and your debt to income ratio.

Does keeping an auto loan for at least one year give you a better credit score?

they say that casue I think they get a commissoin if you stay with that lender for a year or so.....

Just pay it off as soon as you want... why pay intrest at all?

Does keeping an auto loan for at least one year give you a better credit score?

Auto finance is what I do for a living and yes it is true.

One of the first things a lender looks for when they are deciding weather to approve a loan for someone is to see if they have something like a home or vehicle that they have paid at least 12-times. This is called a qualifier.

Also a full 35% of your score is made up of your payment history.

And the other poster who said that the dealer gets a commission if you keep the vehicle a years simply doe's not know what they are talking about.