Would my credit score increase if I paid off a loan early?

I opened a secured loan account for $5,000 with Wells Fargo about 9 months ago just to establish credit. Would my credit score increase if I paid it off in full? I used my CD as collateral.

Public Comments

1. To help you, I would at least have a year of payment history on it to really help your score.
2. I would go up a little. The problem with the credit score is you have to keep borrowing money and keep making payments on time to keep a high score.
3. No. Your score depends upon on-time monthly payments. I would cut the duration of your loan in half if possible just to end the hassle. But if you want to bring your score up, you have to have multiple, consistent, on-time payments. If you pay your bill the day it comes, you get peace of mind, but ti does NOT raise your FICO score if you pay early. I think it should, but they don't agree with me.
4. No, it wont help your credit score, but it will however lower your interest payments =) You can also try opening a secure credit card for like $200 and paying it off each month. That will help you boost your score in no time in addition to what youre already doing. I'm glad youre thinking about your future and taking steps to ammend your score. Here are my 10 steps you can use to build your credit score quickly. I raised mine to well over 700 points fro 500 using these steps in less than a year: 1. Know and Track Your Credit Score (be sure to sign up for the free trial of your credit score monitoring listed below. It really helped my get my score up.) 2. Never Miss a Payment, Starting Today 3. Never use more than 20% of your Available Credit 4. Keep Credit Cards that Have No Annual Fees Open For as Long as Possible 5. Extend Your Credit Limit on Cards You Already Have before You Get New Ones 6. Get Credit Cards that Have CashBack Rewards to Contribute to your Balance 7. Transfer Your Balance to a Credit Card with a Lower Interest Rate and a Higher Available Credit- 8. If You Think You Are Going to be FORCED to Pay a Bill Late Ask for an Extension or Payment Plan 9. Take out a Small Personal Loan and Repay it Over a Year 10. Ask Someone With Good Credit if They will Account Shadow you When you're trying to build a solid credit score it's important to get a comprehensive view of what is actually effecting it... Your Credit Score (also known as your MyFico score) is calculated with the following breakdown: * 35% -> History of Payments * 30% -> Debt to Credit Ratio (available credit) * 15% -> Credit History (length of open accounts) * 10% -> New Credit (are you expanding your credit) * 10% -> Credit Types in Use (varied credit types from loans to credit cards) If you excel in one area and lack in another, only fixing the areas which you lack are going to improve your score. You can read more about these tips on my blog: How Can I Increase My Credit Score * http://millionster.com/articles/debt/increase-fico-credit-score/