Is it true, consolidate my student loan will improve my credit score?

I read some place that consolidate my federal student loan will improve my credit score? I don't know if that would apply to me, since I already have high score (like 720 something) I don't really need to lower my monthly payment or anything like that. In fact, I would pay it off with in 18 months. But if consolidate the loan will really improve my credit a lot. I might actually interested, since I am planning to get a mortgage sometime in the next 2 years. What you guys think?

Public Comments

1. It will not "boost" your score. If you do not need a lower payment, then just pay it off, that will help your credit more.
2. If they pay off within 18 months, getting a consolidated loan will hurt your score. Your score goes down each time you get a new loan, even if it is replacing old loans. Let them pay down naturally. Anything that will pay off in less than 12 months when you go to buy a house typically isn't considered when applying for a loan to buy a house, so having these loans shouldn't hurt you. Don't get any new accounts or credit cards until you have bought that house. Anything new will hurt your score - which is good, but isn't great... 760 to 800+ is great.
3. nope it will not help and could hurt since you will have another hit on the report -- just keep plugging along and pay it off!!!
4. Consolidating might cost you more in the long run. What you should do is start with the smallest one and pay it down faster while you make your usual payment on the other ones. And when that one is paid off start paying off the next lowest balance one. What that shows the lenders is that you are committed to taking care of your responsibilities as quickly as possible. I would question where the advice was coming from about consolidating. Did it come from a loan company trying to get your business?
5. yes its true
6. To find out specifically what you must do to raise your score, you can order your score report from all three national credit bureaus. In addition to your score<!--you'll get your credit report, an indication of how your score ranks nationally and an explanation of how you can boost your standing. http://best-loans.awardspace.com/creditscore.htm In order to improve your credit score, it's important to know where you stand currently. Despite all the media attention given to free credit reports-->you still have to pay to find out your credit score, the three-digit number ranging from 300 to 850 that is the key to your borrowing costs.
7. I have used the myfico simulator when I check my scores there. They say that transferring funds can hurt but it depends on your profile. If you have a good profile with everything else such as no late's, low debt to credit etc, it probably won't do anything to your score.
8. Paying off any debts will help increasing your score. You can increase your score till 850-900 its the highest score. Here is the source http://ezconsolidation.com for your reference who offer student loan consolidation.
9. Cindy16, I recommend you try calling a local credit rebuilding service. http://www.tipstoimprovecredit.com They should offer you advice to help improve your credit.