Coli Credit Experts, I Need Your Help (Student Loan Consolidation)

[Double Burger With Cheese]

I'm struggling to get a clear answer on something. I'm debating on if I should consolidate my student loans. I think they have my credit looking I owe about 30 racks. But instead of it showing under one account on my credit report, it's split up into 17 different accounts. The student loan people told me it's shows like that because of all the start and stops I did while getting my degree. They said the only way it will all fall under one account is if you go straight through without any breaks. So instead of me just having one account with 30 racks, it's split up between 17 different accounts.

I'm thinking that this shyt is hurting my credit score. I would assume that my score would improve if I consolidated everything under one account. The student loan people said that they can do that for me. But when I try to get some clarity on if this would effect my credit score, they don't really offer any insight either way. I get mixed answers when I google the subject too.

So to those who are familiar with how credit reporting and scoring works, can you tell me how consolidating my 17 student loan accounts into one will hurt or help my credit? Are there pros and cons for doing this as it pertains to my score? Thanks.

 

[I_Got_Da_Burna]

I don't think it effects your credit one way or another as long as all 17 are up-to-date. As a matter of fact, the more current credit accounts you hold, the better your credit will be.

So to answer your question...no, consolidating doesn't improve your credit, it just makes it easier for you to pay one acct vs a bunch of different ones.

 

[feelosofer]

Don't consolidate, I know it's an annoyance to owe so many different accounts but most loan companies are willing to work with you based on your income. Plus certain private institutions won't let another company buy out its loans.

 

[sayyestothis]

Your credits ur credit. Paying ON TIME on multiple student loans instead of paying ON TIME on one BIG student loan will be the same.

What helps ur credit? Paying on time and paying things off...no quick fixes.

I wouldn't consolidate unless there is an monetary benefit ie substantial interest rate reduction etc.

 

[Entrapta310]

these are the key factors of CREDIT and how they calculate your score
35% PAYMENT HISTORY
30% HOW MUCH YOU OWE
15% LENGTH OF CREDIT HISTORY
10% HOW MANY NEW ACCOUNTS YOU GOT
10% WHAT TYPE OF DEBT YOU OWE.


those all factor into your score, so if you consolidate its gonna show some of your accounts were lessened BUT the debt remains......

 

[Double Burger With Cheese]

I don't think it effects your credit one way or another as long as all 17 are up-to-date. As a matter of fact, the more current credit accounts you hold, the better your credit will be.

So to answer your question...no, consolidating doesn't improve your credit, it just makes it easier for you to pay one acct vs a bunch of different ones.

I applied for some shyt and got denied last month. One of the reason on the letter was too many open accounts (forgot the other reason) but beside the student loan accounts, I only have 2 other accounts, which are credit cards that I have never missed a payment on. I literally have perfect payment history. I'm looking at getting house or condo in the next year and I don't know what I need to do to get my score up. My shyt sitting at like 615

Don't consolidate, I know it's an annoyance to owe so many different accounts but most loan companies are willing to work with you based on your income. Plus certain private institutions won't let another company buy out its loans.

I haven't even started paying yet. I'm on an income based deferment right now that I filled out when I was laid off

 

[Double Burger With Cheese]

these are the key factors of CREDIT and how they calculate your score
35% PAYMENT HISTORY
30% HOW MUCH YOU OWE
15% LENGTH OF CREDIT HISTORY
10% HOW MANY NEW ACCOUNTS YOU GOT
10% WHAT TYPE OF DEBT YOU OWE.


those all factor into your score, so if you consolidate its gonna show some of your accounts were lessened BUT the debt remains......

I got perfect payment history, but I do have almost $5,000 in CC debt right now. If I pay that down to zero will that boost up my score by a good amount

 

[Entrapta310]

@SparkMcGwire you have a 615? thats not bad.
300 is the lowest

I got perfect payment history, but I do have almost $5,000 in CC debt right now. If I pay that down to zero will that boost up my score by a good amount

the more you pay boosts your score.
i dropped my debt down this past 7 months and my score jumped 100 points

 

[unit321]

I'm struggling to get a clear answer on something. I'm debating on if I should consolidate my student loans. I think they have my credit looking I owe about 30 racks. But instead of it showing under one account on my credit report, it's split up into 17 different accounts. The student loan people told me it's shows like that because of all the start and stops I did while getting my degree. They said the only way it will all fall under one account is if you go straight through without any breaks. So instead of me just having one account with 30 racks, it's split up between 17 different accounts.

I'm thinking that this shyt is hurting my credit score. I would assume that my score would improve if I consolidated everything under one account. The student loan people said that they can do that for me. But when I try to get some clarity on if this would effect my credit score, they don't really offer any insight either way. I get mixed answers when I google the subject too.

So to those who are familiar with how credit reporting and scoring works, can you tell me how consolidating my 17 student loan accounts into one will hurt or help my credit? Are there pros and cons for doing this as it pertains to my score? Thanks.

If you have $30,000 split up into 17 different loans, do not consolidate. Let this situation work to your advantage.
Try to pay off the principle off on one of the smaller ones sooner. Once you pay off one loan, now you have 16 loans. Your credit rating will improve because you paid off a loan.
Then, continue paying off all 16 loans. Again, try to pay off the principle on one of the smaller ones. And so on and so on.

If you consolidate into one big loan, your credit rating may move a little as the principle goes down annually if you are never late on a payment. I believe closing off a loan in full will be better for your credit rating.

 

[Double Burger With Cheese]

@SparkMcGwire you have a 615? thats not bad.
300 is the lowest



the more you pay boosts your score.
i dropped my debt down this past 7 months and my score jumped 100 points

Yeah, but looking at mortgage stuff, 615 is around the minimum for a mortgage. I'm trying to get a good interest rate when I cop the house.

I'm gonna go ahead and pay my cards off in the next 2-3 months since it will boost the score. I really don't even need the credit cards.

 

[Double Burger With Cheese]

If you have $30,000 split up into 17 different loans, do not consolidate. Let this situation work to your advantage.
Try to pay off the principle off on one of the smaller ones sooner. Once you pay off one loan, now you have 16 loans. Your credit rating will improve because you paid off a loan.
Then, continue paying off all 16 loans. Again, try to pay off the principle on one of the smaller ones. And so on and so on.

If you consolidate into one big loan, your credit rating may move a little as the principle goes down annually if you are never late on a payment. I believe closing off a loan in full will be better for your credit rating.

 

[Entrapta310]

also, if you want a "good" score,
just try to be in the 600's... you can do almost anything with a 600 or higher.

no reason to try for over 700 if you can get the ish you want in the 600's
no need to pay off shyt right away if you have a good APR...

Yeah, but looking at mortgage stuff, 615 is around the minimum for a mortgage. I'm trying to get a good interest rate when I cop the house.

I'm gonna go ahead and pay my cards off in the next 2-3 months since it will boost the score. I really don't even need the credit cards.

mortgages are m mostly about length of income and income history, not credit score though

 

[I_Got_Da_Burna]

I applied for some shyt and got denied last month. One of the reason on the letter was too many open accounts (forgot the other reason) but beside the student loan accounts, I only have 2 other accounts, which are credit cards that I have never missed a payment on. I literally have perfect payment history. I'm looking at getting house or condo in the next year and I don't know what I need to do to get my score up. My shyt sitting at like 615



I haven't even started paying yet. I'm on an income based deferment right now that I filled out when I was laid off

i suggest you call the lender and explain your situation. sometimes they'll work with you if you have a mitigating circumstance like the one you have.

 

[BrehWyatt]

Man, my credit was near 700 before I tried to get a new whip a couple years back. They did HARD Credit Checks (at least 10) to make sure my score was as good as it said it was/get me good interest rates.

Fukked my shyt up But they're starting to drop off my history now and I've noticed my score is going back up.

But to co-sign what's being said in here, it's mostly about on-time payments and the length of credit history. Basically, as long as you aren't missing payments, you should be alright.

 

[Rawtid]

If you have $30,000 split up into 17 different loans, do not consolidate. Let this situation work to your advantage.
Try to pay off the principle off on one of the smaller ones sooner. Once you pay off one loan, now you have 16 loans. Your credit rating will improve because you paid off a loan.
Then, continue paying off all 16 loans. Again, try to pay off the principle on one of the smaller ones. And so on and so on.

If you consolidate into one big loan, your credit rating may move a little as the principle goes down annually if you are never late on a payment. I believe closing off a loan in full will be better for your credit rating.

I was going to say the same thing. List them from smallest to largest and then knock out the smaller ones.