Repaying a loan early

[Jeros]

Im sick of paying out each month for my loan, i want to pay it off early but will it results in a bad credit blip, a positive one, or a just nowt, people keep telling me diff things

 

[Mey]

Nowt, from what i understand.

Word of advice, don't pay the full amount pay final balance - last months DD and let the final DD clear the loan.

You won't incur the early resettlement fee that way

(atleast thats how it used to work.)

 

[Raven]

It also depends on whether there is an early settlement fee. Check that first. Not the rating bit but some bank will have a fee written into their loan. Other than that, no it won't effect your credit rating as such but when people are checking your credit file they will see that you have one less outgoing so if anything it will benefit you, at least in the short term.

 

[Cozak]

As for your credit score it wont count against it, but if you are wanting to improve your credit rating then the best way is by keeping the monthly payments making sure they are paid on time etc.