Car Finance

Colin_312

Hi
Is it better to pay car finance off early or let it run for the term.
If paying off early does it affect your credit score ?

bazzyb

The sooner you pay it off, the less interest you would pay, so that would be 'better' financially.

Paying it off early will affect your credit score, paying it off on time will affect your credit score, not paying it back at all will affect your credit score. But only you will ever see your fictional credit score anyway.

Colin_312

Hi
What I should have said is will my credit score go up or down if i pay off early ?

neilmcl

It'll make no difference to your credit score if you pay it off early.

System

Colin_312 wrote: »

Hi
What I should have said is will my credit score go up or down if i pay off early ?

It makes no difference because no lender uses the credit score you get from the credit reference agencies. They all use their own internal scoring based on the contents of your record and not the makey uppey number Equifax, Experian et al give you.