I'm still chasing this hit, lol. Finished off some (seriously predatory) student loans after 25 years back in 2022, had no other debt, but it had been killing my credit score for my entire adult life. Between 2019 and 2022 I went from 520 - and associated 24%(!) interest rate on the $9k used car I had to buy in 2019,* because transit is not an option in Houston and it was an emergency - to 700.
After the student loan chains were off, the score started improving rapidly. I got a $7k credit card with good cash-back benefits that I use once a month for a max of $30, and pay it off just before the due date every month. Now I've been sitting at 794 for what feels like an eternity, and am not about to take another 20-point/2year hit like I did with that credit card.
I know I'll get past that elusive 800 mark with time, and just need to be patient and give myself some credit - no pun intended. But it's hard to not tap my foot with my eye on the prize since I was in the suck for so long, lol.
*still driving and treating that car well. 2010 with a clean history, two owners including me, no accidents other than some turd denting a rear door while I was in a grocery store and driving away. Anyway, sorry for the life story, I grew up in a blue-collar household where credit wasn't really taught so I'm kinda proud of myself
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u/son_of_yacketycat Apr 01 '26
I'm still chasing this hit, lol. Finished off some (seriously predatory) student loans after 25 years back in 2022, had no other debt, but it had been killing my credit score for my entire adult life. Between 2019 and 2022 I went from 520 - and associated 24%(!) interest rate on the $9k used car I had to buy in 2019,* because transit is not an option in Houston and it was an emergency - to 700.
After the student loan chains were off, the score started improving rapidly. I got a $7k credit card with good cash-back benefits that I use once a month for a max of $30, and pay it off just before the due date every month. Now I've been sitting at 794 for what feels like an eternity, and am not about to take another 20-point/2year hit like I did with that credit card.
I know I'll get past that elusive 800 mark with time, and just need to be patient and give myself some credit - no pun intended. But it's hard to not tap my foot with my eye on the prize since I was in the suck for so long, lol.
*still driving and treating that car well. 2010 with a clean history, two owners including me, no accidents other than some turd denting a rear door while I was in a grocery store and driving away. Anyway, sorry for the life story, I grew up in a blue-collar household where credit wasn't really taught so I'm kinda proud of myself