How Long After Paying off Debt Will My Credit Score Improve?

I recently paid off all my credit card debt as well as a small medical loan. None of the accounts were in collections or ever had been. I'm guessing my credit score should go up some because I just paid off almost 7K in debt, leaving me only with a house mortgage and half a car loan. How long before my credit score goes up?

Suggestion:

Ask lenders for agreement to delete this items from your credit report when paying them. I recommend to get such agreement thru credit repair agency, for example this one – credit-report-score.10001mb.com

{ 6 comments… read them below or add one }

You might see a 5 point increase. They only way to improve your score is long term prompt payment of bills

Since part of your credit score is based on your level of debt, it should go up at least a little within 30 days. How much depends more on your credit profile as a whole.

You should see it in one – two months. Three max I'd say.

25% isnt bad, so I am not sure how many points it will go up. As long as you are under 33% you are considered good debt ratio

frankly, it will drive you nuts trying to get it to increase, so many things enter into it.
the best way is to read up on how to do it, what not to do etc, and eventually it will do it's thing and level off, but every transaction it seems causes a stir one way or the other..

First, while debt to income is a factor creditors use in your credit review process, it is NOT part of yoru credit score. I know that a couple people will argue with me on this but there is absolutely no way for debt to income to be included in your score. Your employer does NOT report your income to the credit bureau. Without your income, you can't figure debt to income ratio.

Paying off an installment loan does not really improve your score. Installment loans build your credit as you make the payments over time.

Paying off credit card balances, however, could give your score a quick boost. Especially if you were carrying balances of more than 30% of your limit. It will show as soon as the credit cards update to the credit bureaus.

How much really depends on the rest of your credit report.

http://raiseyourcreditnow.com/ has articles and several steps to raise your credit score.

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