I'm currently in school and don't need to start paying on my student loan until six month after i'm finish school, my credit score is not too bad "700 " but i tried to get a loan and noone would approve me because of my student loan. I owe on a few credit cards, i make my payment on time and i don't owe alot of money on them.
Should my student loans already be affecting my credit even though i don't owe them as yet?
2007-08-05 12:44:27 · 6 answers · asked by redhead 2 in Business & Finance ➔ Credit
Your student loan should not have any effect on your credit. Don't apply with the person that listed above me! Go through a major credit card company.
I didn't finish my thought - as long as your student loans are in good standing - it should not have a big effect on your credit eligibility since it is not a REVOLVING debt. It is an installment and is viewed VERY differently from credit cards.
2007-08-05 12:53:07 · answer #1 · answered by GA Peach 3 · 0⤊ 2⤋
Any time you build a line of credit or take a loan, that will affect your credit and eligibility for credit cards.
When you sign up for credit cards or cancel credit cards, that will affect your credit report. I think the fact you are spreading yourself thin and owing multiple sources will not look good from a loan officer point of view. They are not only looking at your credit score, but also how much debt you have built-up compared to your income and assets.
Even though you don't owe alot, a loan officer would see it as two strikes against you rather than only $500 in debt from two credit cards. Pay off all your credit cards, stick to only 2 credit cards and build some savings and you will be a more eligible candidate.
In the end, a loan is a loan, debt is debt regardless when you have to pay it off.
2007-08-05 20:03:23 · answer #2 · answered by techman2000 6 · 0⤊ 0⤋
I had a $30,000 student loan. I had no problem getting a credit card with $25,000 credit line with BOA. I don't think student loan has any effect on how I get a loan.
What type of loan did you try to get? I even bought a house while I was in school with a 5% fixed rate for 20 years.
If you have good credit, I don't see why can't you get a loan. I didn't have any problem matter of fact, I was pre-approved for my mortgage.
2007-08-05 22:46:52 · answer #3 · answered by Prenn 3 · 0⤊ 0⤋
Yes, it will affect your credit because it is a liability, money that you owe.
2007-08-05 19:53:35 · answer #4 · answered by Kristina C 3 · 0⤊ 1⤋
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2007-08-06 09:34:32 · answer #5 · answered by Anonymous · 0⤊ 0⤋
Yes. It is outstanding debt that you owe.
2007-08-05 20:03:57 · answer #6 · answered by Boots 7 · 0⤊ 0⤋