i have a few accts on my credit report that show closed even tho they are fully paid off is there a difference in the score for each?
Ok... I have closed a lot of my 39 total accts. Some of them are completely paid yet they show CLOSED status not PAID. Some of the others I have paid show PAID. Is there a difference either in my score or to creditors that accts that are paid off be marked PAID and not CLOSED? Thanks
If it's a revolving account, it will impact your FICO if it's closed because it includes your available credit in the FICO formula somehow. (ie: if you have 3 cards each with $1k CL, 2 are at 50% utilization and the third is paid, but all show open, then your overall utilization will be a better impact to your FICO than if the third one is paid AND closed. Your utilization will then be higher) If it's an installment account, the paid status is more important than the closed. I don't think the closed status plays into FICO. If it's any account in bad standing, try and get it closed AND paid. Don't want anything with a "paid collection" or "paid charge-off" status.
Thanks Mike... I think I get that overall Paid is better than closed I will request that they update the paid ones to PAID not CLOSED if that is possible.
But wouldn't closed w/ a zero balance per consumer request be the same as paid? Or does paid still figure into your ratios where closed does not?
