The most important and significant factor in college loans is not to make it go into default
You can increase your score by making the interest payment on the student loans when you are in school. They also have a grace period of 6 months after graduation. If you start your payments earlier you will get a positive score.
4 – Watch out for default
This can ruin your credit score and will make you stay on it for several years. It will be better to ask for a free credit report every year to make the payment are being correctly paid to the education loans.
Can I improve my credit score?
If you are in no need for private loans instantly then you can delay applying for a loan by a few months and work on improving your credit score. You should request a copy of your credit report, revise them and check for any errors.
Reducing the total debt level and giving it for consecutive months on-time payments will also boost your score. If you have no credit at all then you can rebuild it for good by applying on your own.
Paying off the loan in advance
Paying off a loan before time may undermine your credit score. Educational loans need to repaid on installments and making of payments on time will help you demonstrate you as a reliable borrower. Read more