lumburg

Will Refi-ing make lates dissappear?

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I searched and I can't seem to find the answer to this and was hoping for any insight. If I had lates on a installment type loan and refied with another company, then my account would be closed and then any lates would be gone correct? Or am I missing something to it? I understand that the lates would still be in the history but it would be a closed account not effect my score? Thanks in advance guys!

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The lates will still be there on that closed account. They may have an impact on your score - less of one as they become older.

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The lates will still be there on that closed account. They may have an impact on your score - less of one as they become older.

So, transfering these to a new loan does nothing to reduce their impact to my score? I did not realized that closed accounts were weighted so heavily other than if you close a long standing account that reduces your overall length of history

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It might even hurt your scores to refinance if the history is, for the most part, positive. I'd think all accounts, open and closed, are going to be weighted heavily. Otherwise, someone with a single credit card and no installment loan as their only history would have a score of... 550? All things in the past are considered. They are considered until they completely drop off. Looking at my CRs, I think old positives far outweight old negatives.

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