Is it better for your credit rating to take out a personal loan to consolidate your debt and tke it off your credit cards or doesn't it matter either way? debt is debt?
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Anonymous
ANSWERS: 2
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Your FICO score, a credit rating measurement, is calculated as follows: * Payment history - 35% * Amounts owed - 30% * Length of credit history - 15% * New credit - 10% * Types of credit used - 10% So 30% of your rating comes from the amount owed, whether it's owed to one company or more. Consolidating your credit can be a good thing, _if_ you can get a good interest rate _and_ you don't charge up the credit cards again. Also, if it will allow you to continue to make payments on time, that will help keep your score in good standing too.
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it doesnt matter who you owe, as long as your bills ARE being paid, your credit will grow, the best way is to use your credit card (if its zero interest if you pay it off the same month) for groceries and pay the cash you were gonna use to the credit card
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