Should I make a lump-sum payment toward my student loan before any payments are due?
I was approved for a fixed-rate student loan that paid off the remaining balance my university requested at the time and allowed me to continue studying. At the start of the spring semester, I was awarded a scholarship and I was refunded half of my loan. I wanted to start making payments so that the interest does not get out of hand, but I wanted to do it in a way that would help my credit score grow as well. Would a lump-sum payment be the best option? Is there a better way to make payments, or will it not affect my score at all?
Pay off the student loan. Stay out of debt. If you want to build your credit score, go get a credit card, use it for normal purchases, and promise me you will pay off the balance at the end of every month.
You will thank me later. The end.
-Jordan Jones, RFC