Advantages of On-Time Payments
Making your loan payments on time and in full every month offers several benefits, financially and personally. By avoiding late or missed payments, you will:
- Learn how to budget and manage your finances.
- Establish good credit so you can plan for larger purchases such as a car or a home. Your payment history may account for up to 35% of your credit scoreOpens a new window. Learn more about how payment history affects your credit score at the Fair Isaac Corporation websiteOpens a new window.
- Become a responsible borrower. You may qualify for other benefits including lower insurance rates or interest rates on other loans.
- Avoid the consequences of default.
- Pay less interest over the life of the loan.
- Not have to depend on someone else's credit to make a purchase.
If you have difficulty making your monthly payments, loan counselors can discuss possible options with you.