Your credit score will increase if you manage your debt responsibly. Paying off consumer debt, such as credit cards and installment loans, can raise your score in approximately 30 days, assuming the creditor reports it immediately to the credit bureau.
Time Frame
Creditors update your file with the credit reporting bureaus every 30 days. If you pay the debt right after they've reported, it will take well over 30 days -- closer to two months -- for the bureaus to generate your new score.
Expert Insight
The Federal Trade Commission and myFICO.com agree that there's no "quick fix" for credit worthiness. Accurate negative information, such as late payments, bankruptcy and foreclosure, appear on your report and affect the score for seven to 10 years. Their impact lessens over time, especially with proper credit management.
Warning
Not all creditors report to all three major bureaus -- Experian, Transunion and Equifax -- and some don't report to any of them. Paying off a debt does not guarantee your score will increase. Check with the creditor to find out which credit bureau it reports to and when.
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