Everyone makes mistakes, and sometimes those mistakes are left on your credit report for years. It’s possible for good people have bad credit, but with some dedication and the right information, good credit can be within your grasp. One of the best ways to improve your credit is to receive an auto loan and make all your payments on time.
An auto loan is the easiest loan to receive, and will show other lenders in your future that you worthy of a credit line. When possible lenders look into your credit history, they look for on-time payments made on installment loans and your revolving credit. Installment loans include auto loans, student loans and mortgages. Credit cards are considered part of Revolving Credit.
With a low credit score, the interest rates on your loans will be larger, raising the amount you will have to pay in the long run. After two years of making on-time payments on an auto loan, your credit score will rise and you are then eligible for a lower interest rate. Lower interest rates can save you hundreds, and in the case of home loans, thousands of dollars.
At the Burlington Used Car Superstore, we are dedicated to saving you as much money as possible. We can help you build your credit, raise your credit score, and help you to keep your hard-earned dollars in your own pockets.
5 easy steps to help improve your credit
Check your credit score, or have us do it for you
Have a job and stick with it
Open a bank account
Get an auto loan
Pay your bills on time