Do I need to buy a car on finance just to build credit?
Taking on a car loan solely to build credit history before buying a house risks adding unnecessary interest and debt when savings are already low. Without prior credit card experience, managing a low score requires understanding how payment timing and scoring models work rather than forcing large debt payments.
What people tried
Every workaround mentioned in the threads below. We haven’t tested any of them — and nobody here is claiming they worked.
- 1Getting a credit card and paying it off in full every month
- 2Having parents add you as an authorized user on an existing credit card
- 3Using manual underwriting for a home mortgage without a traditional credit score
- 4Paying some of the balance early and the rest on the due date
- 5Paying the balance weekly or monthly before interest is charged
- 6Checking monitoring app scores and attempting various payment schemes to move the score
In their words
Unedited, grouped by where they were said, most upvoted first within each place, each linked to the thread it came from.
“I (25 M) have never owned a credit card. I worked while in college in order to pay off all of my credits in school. Paying off school and a minor medical spat towards the end of school has left me with no debt after college, but little savings at the time.”source ↗
“People in my life have recommended taking out a loan for the car in order to build credit for when I am able to put a downpayment on a place for myself, while others have thought about having a house payment and a car payment may be difficult.”source ↗
“I don’t rlly know much about credit and that’s why I’m here to ask a few questions.”source ↗
“I checked and I’m at a 546 which I know is bad.”source ↗
“Im also curious if I should pay early in full or pay directly on time in full or if I should cut it into 2.”source ↗
“ALSO should I be worried about the Credit Karma score?”source ↗
Where this came up
People with this problem also raised
- 6How to rent an apartment with no credit history
- 8How to get a mortgage without a traditional salary or employment history
- 5How to build credit and deal with debt collectors for an apartment
- 4How to pay credit card debt with no job and leaving the country
- 2How to pay for school or a hobby when you didn't save enough
- 5How to invest and make my own money without a job