Improving credit score without credit card

Dear Experian,

How can you improve your credit score if you don’t have any credit cards?



Dear HQB,

When you use a credit card you decide how much to charge and how much to repay each month. Because you make those decisions, a credit card gives some additional insight into how you make independent credit management decisions and sound credit card management is often the best way to improve your scores.

However, you can build a good credit history that will be reflected in good credit scores, without a credit card. Consistently making on time payments on installment loans, such as a car loan, demonstrates that you are a reliable borrower.

A rich history of on-time installment loan payments will be reflected in good credit scores, even if you don’t have a credit card.

Thanks for asking.

- The “Ask Experian” team

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