@JOHNINAZ wrote:
So I tried a quick search and didnt find my answer. Is it better to get an auto loan or lease if you want to rebuild your credit? Mind you mine is moving up fine with no real debt and a couple credit cards but I was thinking of purchasing/leasing a new car to jump it quicker. I am just curious if either one is better. I mean if a bank/loan company will approve you for 40K (income and debt to income can absolutely support this, not sure my score will) or a lease will do the same, does it matter ? Sorry if this was answered elsewhere. I just never had to rebuild so it never really mattered in the past and now I want to pick the best way. In reality my best way is NO car payment but it seems Im kind of stuck where I am now score wise (hasn't moved in 4 months) because I wont extend myself out there. TIA, John
It doesn't matter whether its lease or a loan. They're both reported as installment loans. However leases are generally harder to get if you have poor credit. Still a good credit report usually includes a mixture of revolving and installment credit accounts.
