Paid $350 for a credit builder loan through a online lender, actually helped my score jump 40 points

I was skeptical at first because it felt like just paying myself back with extra steps. But after 6 months of on time payments my score went from 620 to 660 and I finally qualified for a real card. Anyone else try those credit builder loans or were they a waste of time for you?

2 comments

2 Comments

spencer_chen620h ago

Read a thread on a credit forum where a guy tracked his score monthly with one of those loans versus just saving cash. He said the loan helped his payment history mix more than the savings account did. Made sense to me after trying it myself. Mine went from 600 to 645 in four months, nothing fancy but enough to get a secured card after.

the_oscar19h ago

Same boat here man. My score went from 580 to 615 in 5 months with Self, and that little bump was enough to get a Capital One secured card.