The content is accurate at the time of publication and is subject to change.

Your payment history is the most important credit score factor, so making timely payments and reporting them helps build a positive credit history.

Traditionally, credit reports include payments on two types of accounts: revolving credit such as credit cards and installment loans. However, credit builder accounts are now helping to improve your creditworthiness through alternative reporting.

The most common credit building products are credit builder loans. A lender deposits the loan amount into a secured savings account and requires you to make monthly payments before you receive any funds. Each payment is reported to at least one of the three credit bureaus, which helps build your credit history and your credit score.

If you sign up for a rent reporting service like Self - Credit Builder Account, your rent payments get reported to the credit bureaus.

Likewise, you can report your utility payments, streaming services or the monthly subscriptions you already pay for using services like Experian® Boost™.

Thus, if you pay your monthly rent and utility bills in full and on time, having them reported to the credit bureaus can have a positive impact on your credit history.

tags : Credit Score Build Credit

Disclaimer: This editorial content is not provided or commissioned by the banks or credit card issuer(s). Opinions expressed here are the author's alone, not those of the banks or credit card issuer(s), and have not been reviewed, approved or otherwise endorsed by the banks or credit card issuer(s). Reasonable efforts are made to present accurate info, however all info is presented without warranty. Consult with the issuing bank of the card or account for terms & conditions.
All rates and fees, and other terms and conditions of the products mentioned in this article/post are accurate as of the last update date but are subject to change. See the current products' Terms & Conditions on the issuing banks' websites.