Initially, taking out a car loan can decrease your credit score, as this hikes up your credit utilisation. But if you can make all your repayments on time, a car loan will, in time, help improve your credit score.
Updated 25 Aug 2020
Initially, taking out a car loan can decrease your credit score, as this hikes up your credit utilisation. But if you can make all your repayments on time, a car loan will, in time, help improve your credit score.