How will a 1 year automotive loan effect my credit if I am considering purchasing a

  • Thread starter Thread starter Jeremy
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Jeremy

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house 2 years from now? I am considering taking a small loan to pay for a $10,000 car (for my mom's Christmas present). However, I am considering owning my own home 2-3 years from now.

I have roughly 7K in liquid funds right now, therefor I should not have any issue getting an automotive loan for 10k. My main goal is to increase my credit score with an automotive loan so when I am ready to take a much larger loan for the house, I can get the loan at a lower rate due to my improved credit score. Is this a good idea? Or will a short-term automotive loan hurt my credit score?
 
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