0% Financing from stores - good or bad for credit score?
I have pretty good credit (~730), and I have 2 revolving credit card (that I pay off each month), and no loans/mortgages. I'm buying some furnitures and I'm considering taking advantage of the 0% financing at BOTH the mattress store and the furniture store. I heard that adding 1 structured loan to your profile might be good, but what about adding 2 structured loans at the same time?
Public Comments
- It's only "good" if they report to the credit bureaus.
- Are you planning on taking out a big loan for a car or home sometime soon? It might ding your credit to open the accounts but as long as you make the required payments it's not going to hurt you in the long run. Just make sure that you are making any required monthly payments and that you pay the full balance off before it starts bearing interest because very often you will pay interest accruing from the beginning of the loan term if you don't pay it off in full by the end of the promotional period.
