[m2for2]

Hi All,

I have approx a 740 credit score, but I'm trying to get it above 800 for when I take out a mortgage (hopefully) in the near future...

Does anyone know if the lease I just signed will help my credit score, assuming that I make on time payments over the next 12-24 months consistently?

Anyone experience a good boost from their timely lease payments?

[christianb5s4]

At a minimum, six months is helpful. That's how long I plan to finance then pay the rest in full purely to build credit.

[m2for2]

Originally Posted by christianb5s4

At a minimum, six months is helpful. That's how long I plan to finance then pay the rest in full purely to build credit.

I was thinking of going the same.

Pay for 6 months, then buy the car out of the lease.

These lease payments are kinda ridiculous with how high the money factors are now.

[Niko1Devynios]

Having a lease that you pay on time consistently will help with your credit mix, which will help you get a better score.

The biggest factors are on time payments and having a low utilization percentage on revolving credit.

[m2for2]

Originally Posted by Niko1Devynios

Having a lease that you pay on time consistently will help with your credit mix, which will help you get a better score.

The biggest factors are on time payments and having a low utilization percentage on revolving credit.

Thanks man. By the way, are you Greek? My name is also Niko, haha.

[Niko1Devynios]

Originally Posted by m2for2

Thanks man. By the way, are you Greek? My name is also Niko, haha.

I am not, good sir. I am actually Lithuanian, but was almost like an anchor baby for my parents lol.

They gave me the most common American baby name at the time, Nick, so I could blend in. I wound up being called Niko everywhere, just to have something different than all the other Nicks walking around lol

It's a solid name, though. Cheers to you, mate

[m2for2]

Originally Posted by Niko1Devynios

I am not, good sir. I am actually Lithuanian, but was almost like an anchor baby for my parents lol.

They gave me the most common American baby name at the time, Nick, so I could blend in. I wound up being called Niko everywhere, just to have something different than all the other Nicks walking around lol

It's a solid name, though. Cheers to you, mate

Very Interesting! I've actually found that I often mistake Lithuanians for Greeks, especially the last names. The last names seem to be quite similar in many cases.

Are the people in Lithuania primarily Orthodox Christians? If so, that could explain some of the naming similarities.

[Niko1Devynios]

Originally Posted by m2for2

Very Interesting! I've actually found that I often mistake Lithuanians for Greeks, especially the last names. The last names seem to be quite similar in many cases.

Are the people in Lithuania primarily Orthodox Christians? If so, that could explain some of the naming similarities.

Completely understand that! There are definitely some Greek names that have me looking twice.

Lithuanians are primarily Catholics, but Lithuanian is an ancient language. Both Greek and Lithuanian are pretty ancient, much closer to the proto-Indo European language than most and I'd have to guess that's probably one of the bigger factors in their surface similarities.

[road rage richie]

Originally Posted by m2for2

Hi All,

I have approx a 740 credit score, but I'm trying to get it above 800 for when I take out a mortgage (hopefully) in the near future...

Does anyone know if the lease I just signed will help my credit score, assuming that I make on time payments over the next 12-24 months consistently?

Anyone experience a good boost from their timely lease payments?

It could help marginally. Length of credit, on time payments, low credit utilization and mix of credit is what does it. 740 is close & might be good enough for a lot of lenders certainly 760 will be. No need to get to 800 will not make a difference. You would be better off getting a couple more credit cards and not using them try to keep utilization at 10% max. In about a year or sooner the small hit from hard inquiries will drop off.

[m2for2]

Originally Posted by Niko1Devynios

Completely understand that! There are definitely some Greek names that have me looking twice.

Lithuanians are primarily Catholics, but Lithuanian is an ancient language. Both Greek and Lithuanian are pretty ancient, much closer to the proto-Indo European language than most and I'd have to guess that's probably one of the bigger factors in their surface similarities.

Thanks for the info man. Super interesting!

[m2for2]

Originally Posted by road rage richie

It could help marginally. Length of credit, on time payments, low credit utilization and mix of credit is what does it. 740 is close & might be good enough for a lot of lenders certainly 760 will be. No need to get to 800 will not make a difference. You would be better off getting a couple more credit cards and not using them try to keep utilization at 10% max. In about a year or sooner the small hit from hard inquiries will drop off.

Gotcha. I'm currently going to pay about 6-8 months worth of payments, and then buy the car out.

My question is that I have no much the balance outstanding on the account will be...

My payment is about 1400 per month, but I'm sure only like $900 of that is principal reduction, with the remaining $500 being pissed away as interest.

[m2for2]

Originally Posted by christianb5s4

At a minimum, six months is helpful. That's how long I plan to finance then pay the rest in full purely to build credit.

Do you know how I can predict what my buyout amount will be after 6 months, for budgeting purposes?

Thanks for any info u can provide! Cheers.

[chicagofan00]

What is the rationale behind leasing for six months and then buy it out? Why not pay cash up front?

It doesn’t look good on the credit score to also be opening and closing a line of credit so quickly. That brings down your average age of accounts.

[Berzerker]

Originally Posted by m2for2

Do you know how I can predict what my buyout amount will be after 6 months, for budgeting purposes?

Thanks for any info u can provide! Cheers.

You're not saving any money by doing this. Just keep it on the lease for 36 months, use the money for a down payment instead.