for the sole purpose of improving my credit score.
I'd been avoiding loans for a good reason: I didn't want to go into debt. But I learned that if I strategized,I requested a personal loan from my bank. I considered taking out a loan with a one-year term, because I didn't want debt hanging over my head. However, after talking with my father, as well as a banker, I landed on a $2,000 loan with a two-year term. Consistently making payments on time for a longer-term loan would demonstrate greater reliability and help my credit score.
When I took out a personal loan, I opened a new bank account for the express purpose of keeping the loan money in a separate place. This way, I wouldn't be tempted to touch the money. Then, I set up automatic monthly withdrawals from that account so that I'd never miss a payment.
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