How Much Does A Small Used Auto Loan Impact My Credit?

Saturday, August 8th, 2009 at 01:37

I am about to buy a 2003 Honda Civic from my uncle for approximately $10,000. I had intentions of putting down 5,000 or 6,500 dollars (depending on what I sell my current car for) and take out a small auto loan for the remaing 3,500 or 5,000 for about 36 months.
The rates I am finding are not as good as I would have hoped, through no fault of my own. I am 24 and haven't done anything that would have given me bad credit. I pay back all my bills and whatnot.
Am I better off just buying the car outright (I can afford it) or taking out a loan for the sake of how to get prescription drugs without a prescription taking out a loan. I've heard a few times that a small loan really helps your credit.

Finance your car here onsite if you need help buying one of these beauties :)