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How much does Cheese Credit Builder raise your credit score?  

December 20, 2022

Looking for some simple ways to increase your credit score? Look no further, as Cheese Credit Builder has proven to be a reliable solution. In this article, we'll detail the process and timeline of Cheese Credit Builder credit reporting and how it can impact your credit score.

How fast does Cheese build your credit? 

Upon loan approval, Cheese will report your newly opened Credit Builder Account to the credit bureaus on the 10th of the following month. It takes around 10-30 days* for the Cheese Credit Builder Account to show up on your credit report once we report it.

During this time, your credit score may temporarily drop, not because of a hard pull (which Cheese won’t do!), but because a new account temporarily lowers your average age of credit history. But don’t worry - this impact is short-lived. With consistent on-time payments, your credit score can increase over time. Many users see an increase within 3 months of the loan application. 

You want to build up your credit history as soon as possible, we know that. So here we make the true innovation: your first payment will be processed on the next business day once your open the account. This is one month sooner than other credit builder loans, allowing your payments to be reported to credit bureaus much faster.

Cheese reports your on-time payments to all three credit bureaus (Experian, Equifax, and TransUnion) on the 10th of each month, demonstrating your ability to make regular payments, which accounts for 35% of your credit score.

Take a look at this example of Cheese's credit reporting process: 

  • Jan 25th: You open a Cheese Credit Builder Account. 
  • Jan 26th: You make your 1st payment to Cheese.
  • Feb 10th: Cheese reports your Credit Builder Account and your 1st payment to the credit bureaus. 
  • Feb 20th-Mar 10th: The credit bureaus will update the payment on your credit report (Sometimes it may take longer, up to the bureaus). 

Credit building with Cheese can be at most one month faster than other credit builder loans because as mentioned, your first payment is made one month earlier compared to other companies. Generally, it takes 10-30 days* (varies from person to person) for your payments to show up on your credit report once reported. 

You will be building your credit along the way while making monthly on-time payments. That said, you don’t need to wait until the end to see your credit score grow. But keep in mind, how your credit score changes depends on your unique financial situation. To maximize the impact of using Cheese Credit Builder, it's important to not just focus on making on-time payments, but also pay attention to other factors that impact your credit score.


In what ways does Cheese build your credit?

Cheese Credit Builder helps to build your credit in these significant ways:

Payment history: Cheese reports your payments on a monthly basis to all three major credit bureaus (Experian, Equifax, and TransUnion). This demonstrates your ability to make regular loan payments on time. This can significantly help you build a positive payment history, which accounts for 35% of your credit score. 

Length of Credit History: How long you've held credit accounts makes up 15% of your score. Generally, the longer your credit history, the higher your credit scores. The Cheese Credit Builder trade line lasts up to 10 years.

Credit Mix: Cheese Credit Builder can also contribute to your credit mix, namely, the types of credit accounts you have, which determines 10% of your credit score. As an installment loan that requires fixed payments to be made regularly, Cheese Credit Builder adds a different type of credit to your credit history. This shows that you are capable of managing different types of credit responsibly and establishes a more comprehensive credit profile for you. 

How much does Cheese impact your credit score? 

Are you curious about the impact Cheese can have on your credit score? Our interviews with Cheese customers have revealed credit score increases ranging from 30-75 points within the loan term. These changes vary from person to person as other factors also play a role in determining one's credit score. In fact, one of our users reported a remarkable increase of 74 points within just 3 months.

It's important to note that building credit takes time and is unique to each individual's financial situation. While a credit builder loan is a valuable tool for establishing or improving your credit, it is not the sole factor affecting your credit score. To maintain a strong credit score, it's crucial to also focus on other factors such as keeping your credit utilization low, paying bills on time, avoiding too many credit applications, and having a balanced mix of credit types. By being mindful of all these factors, you'll be well on your way to building a strong credit history and score. 

Ready to gain access to more financial opportunities? With no credit check and no upfront deposit, Cheese Credit Builder is here to benefit you the most. Apply now and start building your credit today. 

*The time it takes for a Cheese Credit Builder Account and payments to appear on a credit report varies. It depends on when the credit bureaus update your credit report.  

Cheese Credit Builder

Cheese helps you build credit and save money on autopilot.

- No Credit Check or Admin Fees
- Get a Custom Credit Builder Loan
- Your Deposit is FDIC Insured