How Long Does It Take To Build Credit (2023)

Have you ever considered purchasing a car or buying your own home? Well, if your credit score is less than good, those purchases just may not be possible.

Many find themselves denied finance to make larger purchases and even smaller ones, all because of their low credit scores. 

How Long Does It Take To Build Credit 
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Luckily, to bring your credit score to a healthier status, you need to become more determined and create a reasonable budget plan. 

How long does it take to build credit? Building credit can take anywhere from 3 months to 3 or more years to build a good credit score. That’s why we have helpful ways to boost your credit score and keep you on track. 

What Is A Credit Score?

A client’s creditworthiness is shown by their credit score, ranging from 300 to 850. The better a borrower seems to potential lenders, the higher their score.

A credit score is based on a person’s credit history, including the number of open accounts, the total amount of debt, the history of repayment, and other elements.

A credit score of less than 300 means you will be denied when applying for finance or financial aid unless you work to bring it back to a healthier number. 

How Your Credit Score Is Calculated?

Even though there are numerous credit scoring algorithms, most lenders employ the VantageScore® or FICO® Score. Both fall between 300 and 850, with higher values typically denoting a lesser risk to lenders.

Every credit scoring model makes use of a unique algorithm.

Certain statistics are given more weight by some, but the essential guidelines remain the same: If you pay off all of your debts on time, keep your revolving balances well below your credit limit, and have a range of account types, you will improve your credit score.

Your current income and employment status will not be considered when your credit score is being determined, although you will have to list them on any loan applications.

Your credit score focuses on your spending habits and whether you are a reliable risk for a lender. 

If your credit score is lower than you would like or you do not have one, then there is no need to panic. There are ways to build credit, including:

Ways To Build Credit 

Secured Credit Card

You must make a cash deposit with the credit card company that is typically equal to the card’s credit limit in order to obtain a secured card.

The monies are kept in a separate account and serve as a guarantee for the credit line, posing almost little risk to the lender. The lender keeps the down payment if you accrue debt that you cannot repay.

However, you’ll probably get your deposit returned if you pay all your payments on schedule. When making your decision, select a secured credit card that reports payments to the three credit agencies.

How Long Does It Take To Build Credit
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Become An Authorized User

Another option that offers less risk to your person is to become an authorized user on a close friend’s or relative’s already active credit card account.

All cardholders’ credit reports will receive the account history from most issuers. Your credit history will get a jump start when it appears on yours.

As long as the primary cardholder uses it and makes payments on time, an authorized user can benefit from the card’s benefits without even using it themselves.

Regular Monthly Payments

Regular payments such as your cellphone bill, utility bills, internet, or streaming accounts that are in your name can all help build your credit score.

Once your accounts are listed on your credit reports, they will begin to add points to your credit score. 

Credit Builder Loan

Your scores will also rise if you apply for and repay a loan because it adds variety to the mix.

Typically provided by credit unions, credit-builder loans might be a terrific supplement. Similar to a secured credit card, you make a deposit into a different account and are then given a loan equal to the deposit amount.

After that, you repay the loan in installments (plus interest) over a predetermined period. You receive your deposit back once you have paid it off.

Unsecured Credit Card

A low limit unsecured credit card is an excellent option as the issue has low risk if you default. They rarely require a high credit score to obtain and do not require an upfront deposit like a secured credit card.

As they generally come with high-interest rates, it’s essential to do your research and find the lowest provider before signing the agreement. 

Why You Don’t Have A Credit Score

Typically those who have just reached the age to have their own credit cards and be in charge of the finances are the ones who do not have a credit score. It seems natural to avoid the idea of being in debt. 

However, using credit and incurring debt in small amounts that you can pay off quickly will help solidify your reliability to lenders.

You are inherently dangerous if you never take on debt because a lender won’t know what kind of borrower you might be.

This is essential when applying for a mortgage or other loans. You want to prove that you can be a reasonable risk for lenders. 


While there is no definitive answer to how long it can take to build credit, it can generally take 3-6 months to build enough credit for small loan applications. 

So, whether you have a low credit score or have not created one for yourself, use our simple methods to begin building a good credit score. 

You can build credit within three months or five years and have a healthy credit score that will be your saving grace when purchasing the house of your dreams or that new car you’ve had your eye on. 

Andre Flowers
Andre Flowers

Hello, my name is Andre Flowers and I have been a Licensed Real Estate Professional for over 24 years. I also carry several certifications, including: Certified Distressed Property Expert, Certified Global Business Professional, Certified Credit Repair Specialist.

As a current Mortgage Underwriter with 15 years of experience, I have seen my fair share of money-related issues. Whether that be high levels of debt, not enough credit, or simply a lack of funds - I’ve had clients who fit into these categories.

Here I will share tips, tricks, and experiences on how you can get yourself back in control of your finances.

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