Dear Terry, In an earlier piece, you advised rebuilding your credit by getting a high-interest credit card. I have an auto loan that I was able to keep despite my bankruptcy. Does this qualify as credit rebuilding? Also, I checked my credit score recently and it is 580. Could this score possibly get me an auto lease or is it too low? -- SherriDear Sherri, Making payments on a current auto loan will help your credit in the long run, but you can't expect your credit score to rebound quickly. And I'm sorry to say that a 580 score probably won't get you a lease or even a conventional loan that doesn't carry a painfully high interest rate. My advice is to keep the vehicle you've got until it's paid off, which will help your score.Here are this week's reader questions:•Certified cars offer value, reassurance•Can I cancel my car deal?•Do car payments help rebuild credit?•Will returning my car have repercussions?If you have a question for Terry, e-mail him at Driving for Dollars. Save money on your car -- sign up for Bankrate's new weekend Car & Money newsletter. advertisementRelated Links:7 best off-to-college carsNational auto loan averagesWhat changes auto loan rates?Related Articles:All new cars for 20105 steps to 'clunker' dealTake the 'cash back?'
Dear Terry, In an earlier piece, you advised rebuilding your credit by getting a high-interest credit card. I have an auto loan that I was able to keep despite my bankruptcy. Does this qualify as credit rebuilding?
Also, I checked my credit score recently and it is 580. Could this score possibly get me an auto lease or is it too low? -- Sherri
Dear Sherri, Making payments on a current auto loan will help your credit in the long run, but you can't expect your credit score to rebound quickly. And I'm sorry to say that a 580 score probably won't get you a lease or even a conventional loan that doesn't carry a painfully high interest rate.
My advice is to keep the vehicle you've got until it's paid off, which will help your score.
If you have a question for Terry, e-mail him at Driving for Dollars. Save money on your car -- sign up for Bankrate's new weekend Car & Money newsletter.
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