Which is better for building credit? Auto loan...

[timbobelmo]

...or student loan? I already have a 710 credit score...I am 20 years old...and can honestly do either. The only difference between the two is the auto loan has a higher %rate, and the student loan has a much lower monthly payment in case I get into any trouble in the future. I plan on getting a mortgage in 2-3 years.

[Guess What---BALLS]

im no pro, but i'd say student just because you don't have to pay it back till u graduate, that way you won't have to pay teh interest

[CSND]

the auto loan, because they are not basing that on your future actions like in a student loan

[White Tornado]

The one which you will be able to pay off before you get your mortgage. Debt to income ratio is a big factor when you get your mortgage. This factor supercedes most others.

[Me...]

I would go with the Student Loan... Depending on what you are going to do with the money. A good way to build credit, is just to use a credit card, and pay it off timely. Don't just go get out a loan to build credit...

[Meg]

I would go with the student loans. They have many more advantages. Plus, debt from student loans is not looked poorly upon compared to debt from credit cards.

[sunsetst]

Get the student loan because the rate is lower. Not only can you pay it later but you can pay a little extra $20 or $30 NOW so that the balance will be lower when you have to pay it back later. When you apply for a mortgage loan in the next 2-3 years your student loan monthly payments will be added to your debts and you don't want your debts to be too high. Plus your insuance rate will be lower if you pay cash for your auto.