You probably know that skipping bill payments can drop your credit score. The reverse is also true—paying your bills on time can positively impact your credit.
But that’s only true when creditors or others report to the credit bureaus. Find out what bills help build your credit—or potentially harm your credit.
Payments That Don’t Ever Make It To Your Credit Report
When you owe municipal fees such as library fines and parking tickets, those accounts don’t generally make it to your credit report. Neither do tax liens or civil court liens.
Also remember that building your credit is completely doable, but it might take some time. Be patient—pay your bills on time and in the meantime, try a few other methods to bump up your credit.