The rise of Buy Now, Pay Later (BNPL) services offers a new avenue for building credit. Apple and other BNPL providers are starting to report loan information to major credit bureaus. Although these loans don't yet affect your credit score, responsible use can still improve your credit history. This is especially useful for those with limited credit histories. Paying BNPL loans on time shows lenders you can manage credit, potentially leading to better credit products and lower interest rates. However, caution is needed: overspending and missed payments can have negative consequences. Financial planners advise using BNPL for small, manageable purchases you can easily repay.
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