 TITLE: Secured vs. Unsecured Loans: What You Need to Know CONTENT: How Do Secured and Unsecured Loans Affect Your Credit?\n------------------------------------------------------\nSecured and unsecured loans impact your credit in much the same way. When you apply for the loan, the lender will check your credit score and report. Once you have the credit card or loan, they'll report your payment history, credit card limit and balance (and any negative information, such as collections, defaults, foreclosures or legal judgments), to one or more of the consumer credit companies: Experian, TransUnion and Equifax.\nPaying your loan or credit card on time can help you build credit. And using secured or unsecured personal loans to consolidate credit card debt can improve your credit score by reducing your credit utilization. Curious about your results? You can use free credit monitoring to track your credit score and report and see precisely how you're doing—a good idea well before you complete your loan application as well.\nBoth secured and unsecured loans can play positive roles in your financial life. Together, they're the keys to homeownership, car purchases, responsible credit card use, financing your education and sometimes simply managing your money effectively. Borrow judiciously and pay your loans back in a timely manner; your credit will fare just fine. END