No, cash app loans will not help your credit score because positive payment history on these loans is not reported to the credit bureaus. This means that paying consistently won’t give your credit score any sort of positive growth. Cash App will not even run a credit check when you apply, so there won’t be an initial dip in your score from a hard inquiry, either.
If you default on a Cash App loan, the lender can report the default to the credit bureaus and send your account to a debt collector. Your credit score would suffer as a result.
If you’re seeking to improve your credit score and get some quick cash, you may be better served by a personal loan with quick approval and funding. A personal loan will help your credit score if you make the payments on time, and you may be able to find lower interest rates and longer repayment periods than you can get with cash app loans.
You can use our free credit score tool to check your current credit score and try our free credit score simulator to predict the effect that different loans may have on your credit.
This answer was first published on 04/24/24. For the most current information about a financial product, you should always check and confirm accuracy with the offering financial institution. Editorial and user-generated content is not provided, reviewed or endorsed by any company.
