Why should I start building credit soon?
As mentioned earlier in the breakdown of how credit is calculated, 15% of your credit score is determined by the length of your credit history. Starting to build credit as soon as possible, even if you are not currently looking to apply for a loan, will be very beneficial when the time does come for you to apply for a loan or other application that requires a credit inquiry. It is also important to build your credit before you start thinking about loans because it takes time to build enough credit for the bureaus to determine your score. For a FICO score to be determined, you must have been using credit for around 6 months. If you wait until you find a house and need a loan before you build credit, this 6 month delay will be devastating. It is very unlikely the house will still be on the market, and interest rates could look completely different at that time.