Paypal Pay in 3

swansea_lad

Hi all,  will Paypal or Klarna if paid in full improve my credit rating?

CliveOfIndia

Yes - they report in to the CRAs, so the credit details will be visible to other lenders.  For short-term credit, the effect will be marginal, but positive if you always honour your contractual repayments on time.

swansea_lad

I have used them a few times for small Justeat orders, under £40.

PRAISETHESUN

You need to ignore the numerical credit rating/score and instead focus on the actual data being reported to your credit file. This is what lenders use to make their credit lending decisions. If you have a poor/thin credit file then anything that demonstrates you can manage credit responsibly (paying your installments on time, staying within credit limits, etc) is a positive and will improve your creditworthiness in the eyes of lenders. Using those services responsibly can be a positive to your credit file, but don't use them as an excuse to spend more than you can afford.