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Instal and MAGNUM Credit Builder Loans

CreditStrong offers two types of installment credit builder accounts: Instal and MAGNUM.
Both are designed to help you build or strengthen your credit history by reporting on‑time monthly payments to all three major credit bureaus. The main differences between Instal and MAGNUM are how long the account lasts and the size of the tradeline reported to your credit.

 

How Instal and MAGNUM Are Different

Both Instal and MAGNUM are secured installment loans created specifically for credit building, not for personal financing or cash access.
 
These accounts are a good fit for people who:
  • Are new to credit
  • Have a thin or limited credit profile
  • Want to establish positive payment history over time
Each account requires a one‑time, non‑refundable administrative fee due at signing.
Want to learn more about different types of credit? Read our credit education guide.

 

How CreditStrong Installment Accounts Work

CreditStrong installment accounts combine a cash‑secured loan with a locked deposit account.
When you open an account:
  • The loan is originated by our bank.
  • The loan amount is deposited into a locked deposit account in your name and held as collateral.
  • The funds are not available to you during the loan term and are not intended to function like a traditional savings account.
You then make fixed monthly payments over the selected term. These payments are reported to:
  • Experian
  • Equifax
  • TransUnion
Your on‑time payments help build positive payment history, which is an important factor in credit scoring.
At the end of the loan term:
  • The deposit account is unlocked
  • You receive the principal portion of your payments, minus any interest or unpaid fees
All installment accounts include interest, which is paid over time as part of your monthly payments. Total interest depends on the plan and term you choose.

 

Comparing Instal and MAGNUM Accounts

Instal

About
Instal is our entry‑level credit builder, designed to help you establish up to 48 months of payment history.
 
Choose Instal if:
  • You want to start building credit with a shorter commitment
  • You’re new to CreditStrong and want to try a smaller plan
  • You want to add positive payment history without a long‑term obligation

 

MAGNUM

About
MAGNUM is our long‑term credit builder, designed to help you build up to 10 years (120 months) of payment history.
 
Choose MAGNUM if:
  • You want to establish long‑term payment history
  • You’re focused on building a larger tradeline over time
  • You’re comfortable with a longer commitment
Longer terms allow for lower monthly payments and larger tradelines, but they also mean the loan is paid down more slowly.

 

How to Choose the Right Installment Account

We encourage customers to choose the installment account that best fits their:
  • Monthly budget
  • Desired term length
  • Credit‑building goals
You can compare our current plans and pricing on the main CreditStrong website.
 
Important: Bigger isn’t always better. Adding a large MAGNUM account may temporarily affect your ability to qualify for new credit. If you’re planning to apply for a loan or credit card soon, consider speaking with a lender before opening an account.

 

Important Things to Know

  • CreditStrong installment accounts are secured credit‑building tools
  • They do not provide cash at signing
  • They are not personal loans
  • Credit score outcomes vary and are not guaranteed

 

Key Features

Reports to All Three Credit Bureaus

Your payment activity is reported to Experian, Equifax, and TransUnion, helping you establish credit history over time.

 

No Credit Check

Because these accounts are secured, there’s:
  • No hard credit inquiry
  • No minimum credit score required

 

FDIC‑Insured Deposit Account

Austin Capital Bank is an FDIC member. The deposit account holding your loan proceeds is FDIC‑insured.

 

Flexible Cancellation

Accounts can be closed at any time with no prepayment or early termination fees.
If an account is closed early:
  • The administrative fee is non‑refundable
  • Accrued interest and fees still apply
  • Account activity may continue to be reflected on your credit report

 

Benefits

Build Credit History

On‑time monthly payments contribute positively to your credit history, which is a key factor in credit scoring. Credit scores are influenced by many factors, and results will vary.

 

Access to Your Principal at Completion

At the end of your loan term, you receive the principal portion of your payments after interest and any unpaid fees are applied.
Because of their longer terms, MAGNUM accounts are paid down more slowly and are not optimized to build savings.

 

No Upfront Deposit

Unlike secured credit cards, CreditStrong installment accounts do not require a large upfront deposit or down payment.

 

Track Your FICO® 8 Score

You can track your progress with access to your monthly FICO® 8 score from Experian through the CreditStrong dashboard.

 

Getting Started Is Easy

Step 1: Apply Online

Complete the application in just a few minutes.

Step 2: Choose Your Plan

Select a plan that fits your budget and credit‑building goals.

Step 3: Pay the Administrative Fee

Submit the one‑time, non‑refundable fee to activate your account.

Step 4: Make Monthly Payments

Make on‑time payments each month to build positive credit history.

Step 5: Monitor Your Progress

Use the CreditStrong dashboard to track your credit journey.