Does a new car loan decrease your credit score?

Answer 1

All new accounts impact your credit score, usually causing a decrease.

Since your credit file is a history of how you have managed debt in the past, a new account has no history to show how you have paid the payments; hence, your score receives a deduction. This deduction remains in effect for 2-3 years, but tapers off sharply after 6 months, after which you start to get some additions for how you have paid on the account (hopefully those payments will be on time). FYI: Any account under a decade is considered "young" or "new" to the scoring programs. There are major benefits to have accounts open, active and paid currently for many years.

Your score also takes a hit for any/all inquiries related to opening a new account.