Taking out loans that you don't need, not spending the money, and paying them back on time (with interest) should be a very positive credit score indicator.

It shows that the person is planning ahead, is careful with not overspending even if they have cash available, is organized enough to make all the monthly payments on time. To me that seems like a better signal than someone who does need the loan.

How would a person who takes out the same loan, but actually spends the money be a better credit risk?