Reply
New Member
srshb
Posts: 9
Registered: ‎11-17-2012
0

Re: More Credit Limit

@bs064

 

dont think this is type of busines.........we are planing of to keep a gas station and I am just a supporting hand, more than frd that person is a family relative to us and we knew from past 20 yrs.....I am helping hand to him and will sharing some profit percentage.....so if I have to fund that much amt, irrespectie of how the business status will be (obviously it will be good, as the place is very good), I am going to get all the amt kep in some months, if I get all the amt, I am no longer connected with that business...........if I don't take the amt, then after 4-5 months of the start of the business, I will be getting the profit shares, which are huge and very easy to repay my credit cards........say, if the business doesn't go well, as per our agreement, he pays me back as per our agreement.....he is my mom's own brother......so thats the thing which I am planing.........so, I really don't want to loose this offer......hence  I ned huge amunt and hence planing to get from credit cards, as I told, I already have excellent credit with 50k in limits........I told everything, so that I will get a good advice.......I don't mind even if my credit score drops a bit in that 6 months, because I will be making huge profits from that business and once I pay off my credit cards by lowring my utilization ration to 30% in 6 months, my credit score again starts building up......so plz give me proper advice as I told everything.....

Moderator
Shogun
Posts: 12,952
Registered: ‎04-15-2011
0

Re: More Credit Limit


srshb wrote:

I can't take loans or business credit card, because I am not the main person in that business........I am the partner and the owner is my frd, but I need to put atleast 70-75 in that business and repay most of the amt in just 6 months......so give me advices in that way.....


I believe I know where you're going srshb, but as you can see by the posts, it raises red flags with us here, so you can pretty sure it will raise red flags with the creditors.  Besides requesting CLIs from your current CCs, you could add some new ones, but hitting them with big balances right off the bat will flag you too.  I just really don't know a way to achieve what you are looking for.  


Starting Score: 504

July 2013 score: EQ FICO 819, TU08 778, EX "806 lender pull 07/26/2013
Goal Score: All Scores 760+, Newest goal 800+

Take the myFICO Fitness Challenge

Current scores after adding $81K in CLs and 2 new cars since July 2013
EQ:809 TU 777 EX 790 Now it's just garden time!
Valued Contributor
mxp114
Posts: 1,359
Registered: ‎09-01-2011
0

Re: More Credit Limit

I'll keep the advice simple: you need to demonstrate to your lenders your ability to properly utilize high lines and repay them. Best way to achieve this is via high spending, then the sky high limits are extended provided your credit profile and income support it. As you get to the higher lines, expect income verification requests. Good luck.

Valued Contributor
beb86
Posts: 1,117
Registered: ‎10-31-2011
0

Re: More Credit Limit

Remember nothing is a sure thing...its hard for a business to be profitable the first few months since there are too many variables, New opening cost, royalties, inventory, hiring and training, land and rent, utilitiy depositis, license fees, etc...so you should really look at his business plan and also both of you go together to try and get a small biz LOC so you will have a monthly payment and if it takes off in 6 months you can clear the note. Just my .02
ccpics2.jpg
Established Contributor
adavis425
Posts: 517
Registered: ‎02-14-2012
0

Re: More Credit Limit


srshb wrote:

@bs064

 

dont think this is type of busines.........we are planing of to keep a gas station and I am just a supporting hand, more than frd that person is a family relative to us and we knew from past 20 yrs.....I am helping hand to him and will sharing some profit percentage.....so if I have to fund that much amt, irrespectie of how the business status will be (obviously it will be good, as the place is very good), I am going to get all the amt kep in some months, if I get all the amt, I am no longer connected with that business...........if I don't take the amt, then after 4-5 months of the start of the business, I will be getting the profit shares, which are huge and very easy to repay my credit cards........say, if the business doesn't go well, as per our agreement, he pays me back as per our agreement.....he is my mom's own brother......so thats the thing which I am planing.........so, I really don't want to loose this offer......hence  I ned huge amunt and hence planing to get from credit cards, as I told, I already have excellent credit with 50k in limits........I told everything, so that I will get a good advice.......I don't mind even if my credit score drops a bit in that 6 months, because I will be making huge profits from that business and once I pay off my credit cards by lowring my utilization ration to 30% in 6 months, my credit score again starts building up......so plz give me proper advice as I told everything.....


This is soooo a bad idea!! You both should get business loans or at minimum, business credit cards. You have no way of predicting how well that (or any) business will do.

 

AmEx Platinum | AmEx BCP | AmEx Delta Gold | CSP | Chase Freedom | NFCU cashRewards Visa Sig | NFCU Plat MC | WM Discover | Discover it | JCP


Established Contributor
cashnocredit
Posts: 1,024
Registered: ‎07-18-2009
0

Re: More Credit Limit

I hate to say this but you are getting married and loaning money to a friend for a biz that will, in theory, generate a lot of cash months after the loan.  Well, it scares the hell out of me. This sort of business "opportunity" is almost never what it seems.

 

These kinds of things are, unfortunately, not uncommon, and often destroy friendships and relations with relatives. Not to mention your credit.

 

It's your money (well some of it) but it's your life as well. Be very, very careful and good luck.

I have reestablished credit over the last couple years
so my moniker is, well, rather out of date.

WM Discover $1800, WF Plat 12k, Chase Freedom Siggy15k, Amex Plat (60k H/B), Citi AA EWMC 25k
Moderator Emeritus
llecs
Posts: 32,881
Registered: ‎08-04-2007
0

Re: More Credit Limit

Taking what OP said on face value, I'll start with the question at hand: How do you hit $100k in CLs? OP, try your local CU. They tend to give out higher limits. Be sure to pay off your existing CCs first to improve your odds, and make sure your CRs are clean. Realistically you won't hit that goal within a year. As mentioned, give it 2-3 years at least. IMO, the idea of a charge card works best. If money is coming in to support this business and your purchases, then obviously you would have the ability to pay everything back. Combined with your existing purchasing power, you can easily surpass the $100k purchasing ability you are looking for.

 

To echo everyone else, your idea is a bad one. It'll cost you sooooo much more money to do it that way...thousands more. You'll save more money just by getting a loan or LOC. You can draw as you need it and $100k w/ proven financials will help you reach your goal. Also, don't give a dime until you have a written agreement with this relative. There are plenty of stories in here of relatives screwing their own. If the station is already up and running, there won't be a need to finance it anyway unless they are losing money now. Ditto to everyone else's red flags.


myFICO is the consumer division of FICO. Since its introduction 20 years ago, the FICO® Score has become a global standard for measuring credit risk in the banking, mortgage, credit card, auto and retail industries. 90 of the top 100 largest U.S. financial institutions use the FICO Score to make consumer credit decisions.

>> About myFICO
FICO Score - The Score that matters
Click to Verify - This site chose VeriSign SSL for secure e-commerce and confidential communications.
Fair Isaac Corporation is a BBB Accredited Financial Service in San Rafael, CA
FOLLOW US Social Media Facebook Twitter Pinterest Google+