I would like to get some advice on when to starting apping for prime cards.
My scores are all currently reporting in the 680-700 range... My report is pretty clean: 1 INQ this past year (DirectTV); overall UTL <10%; a couple of 30 day lates back in 2010. The only baddie on my report is on 5.5 year old CO. Current income: $80K/year
Right now, I have 3 toy cards. Cap1 (Secured) $2K; Cap One Platinum (Unsec) $400; and US Bank (Secured) $1K.
Once everything reports, I plan to ask Cap One Platinum for a PC/CLI and US Bank to unsecure my card. I am pretty sure both of these will be done via soft pull (that has been the experience of others). After that, I would like to get a few prime cards. Here is my wish list:
Wish List:
1. Walmart Discover
2. AMEX Delta Skymiles
3. Costco AMEX True Earnings
4. DCU or maybe a local credit union card
The main thing that worries me is the charge-off. I know most prime cards shy away from anyone with a CO on their CR's, which is why I've waited to long to think of applying for another credit card(no apps since 2010).
On the other hand, the CO a long time ago, and I can't put life on hold forever. My current cards are really a hindrance when it comes to traveling, etc. What do you guys think? Is my wish list too ambitious?
I had a charged-off account paid less than full amount that was 4 years old when I got approved for a Discover It, Chase Amazon.com Rewards, and Chase Sapphire Preferred last year. I also had similar scores to yours. My income was a bit higher though (not sure if that mattered).
I think you are ok to apply now for any of the cards you listed, but you may not get the best terms.
@Creditaddict wrote:Unpaid Chargeoff?
With who?
I wouldn't really call Walmart Discover Prime (I mean it's not subprime as a card) however it is backed by GE so besides runniing the risk of getting just the walmart store card without the discover you could have applied for this card YEARS ago! I would apply NOW!
Haha! Yes I realize Wally Discover is not exactly the Black Card...lol. But it is a Discover product (backed by GE). I've been told it's good to have at least one retail card in the mix, and I like having the flexibility to use it other places besides Walmart/Sam's.
I live near a Walmart so there is a certain convenience factor (alhough it may be the crappiest Walmart in America!), so I probably would use it more as a Discover card. Do you think I have a reasonable shot at it? Not sure I'd want just a regular Wally card...
My charge off is with Wells Fargo, and it was paid several years ago...
Thx!
@_jb_ wrote:I had a charged-off account paid less than full amount that was 4 years old when I got approved for a Discover It, Chase Amazon.com Rewards, and Chase Sapphire Preferred last year. I also had similar scores to yours. My income was a bit higher though (not sure if that mattered).
I think you are ok to apply now for any of the cards you listed, but you may not get the best terms.
Thx JB. I'm trying to slowly dip my toe in the pool of prime cards. Like you, I'm not just looking a get a card just for the heck of it; I'd like to get decent terms as well (limit; interest rate; etc)
My strategy is to get a couple of the prime cards this year that have "easier" qualification standards. The cards I listed seem to be plausibly within my reach (though it is really hard to tell, which I why I posted the question). Anyway, when my charge off falls off in Sept 2015, I will already have proven myself with a couple of established prime cards, and can safely app for the top credit products out there with the best terms.
BTW how do you like Cap1 Quicksilver? My first move will be to request an upgrade from my Cap 1 Platinum to a QS, with a substantial CLI (it's only $400 now). This should be able to be accomplished with a soft pull.
@myjourney wrote:Are you open to other cards?
Edit and how long have you had each card
Yes I would be open to other cards...do you have any recommendations? I am definitely open to suggestions.
My history with my current cards is:
Cap 1 Platinum (1999)---two 30 day lates in early 2010 (perfect since)
Cap 1 Platinum (Secured)--2012 (perfect payment history)
US Bank (Secured)--2010 (perfect payment history)
I also have a mortgage through Chase (in good standing; never late) and a student loan (good standing; no lates). I have five closed accounts reporting, all in good standing (my old GMAC mortgage still has a few lates which show from 2009-2010). My AAofA is 7.2 years.
Most of my credit woes happened in 2008-2009 (primarily due to layoff, but also been not smart about handling my money and burying my head in the sand for a long time). But I finally decided to address my credit in 2010, and paid off, settled or got current on all debts. I bottomed out in 2010 with 510/508/496 credit scores...ugh. Since then, it's been a long, agonizing slog through the credit wilderness...lol. My credit history the last 3 years is pristine...just have that old one baddie still haunting me.
@Dw4250 wrote:
Not sure I'd want just a regular Wally card...
I think this is exactly what you'd get with the paid CO showing: a regular Wally card. If you want Discover, best to app directly with them--you're more likely to get it there I think (but without best terms).
Since your charge-off is paid and is 5 years old I think you have a good chance of getting average terms with several prime lenders. I'd say app for your top three picks. If you are approved--awesome!--if you are not approved, wait another year and then app again--your profile will be stronger and the CO a more distant memory (and you'd have a better chance at reasonable rates).
Oh, and this is anecdotal, but I have an unpaid CO from Fingerhut for about $200 (refused to pay due to fraud). The CO is due off my reports in March 2014. I still was able to acquire in 2013: 1) Amex BCE 2) Barclaycard Rewards 3) Chase Freedom 4) Chase Slate 5) Discover IT and 6) Walmart Store card (all unsecured). I also have a 7) Bank of America partially secured card ($200 down/$1000 CL) that I got in April 2013.
Amex gave me a $2000 CL; Discover gave me $1200. Barclaycard started me at $750 but auto-CLI'd me to $2050 at the 6th statement.