Credit worthiness is not just a history, it is also a financial ability and willingess to pay.
What is your income like now? If you have a good income, I would suggest sitting down face to face with a Credit Union loan officer (or on phone) and discussing your circumstances and goals or get a secured card from a Prime Bank. However, some banks, like Bank of America may decline even secured applications for some derogs....which they did to me several years ago before I climbed my way back up.
I used Amalgamated Bank of Chicago. In 2005 I had scores under 600. I had adequate income, though, and put $15,000 savings with Amalgamated and kept the card for a couple years. Eventually after having this card and cleaning my credit, I got in with BofA and other lenders for unsecured. I didn't try to convert the card to unsecured, which thinking back now, I probably should have.
Of course, you must be able to put into savings account your desired CL. But, you are also SAVING money and earning interest. If you use the credit card like a debit card, PIF, or leave only a very small balance (like $20 or less) then you are earning interest while having the convenience of a card and rebuilding your credit.
Anyway, don't just ask the question, what card can I get now....ask what cards do you want to get later and how fast do you want to get there. Also ask, how much credit can I actually afford.
What's my advice worth: $0.02 like everyone else. But, I did go from 560 mid score 2005, to 800's now.
I personally believe that this is a better route than the high fee, high APR, Annual Fee "Starter Cards" that will never grow with you. Most Orchard type and other cards will max out at a pretty low CL even when you are credit worthy.....so if that is your goal, understand that now.
Message Edited by txjohn on 03-26-2009 06:13 AM
