09-02-2009 06:56 AM
I'm thinking of several options for finishing my kitchen:
Calling IKEA for their card (my cabinets are from them)
Calling my credit union for a loan
I know the interest MIGHT be less on the credit union loan.
My issues are: High Util right now as we've nickeled and dimed our way through kitchen renovations with our current CCs. I'd like to consolidate and pay those down soon. It's only $2k
MyFico scores are: TU - 661 as of 7/2009, but probably higher now as I just got some major baddies deleted
EQ - 676, but I'm in the process of getting those baddies disputed and deleted too.
EX - no idea of their scores...
09-02-2009 07:47 AM - edited 09-02-2009 07:53 AM
It may not be IKEA but...
I have applied for 2 online store card for about a span of years and everytime, I am not approved by GE Money Bank .The same reason they gave me is " identification not verified".Which is a bunch of baloney .So everytime I see GE Money Bank is the lender, I dont even try anymore.
The only problem I could think of that happened within the 10 years that must have messed up my record was when MBNA became Chase and I didnt realize that I had a balance of just in cents and thus had a late charges for that.
As for GEMB, I believe they dont want my business.And so I will just stick with my American Express and Discover and Capital One.
Hope you have a better experience than I do.
09-02-2009 08:18 AM
09-02-2009 08:39 AM - edited 09-02-2009 08:42 AM
Darn. It's always easier to get credit when you don' t need it.
So, as you say, your utilization is high. App'ing for cards and CU loans is much easier when utilization is low - so it's easier getting the credit cards/CU accounts going into a project than it is after (the white elephant in the room!). So, given the current situation:
Maybe consider app'ing for the IKEA card - if they give you a small CL - ask for an immediate CLI upon activation. Recently, folks with as low as $300 initial CL have seen it go up to $1000 immediately on request. When the IKEA card reports, make sure it has a 0 balance (don't use it yet). Now how does your utilization look? If it looks decent, then apply for the CU loan.
Also look at playing with your reporting balances on your current CC's. If there's a $1,000 balance that can't be paid off - look at rotating some cash through the account. Pay the bill/grocery/gas money to the CC so the payment hits before the statement date - let it report - and then pay the bills/groceries/gas with the CC. So my utilization can report much lower than it really is. It'll also reduce your finance charges. You just have to pay attention to statement dates and what monies you can rotate through the card.
With those two strategies (app for IKEA & request immediate CLI; rotate cash through your CC's to get the reported balance down), you should have a lower utilization that'll look good to your CU. Also look at the national CU's like Alliant.
Hope you find what works best for you - good luck with the lovely kitchen (been there, done that, beautiful and worth every penney and drop of sweat)!
Edited to add: And good work on getting your baddies off. Keep the app'ing on hold until you're happy with the progress getting baddies removed. Even if you don't know your EXP score, make sure and pull your EXP report and delete the baddies there as well. Good luck again!
09-02-2009 04:48 PM
09-02-2009 07:21 PM
09-03-2009 05:04 AM
The APR will probably be lower, it will help your FICO scores, and it won't make CCC's twitchy seeing those balances. That being said, don't move the balances over to a loan and then run up the cards again. (It happens, alas.)
Thanks for the info... I won't run up the cards again, I'm usually pretty good at keeping the util down to next to nothing, but we've been nickel and diming the cards with the renovations... ugh! I can't wait to put these cards back on ice, literally!!!
09-03-2009 02:31 PM
09-04-2009 06:36 AM
There's nothing like home reno to start an endless hemorrhage of money, that's for sure.
I remember when we remodeled our last house. Apparently, the sons of the previous owner had done an earlier remodel job, and had used, ummm, non-standard techniques. It was 22 years ago, but I can still hear the carpenter's voice: "Wouldya come look at this. I ain't never seen anythin' like this afore!" --> Change order.
HAHAHA!!! That's funny!
IMPORTANT INFORMATION: All FICO® Score products made available on myFICO.com include a FICO® Score 8, along with additional FICO® Score versions. Your lender or insurer may use a different FICO® Score than the versions you receive from myFICO, or another type of credit score altogether. Learn more
FICO, myFICO, Score Watch, The score lenders use, and The Score That Matters are trademarks or registered trademarks of Fair Isaac Corporation. Equifax Credit Report is a trademark of Equifax, Inc. and its affiliated companies. Many factors affect your FICO Score and the interest rates you may receive. Fair Isaac is not a credit repair organization as defined under federal or state law, including the Credit Repair Organizations Act. Fair Isaac does not provide "credit repair" services or advice or assistance regarding "rebuilding" or "improving" your credit record, credit history or credit rating. FTC's website on credit.