cancel
Showing results for 
Search instead for 
Did you mean: 

Help!!! Advice needed for CC planning

tag
Anonymous
Not applicable

Help!!! Advice needed for CC planning

New to the forums but have reading and learning from them for a few months. I recently closed on a house in Feb, which was my orginial goal when I started this credit building process in July/Aug of last year. The whole Process really opened my eyes to the world of credit and I've become kind of addicted to improving my credit. I really don't know where to go from here though. 

 

Background:

 

Income 50-55K/yr (gross)

 

Mortgage: 62K over 30 years at 4.0%

Car loan: $13,400/47 months left at 7.11% (credit was much worse when i purchased 2 years ago). 

Student loans: 75K (multiple accounts) in deferrment because I'm back in school. 

 

Capital One Platinum: 2k CL 23% utilization

Care Credit: 2K CL 35% utilization

Walmart Store Card: 5K CL 11% utilization

Total Credit utilization: 19%

 

AAoA-5-6 years depending on CB

 

Experian FICO 8- 704, 9 inquiries (3 falling off in Nov of this year). 

Equifax FICO 8-  708, 8 inquiries (nothing falls off until 2017)

Transunion FICO 8- 678 15 inquiries (2 falling off in June/July of this year)

 

1 collections reported on all 3 bureaus from 2012 for $77 that was paid off in 2014 . (I know, I know, dumb and ignorant). 

 

Student loans reported as 180 days past due in 2013, has been reported in good standing since the beginning of 2014 to present. 

 

 

I had though about refinancing my car loan to get a lower interest rate (currently 7.11%) scores were around 590-620 at the time of original finance. But I'm not sure if the lower interest rate is worth the HP. Potential savings over the remaing life of the loan (48 months) 850-1400 based on a interest rate of 2-4%.

 

I was also considering applying for a second CC, and possibly a Lowes card, possibly going on a mini app spree do build my credit card portfolio since the only real credit card I have is the Cap One Quicksilver. Is this a good idea or should I wait longer until some of those inquiries fall off? Or should I go ahead and try to build my portfolio considering I only have one real credit card and already have recent inquires from mortgage apps, then gardening for a year or two? And if so, which credit cards/store cards do you suggest I go after? I don't have any planned major purchases in the future so i would be ok with taking a few HPs and inquires to build my file if that is the course I should choose. 

 

Lastly, I was considering hiring lexington law or someone similar to see if they could get the 1 collection off my credit reports. Is this something I should do, or is it even worth the try? I know you can do this yourself but honestly I don't have the time or patience right now in my life, so it would be worth it to me to hire some one for a few months. 

 

Any suggestions would be greatly appreciated, and sorry for such the long post. 

Message 1 of 8
7 REPLIES 7
steelers1
Frequent Contributor

Re: Help!!! Advice needed for CC planning


@Anonymous wrote:

New to the forums but have reading and learning from them for a few months. I recently closed on a house in Feb, which was my orginial goal when I started this credit building process in July/Aug of last year. The whole Process really opened my eyes to the world of credit and I've become kind of addicted to improving my credit. I really don't know where to go from here though. 

 

Background:

 

Income 50-55K/yr (gross)

 

Mortgage: 62K over 30 years at 4.0%

Car loan: $13,400/47 months left at 7.11% (credit was much worse when i purchased 2 years ago). 

Student loans: 75K (multiple accounts) in deferrment because I'm back in school. 

 

Capital One Platinum: 2k CL 23% utilization

Care Credit: 2K CL 35% utilization

Walmart Store Card: 5K CL 11% utilization

Total Credit utilization: 19%

 

AAoA-5-6 years depending on CB

 

Experian FICO 8- 704, 9 inquiries (3 falling off in Nov of this year). 

Equifax FICO 8-  708, 8 inquiries (nothing falls off until 2017)

Transunion FICO 8- 678 15 inquiries (2 falling off in June/July of this year)

 

1 collections reported on all 3 bureaus from 2012 for $77 that was paid off in 2014 . (I know, I know, dumb and ignorant). 

 

Student loans reported as 180 days past due in 2013, has been reported in good standing since the beginning of 2014 to present. 

 

 

I had though about refinancing my car loan to get a lower interest rate (currently 7.11%) scores were around 590-620 at the time of original finance. But I'm not sure if the lower interest rate is worth the HP. Potential savings over the remaing life of the loan (48 months) 850-1400 based on a interest rate of 2-4%.

 

I was also considering applying for a second CC, and possibly a Lowes card, possibly going on a mini app spree do build my credit card portfolio since the only real credit card I have is the Cap One Quicksilver. Is this a good idea or should I wait longer until some of those inquiries fall off? Or should I go ahead and try to build my portfolio considering I only have one real credit card and already have recent inquires from mortgage apps, then gardening for a year or two? And if so, which credit cards/store cards do you suggest I go after? I don't have any planned major purchases in the future so i would be ok with taking a few HPs and inquires to build my file if that is the course I should choose. 

 

Lastly, I was considering hiring lexington law or someone similar to see if they could get the 1 collection off my credit reports. Is this something I should do, or is it even worth the try? I know you can do this yourself but honestly I don't have the time or patience right now in my life, so it would be worth it to me to hire some one for a few months. 

 

Any suggestions would be greatly appreciated, and sorry for such the long post. 


I would get your utiliization under 30% on your Care Credit first and try to pay off one of your three cards.

 

Have you tried to dispute your paid collection?

Message 2 of 8
steelers1
Frequent Contributor

Re: Help!!! Advice needed for CC planning


@steelers1 wrote:

@Anonymous wrote:

New to the forums but have reading and learning from them for a few months. I recently closed on a house in Feb, which was my orginial goal when I started this credit building process in July/Aug of last year. The whole Process really opened my eyes to the world of credit and I've become kind of addicted to improving my credit. I really don't know where to go from here though. 

 

Background:

 

Income 50-55K/yr (gross)

 

Mortgage: 62K over 30 years at 4.0%

Car loan: $13,400/47 months left at 7.11% (credit was much worse when i purchased 2 years ago). 

Student loans: 75K (multiple accounts) in deferrment because I'm back in school. 

 

Capital One Platinum: 2k CL 23% utilization

Care Credit: 2K CL 35% utilization

Walmart Store Card: 5K CL 11% utilization

Total Credit utilization: 19%

 

AAoA-5-6 years depending on CB

 

Experian FICO 8- 704, 9 inquiries (3 falling off in Nov of this year). 

Equifax FICO 8-  708, 8 inquiries (nothing falls off until 2017)

Transunion FICO 8- 678 15 inquiries (2 falling off in June/July of this year)

 

1 collections reported on all 3 bureaus from 2012 for $77 that was paid off in 2014 . (I know, I know, dumb and ignorant). 

 

Student loans reported as 180 days past due in 2013, has been reported in good standing since the beginning of 2014 to present. 

 

 

I had though about refinancing my car loan to get a lower interest rate (currently 7.11%) scores were around 590-620 at the time of original finance. But I'm not sure if the lower interest rate is worth the HP. Potential savings over the remaing life of the loan (48 months) 850-1400 based on a interest rate of 2-4%.

 

I was also considering applying for a second CC, and possibly a Lowes card, possibly going on a mini app spree do build my credit card portfolio since the only real credit card I have is the Cap One Quicksilver. Is this a good idea or should I wait longer until some of those inquiries fall off? Or should I go ahead and try to build my portfolio considering I only have one real credit card and already have recent inquires from mortgage apps, then gardening for a year or two? And if so, which credit cards/store cards do you suggest I go after? I don't have any planned major purchases in the future so i would be ok with taking a few HPs and inquires to build my file if that is the course I should choose. 

 

Lastly, I was considering hiring lexington law or someone similar to see if they could get the 1 collection off my credit reports. Is this something I should do, or is it even worth the try? I know you can do this yourself but honestly I don't have the time or patience right now in my life, so it would be worth it to me to hire some one for a few months. 

 

Any suggestions would be greatly appreciated, and sorry for such the long post. 


I would get your utiliization under 30% on your Care Credit first and try to pay off one of your three cards.

 

Have you tried to dispute your paid collection?


*** LASTLY ***
YOU CAN DO THIS YOURSELF!!!
Don't even consider hiring them...


 

Message 3 of 8
SouthJamaica
Mega Contributor

Re: Help!!! Advice needed for CC planning


@Anonymous wrote:

New to the forums but have reading and learning from them for a few months. I recently closed on a house in Feb, which was my orginial goal when I started this credit building process in July/Aug of last year. The whole Process really opened my eyes to the world of credit and I've become kind of addicted to improving my credit. I really don't know where to go from here though. 

 

Background:

 

Income 50-55K/yr (gross)

 

Mortgage: 62K over 30 years at 4.0%

Car loan: $13,400/47 months left at 7.11% (credit was much worse when i purchased 2 years ago). 

Student loans: 75K (multiple accounts) in deferrment because I'm back in school. 

 

Capital One Platinum: 2k CL 23% utilization

Care Credit: 2K CL 35% utilization

Walmart Store Card: 5K CL 11% utilization

Total Credit utilization: 19%

 

AAoA-5-6 years depending on CB

 

Experian FICO 8- 704, 9 inquiries (3 falling off in Nov of this year). 

Equifax FICO 8-  708, 8 inquiries (nothing falls off until 2017)

Transunion FICO 8- 678 15 inquiries (2 falling off in June/July of this year)

 

1 collections reported on all 3 bureaus from 2012 for $77 that was paid off in 2014 . (I know, I know, dumb and ignorant). 

 

Student loans reported as 180 days past due in 2013, has been reported in good standing since the beginning of 2014 to present. 

 

 

I had though about refinancing my car loan to get a lower interest rate (currently 7.11%) scores were around 590-620 at the time of original finance. But I'm not sure if the lower interest rate is worth the HP. Potential savings over the remaing life of the loan (48 months) 850-1400 based on a interest rate of 2-4%.

 

I was also considering applying for a second CC, and possibly a Lowes card, possibly going on a mini app spree do build my credit card portfolio since the only real credit card I have is the Cap One Quicksilver. Is this a good idea or should I wait longer until some of those inquiries fall off? Or should I go ahead and try to build my portfolio considering I only have one real credit card and already have recent inquires from mortgage apps, then gardening for a year or two? And if so, which credit cards/store cards do you suggest I go after? I don't have any planned major purchases in the future so i would be ok with taking a few HPs and inquires to build my file if that is the course I should choose. 

 

Lastly, I was considering hiring lexington law or someone similar to see if they could get the 1 collection off my credit reports. Is this something I should do, or is it even worth the try? I know you can do this yourself but honestly I don't have the time or patience right now in my life, so it would be worth it to me to hire some one for a few months. 

 

Any suggestions would be greatly appreciated, and sorry for such the long post. 


IMHO you should just stand pat with what you have and not apply for anything for awhile. Let everything age, and you'll see your scores grow.

 

You're doing well; don't ruin it.

 

Can't hurt to get Lexington Law on the case, they'll probably clean it up a bit.  But it is $60 a month.


Total revolving limits 741200 (620700 reporting) FICO 8: EQ 701 TU 704 EX 685

Message 4 of 8
Anonymous
Not applicable

Re: Help!!! Advice needed for CC planning

Is there a forum or somewhere to go that explains how you dispute a collections claim??

Message 5 of 8
Anonymous
Not applicable

Re: Help!!! Advice needed for CC planning


@Anonymous wrote:

Is there a forum or somewhere to go that explains how you dispute a collections claim??


I also had a similar collections account on my reports, $76 for my closed Verizon account they never contacted me about.  The collections agency who bought it also never contacted me.  I found it myself pulling my annual report, called their 1-800 number, and paid on the spot.  A year later after reading this and similar sites I called the agency to ask them to remove it and also sent them a letter.  No dice, they were totally unhelpful.

 

Then I went to each bureau's website, entered a dispute, and the account was removed.  I now monitor my reports through Credit Check Total by Experian, and they showed it gone off my EX report the very next day.  This is definitely the way to go.

 

EX and EQ were easy to dispute online.  TU's website was crap so I ended up calling their 800 number to dispute.  Good luck!

Message 6 of 8
Anonymous
Not applicable

Re: Help!!! Advice needed for CC planning

What do you say to them when you dispute?
Message 7 of 8
Anonymous
Not applicable

Re: Help!!! Advice needed for CC planning


@Anonymous wrote:
What do you say to them when you dispute?
It's really not that hard dude.  It's just a series of dropdown menus, no reprecussions if your request is denied.  I remember that either EQ or EX would not let me select 'Debt was paid' from their dropdown, saying "we're already reporting it paid, choose something else!"  So I chose a different option and wrote in the free-form comment box:  I was never notified of this debt, as soon as I discovered it I paid for it.
Done.  Removed the next day.  Give it a whirl, you'll be surprised how easy it is.  Good luck!
Message 8 of 8
Advertiser Disclosure: The offers that appear on this site are from third party advertisers from whom FICO receives compensation.