Reply
Established Contributor
CribDuchess
Posts: 651
Registered: ‎09-12-2011
0

Re: New credit - what's my best long term strategy?

Congrats on your Zync approval!  :smileyhappy:

FICOs: TU08 841 6/3/14 per Wally; TU98 800 4/8/14; EQ04 769 6/8/14; EQ08 810 6/10/14; EX 805 6/12/14 per MyFICO

My Wallet: Amex Gold NPSL; Amex Optima Platinum $25K; Amex Costco TE $15K; Amex BCE $12K; BofA Visa $10.1K; Cap1 Quicksilver Visa Sig $10K; CSP $28.2K; Chase Freedom $13K; Citi Simplicity Visa $15.1K; Discover IT $24K; Fidelity Amex $15K; PenFed Plat Rewards Visa Sig $20K; Sallie Mae WMC $12.5K; US Bank Cash+ Visa Sig $24.5K; Walmart Discover $10K; Wells Fargo Rewards Visa Sig $14K
Valued Contributor
Crashem
Posts: 3,098
Registered: ‎01-26-2012
0

Re: New credit - what's my best long term strategy?

That was a huge mistake to apply for Zync or really anything else right now.  Basically you have an unusual file in this day and age.  You have a good history but mostly with installment debt (mortgage etc.).  But when it comes around to revolving debt, you have little no experience.  So FICO wise you might look good as you now have revolving debt to measure and your AAoA is fine, but many CC companies want to treat you like newbie credit, but they also love the fact you had high quality installment loans that they usually associate with higher credit people.

 

As a result you will get very different reactions from different CC companies.  Sometimes from the same one.  HOWEVER, you need your oldest credit card to hit 6 months before applying to better cards.  And many will reject or give you bad terms until your oldest card hits at least 1 year.  There are serious dings or hard rejections before then.  You should have applied for Zync until that Wells hit 6 months and you would have gotten regular approval.  The one positive thing however is that you have set your Amex Member date to 2012.  I would recommend you apply for another AMEX in Jan 2013 and not before and not after.  You should be good for basically all their cards at that point.

               LIMITS IN CARD DESCRIPTIONS
Valued Contributor
Crashem
Posts: 3,098
Registered: ‎01-26-2012
0

Re: New credit - what's my best long term strategy?

Actually starting typing my last response before seeing the rest of the thread.  My advice still holds however.  But in terms of the backdating, I would wait to see if they auto update your member date on their own.  It for sure will not be on the card.  It will reflect itself most likely in the member since date on the online interface once you create id with new card.  It may take up to a week.

 

Can you give me some details on the old charge off with Amex?  How much was it.  When did you have the card from and till?  etc.  Also, are you comfortable will paying the old amount off now?  What evidence do you have that you had the old card (copy of old bill, the card itself, old credit report, etc.)?

               LIMITS IN CARD DESCRIPTIONS
Established Member
til
Posts: 15
Registered: ‎08-22-2012
0

Re: New credit - what's my best long term strategy?

Crashem,

 

It's been probably 22 or 23 years, and to be honest I don't remember exactly how much.  I was a member for only a couple of years, and the CO was probably around $750, but I can't say for sure.  I don't have any evidence of anything - too many years and an interstate move between then and now.

 

To be honest, I don't feel like this was a huge mistake, I'm actually pretty okay with it. Up until a couple of weeks ago, I wouldn't have even thought I'd be able to get this one.  I won't be applying for anything else for the next year at least.  Now I'm just going to be smart, use what I've got responsibly, PIF every month, and keep my utilization at 9% or below.  :smileyhappy:

EQ 759 | EX FAKO 784
Valued Contributor
Crashem
Posts: 3,098
Registered: ‎01-26-2012
0

Re: New credit - what's my best long term strategy?


til wrote:

Crashem,

 

It's been probably 22 or 23 years, and to be honest I don't remember exactly how much.  I was a member for only a couple of years, and the CO was probably around $750, but I can't say for sure.  I don't have any evidence of anything - too many years and an interstate move between then and now.

 

To be honest, I don't feel like this was a huge mistake, I'm actually pretty okay with it. Up until a couple of weeks ago, I wouldn't have even thought I'd be able to get this one.  I won't be applying for anything else for the next year at least.  Now I'm just going to be smart, use what I've got responsibly, PIF every month, and keep my utilization at 9% or below.  :smileyhappy:


Smart man.  You might be okay at 6 months to app for other cards, but don't do anything on Amex until Jan 2013.

As for your old charge off, I think it will be worthwhile to try and backdate account.  If it doesn't automatically backdate, I would call up and see if they can find your old account.  If they can, they will link up the old history and the new.  The danger is that with old history, you are more likely to get a FR and/or outright account closure.  If you are comfortable with paying the old amount back, you might think about it as it would clear up all old negatives with AMEX.  However it is worth it as it will add decades to your AAoA.  More importantly, it will make your oldest revolving card MUCH MUCH OLDER.  The net result, I can give you advice to basically build out your credit file quickly and efficiently.  Thats why I think it is worth it.  Hell even if they closed your cards it would after backdating, it would be worth it.  But the worse I have seen is that they suddenly demand payment of old charge off amount and suspend your cards in meantime.  It will be the best $750 dollars you ever spent.

               LIMITS IN CARD DESCRIPTIONS
Established Member
til
Posts: 15
Registered: ‎08-22-2012
0

Re: New credit - what's my best long term strategy?

You've given me a lot to think about, Crashem.  I'm totally comfortable paying the balance if it can be located - it's the right thing to do anyway.  I'd really hate to see the account closed, but if I can pay it off in one lump sum, hopefully I can avoid that.

 


Crashem wrote:

til wrote:

Crashem,

 

It's been probably 22 or 23 years, and to be honest I don't remember exactly how much.  I was a member for only a couple of years, and the CO was probably around $750, but I can't say for sure.  I don't have any evidence of anything - too many years and an interstate move between then and now.

 

To be honest, I don't feel like this was a huge mistake, I'm actually pretty okay with it. Up until a couple of weeks ago, I wouldn't have even thought I'd be able to get this one.  I won't be applying for anything else for the next year at least.  Now I'm just going to be smart, use what I've got responsibly, PIF every month, and keep my utilization at 9% or below.  :smileyhappy:


Hell even if they closed your cards it would after backdating, it would be worth it. 



Could you clarify this for me?  And is this something you've seen very often?

 

Thanks for your advice - very informative!

EQ 759 | EX FAKO 784

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+
}