Should I apply for a credit card now?

[Anonymous]

Hi everyone,

This is my first post here but I've been reading the great advice in other threads.

Recently I paid off my Capital One card that was way over the limit and my Orchard Bank Card which was closed by the creditor because it was over the limit.  They were very low limits to begin with and about three years ago I got a little too close to those limits.  I had a few late payments ( a day at the most) but I was charged late fees, over the limit fees, I couldn't make the minimum payment because of the fees so they applied more fees and before I knew it I was in way over my head. 

Now, I'm in a better place financially and I currently have 0 credit card debt but I also only have 1 credit card with Capital One with only a $200 balance.  It's my oldest account at 5 years.  I have some lates on my credit report (the Capital One/Orchard Bank cards) but they're all over 18 months old, an open auto loan with no lates, 2 closed auto loan accounts with no lates, and my student loan with no lates.  I only have 2 inquiries (2 for utilities and 1 for an apartment).  My big baddie is a paid collection credit card account from 2006.  I wish I'd known about PFD back then!

Either way, I need to build my credit.  My current scores aren't as bad as I thought they were but they're still low but the paid-off Orchard bank account hasn't hit my report as being paid.  According to the FICO simulator on bot TU and EQ that should bring my up into into the 678-718 range (God willing).

8/10/2009 EQ-599

8/10/2009 TU-623

8/10/2009 EX-655 (FAKO)

So my question is, do I have a shot at getting any credit card with a decent limit over my current $200?  I am a Navy Federal member but I only use it for savings and I don't have much in there.  My primary bank is another credit union (Langley Federal).  I haven't applied with anyone because I don't want the inquiries.  Do you guys have any suggestions?  I wasn't thinking of applying until a month or so after the Orchard Bank account shows as paid.

Thanks!

Michelle

Message Edited by GriffinGirl on 08-14-2009 03:16 PM

[smallfry]

Why not try Navy? They might suggest a secured card if they don't approve initially. You might want to walk in and ask the branch manager. Got nothing to lose.

[creditwherecreditisdue]

I would take a shot at NFCU and see what happens.

[nothingman02]

After the orchard reports as paid, try for the LOC and a CC with Navy. Im confident you'd get approved for both. Itd be a good idea to let these build for a while before you app again. Their CCs are harder to get compared to their other products but they give good weightage to the recent good payment history which you have.

[Anonymous]

Thanks for the advice.  After the Orchard payoff clears I'll give it a try with NFCU and let you guys know what happens.

[Anonymous]

Update!

My Equifax FICO went up to 678 after Orchard cleared.  A few minutes ago I bit the bullet and applied for the goRewards Visa with NFCU.  Here's what I got:

Congratulations! Based on your creditworthiness, you have been approved for a goRewards Visa. Your credit line will be $7,500.00 . Your APR will be 14.4. You should receive your new card(s) in 7-10 business days.

I've never been instantly approved for anything in my life and a limit like that floored me!  I almost had tears in my eyes! I have to join everyone when I say NFCU rocks!  Thanks everyone for the advice!

Michelle

[creditwherecreditisdue]

Now that is a great Friday night surprise!

Congratulations on a very nice approval!

[smallfry]

That's great Griffin. Congrats.