Reply
Moderator Emeritus
webhopper
Posts: 7,230
Registered: ‎09-16-2011
0

Re: Skipping sub-prime cards...It can be done

My rebuilding went something like this... Scores tanked in 2006. In 2007 I opened a chase freedom, and cap 1, in addition to the discover that had been sitting in my moms sock drawer since 1999. Also got a secured loan from chase. I also focused on paying all of the creditors in full and made multiple GW phone calls asking reps to remove negative information from my accounts since they were now paid in full. This worked surprisingly well. I got hit with a very large judgement in 2008 and eventually settled that in 2009. Court dismissed it after settled. In 2010 the OC tradeline was sold to santander who reported a chargeoff on a paid account. My mortgage broker helped me get that inaccurate reporting fixed in december 2011. Also found out that the judgment was dismissed and was able to get that removed. I agree with revelate, rebuilding is different for everyone but re establishing good history is important. Without re establishing my credit I wouldn't have been able to buy my first home in 2008

Starting Score: 08/29/2011 TU 671 EQ 674
Current Score: TU 754 EQ 694 EX 697
Wallet: NFCU Visa Sig 25k, Amex Lowes 22k, NavCheck 15k, Amex PRG, Amex Zync, Discover It 13.5k, Amazon Visa 5k
Platinum Spade Garden Club Member: App Free since 1/1/13. No more apps til who knows when?
MyFICO Fitness Goal: 800s Club!



Take the myFICO Fitness Challenge
Blogger
HiLine
Posts: 2,906
Registered: ‎10-19-2012
0

Re: Skipping sub-prime cards...It can be done


Revelate wrote:

HiLine wrote:

 If you had started out with a secured card you would have ended up with a higher limit today ...


Possibly, like life there's no guaruntees on that depending what else is in the file.  

 



One really useful feature of a secured card is your ability to determine the credit limit. If you want to start building credit with a card with a high limit, that's the way to go. :smileywink:

Blogger
HiLine
Posts: 2,906
Registered: ‎10-19-2012
0

Re: Skipping sub-prime cards...It can be done


cashnocredit wrote:

Yeah. Back when I got my first job (1971) after college I had to watch finances pretty closely. Everything was checks or cash back then. No ATM cards let alone debit cards. Rented a room in a house I shared with 5 other peeps. Owed money to the college as well as "national defense" student loans. Gradually built up a little buffer and was able to move into a small efficiency appt.. About 2 years later I got my first CC, a BankAmericard. The main use of the CC back then was to widen the merchants that would take checks. CCs were used as a sort of ID along with DLs and not all that many places took CCs. By the late 70's that had completely changed in favor of CCs.

 

Stupidly, I eventually stopped using CCs in favor if a debit card (hated taking the time to write monthly checks). As that became increasingly problematic for car rentals  I had to rebuild credit. Since I had long paid off mortgages and dropped CCs I had no credit history and some baddies from sloppiness. Had to rebuild. But I was lucky in my investments over the years so I was able to open the max secured cards.


I enjoyed reading your story! The BankAmericard in your time, was it the predecessor of the Visa as known today? 

Established Contributor
cashnocredit
Posts: 1,024
Registered: ‎07-18-2009
0

Re: Skipping sub-prime cards...It can be done


HiLine wrote:

cashnocredit wrote:

Yeah. Back when I got my first job (1971) after college I had to watch finances pretty closely. Everything was checks or cash back then. No ATM cards let alone debit cards. Rented a room in a house I shared with 5 other peeps. Owed money to the college as well as "national defense" student loans. Gradually built up a little buffer and was able to move into a small efficiency appt.. About 2 years later I got my first CC, a BankAmericard. The main use of the CC back then was to widen the merchants that would take checks. CCs were used as a sort of ID along with DLs and not all that many places took CCs. By the late 70's that had completely changed in favor of CCs.

 

Stupidly, I eventually stopped using CCs in favor if a debit card (hated taking the time to write monthly checks). As that became increasingly problematic for car rentals  I had to rebuild credit. Since I had long paid off mortgages and dropped CCs I had no credit history and some baddies from sloppiness. Had to rebuild. But I was lucky in my investments over the years so I was able to open the max secured cards.


I enjoyed reading your story! The BankAmericard in your time, was it the predecessor of the Visa as known today? 



Yep. It was the original, multi-merchant credit card issued by BofA.  They changed it to Visa and spun it off so other banks could offer it without conflict. If they hadn't done that Mastercard would have eaten their lunch. At the time BofA was totally dominant in Calif. and many other states.

 

I have reestablished credit over the last couple years
so my moniker is, well, rather out of date.

WM Discover $1800, WF Plat 12k, Chase Freedom Siggy15k, Amex Plat (60k H/B), Citi AA EWMC 25k
Frequent Contributor
Sparkz1920
Posts: 271
Registered: ‎08-09-2009
0

Re: Skipping sub-prime cards...It can be done


distantarray wrote:

pretty much Bank of America is a Subprime bank anyways, Who in their right mind would ever even THINK about declining a person for a secured card..... There is 0 loss potential with everything to gain. Keep the deposit and if there is excess fees added above and beyond which bank of america loves to do they can charge off the account and sell it to a collections agency or jdb.


Citi can also deny you for a secured....Just because money backs it up doesn't mean you are not a risk to them where you might run up a bill and late fees and your deposit might not cover it all


Starting Score: 601
Current Score: 670
Goal Score: 700


Take the FICO Fitness Challenge

NFCU Rewards- 8K......AMEX Delta Skymiles-5k.....Citi AAdvantage AMEX-3.5K...WalMart Discover-4K....Old Navy Visa-2k...BOA-3000...AMEX Green-NPSL....Discover More-1K
Frequent Contributor
Sparkz1920
Posts: 271
Registered: ‎08-09-2009
0

Re: Skipping sub-prime cards...It can be done


FrugalRican wrote:

jamesdwi wrote:

well you used a sub-prime product just via prime bank... the secure card was equivalent to a subprime card and you had to pay for it.

 

but good job anyway.

 

 


What he said.


If im not mistaken, haven't people graduated from a secured to one with rewards? I would not really call it subprime...i think if FP, Cap1, HSBC etc as subprime.


Starting Score: 601
Current Score: 670
Goal Score: 700


Take the FICO Fitness Challenge

NFCU Rewards- 8K......AMEX Delta Skymiles-5k.....Citi AAdvantage AMEX-3.5K...WalMart Discover-4K....Old Navy Visa-2k...BOA-3000...AMEX Green-NPSL....Discover More-1K
Blogger
HiLine
Posts: 2,906
Registered: ‎10-19-2012
0

Re: Skipping sub-prime cards...It can be done


cashnocredit wrote:

HiLine wrote:

cashnocredit wrote:

Yeah. Back when I got my first job (1971) after college I had to watch finances pretty closely. Everything was checks or cash back then. No ATM cards let alone debit cards. Rented a room in a house I shared with 5 other peeps. Owed money to the college as well as "national defense" student loans. Gradually built up a little buffer and was able to move into a small efficiency appt.. About 2 years later I got my first CC, a BankAmericard. The main use of the CC back then was to widen the merchants that would take checks. CCs were used as a sort of ID along with DLs and not all that many places took CCs. By the late 70's that had completely changed in favor of CCs.

 

Stupidly, I eventually stopped using CCs in favor if a debit card (hated taking the time to write monthly checks). As that became increasingly problematic for car rentals  I had to rebuild credit. Since I had long paid off mortgages and dropped CCs I had no credit history and some baddies from sloppiness. Had to rebuild. But I was lucky in my investments over the years so I was able to open the max secured cards.


I enjoyed reading your story! The BankAmericard in your time, was it the predecessor of the Visa as known today? 



Yep. It was the original, multi-merchant credit card issued by BofA.  They changed it to Visa and spun it off so other banks could offer it without conflict. If they hadn't done that Mastercard would have eaten their lunch. At the time BofA was totally dominant in Calif. and many other states.

 


I feel honored to be talking to a witness of the famous card drop which ultimately would lead to the popularity of credit cards in modern times. :smileyhappy:

Moderator
Shogun
Posts: 12,952
Registered: ‎04-15-2011
0

Re: Skipping sub-prime cards...It can be done


HiLine wrote:

cashnocredit wrote:

HiLine wrote:

cashnocredit wrote:

Yeah. Back when I got my first job (1971) after college I had to watch finances pretty closely. Everything was checks or cash back then. No ATM cards let alone debit cards. Rented a room in a house I shared with 5 other peeps. Owed money to the college as well as "national defense" student loans. Gradually built up a little buffer and was able to move into a small efficiency appt.. About 2 years later I got my first CC, a BankAmericard. The main use of the CC back then was to widen the merchants that would take checks. CCs were used as a sort of ID along with DLs and not all that many places took CCs. By the late 70's that had completely changed in favor of CCs.

 

Stupidly, I eventually stopped using CCs in favor if a debit card (hated taking the time to write monthly checks). As that became increasingly problematic for car rentals  I had to rebuild credit. Since I had long paid off mortgages and dropped CCs I had no credit history and some baddies from sloppiness. Had to rebuild. But I was lucky in my investments over the years so I was able to open the max secured cards.


I enjoyed reading your story! The BankAmericard in your time, was it the predecessor of the Visa as known today? 



Yep. It was the original, multi-merchant credit card issued by BofA.  They changed it to Visa and spun it off so other banks could offer it without conflict. If they hadn't done that Mastercard would have eaten their lunch. At the time BofA was totally dominant in Calif. and many other states.

 


I feel honored to be talking to a witness of the famous card drop which ultimately would lead to the popularity of credit cards in modern times. :smileyhappy:


Yes, but remember, it wasn't MasterCard back then.  It was MasterCharge  It was like Amex back years ago.  You had to pay it off every month.


Starting Score: 504

July 2013 score: EQ FICO 819, TU08 778, EX "806 lender pull 07/26/2013
Goal Score: All Scores 760+, Newest goal 800+

Take the myFICO Fitness Challenge

Current scores after adding $81K in CLs and 2 new cars since July 2013
EQ:809 TU 777 EX 790 Now it's just garden time!
Community Leader
Valued Contributor
starry1
Posts: 2,095
Registered: ‎11-29-2012
0

Re: Skipping sub-prime cards...It can be done

Slightly off topic, but I have no idea how the term "toy limits" got started. Anyone with kids knows darn well toys are expensive.

Starting Score: 11/29/12 TU 527; EQ 565; EX 564 fako - bk7 dc'd 2/15/13
Current Score: 8/30/14 TU 611; EQ 650; EX 640
Goal Score:  625 for now– New goal 675

Cap1 sec $1k (SD) / FP $300 (closed) / Fingerhut $1300 / nRewards $2.5k / cashRewards $1.5k / NavChek $2.5k / Amazon $1.7k / Walmart $1k / Von Maur $200 /Firestone $1.2k (last app 10/08/13)
Valued Contributor
Dustink
Posts: 2,980
Registered: ‎10-02-2012
0

Re: Skipping sub-prime cards...It can be done

Toy limit=Just something to play with, but it is nothing serious.

Too many INQs & low AAoA so I'm off to tend the Garden.     Age:21    


     $14k          $8.5K          $7.5k          $7.5k         $6.5k             $6k             $5k            $5k             $5k              $5k           NPSL       @ 0%

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+