What do I do now???

[NinComPoop]

I check my CR daily with Credit Check Total and have been waiting for my final collection account to fall off. Today I find that the day has finally arrived! I checked my real fico's and my EQ is 677 and TU is 685. I want to apply for a new CC to replace a 1st Premier card I want to close asap. My current active cards are a secured CC with a CU, Household Bank card, and the 1st Premier. Any suggestions on what I should do now?

The negative factors that are affecting me are AAoA's is just 1 year now, my oldest account is 2 years 7 months, and I have a 30 day mistake from June 2008.

[DI]

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@NinComPoop wrote:

I check my CR daily with Credit Check Total and have been waiting for my final collection account to fall off. Today I find that the day has finally arrived! I checked my real fico's and my EQ is 677 and TU is 685. I want to apply for a new CC to replace a 1st Premier card I want to close asap. My current active cards are a secured CC with a CU, Household Bank card, and the 1st Premier. Any suggestions on what I should do now?

The negative factors that are affecting me are AAoA's is just 1 year now, my oldest account is 2 years 7 months, and I have a 30 day mistake from June 2008.

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Do you have any balances on the cards you have?  If so, you want to pay those down to squeeze out the maximum FICO scores before applying.  With your short AAoA, adding a new account can be fatal to your FICO scores.  Do you have any installment accounts?  Installment accounts will help bump your FICO scores before adding another revolving account.  

[NinComPoop]

Thank you for your response. I pay my balances off in full every month, but not before the statement cuts. As of the last time the cards reported, I was around 30% utilization. I have two student loans totaling $4,800, but the payments are deferred until 2014. I am thinking about applying for a $2,500 loan with my CU. Is that a good idea? I really want to get rid of the 1st Premier but think I should get a card to replace it. 

[DI]

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@NinComPoop wrote:
Thank you for your response. I pay my balances off in full every month, but not before the statement cuts. As of the last time the cards reported, I was around 30% utilization. I have two student loans totaling $4,800, but the payments are deferred until 2014. I am thinking about applying for a $2,500 loan with my CU. Is that a good idea? I really want to get rid of the 1st Premier but think I should get a card to replace it. 

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You want to give your credit reports some time to reflect the zero balances before apping for any type credit.   If you are wanting to app for a $2500 loan with the CU just to add another tradeline, then it's not a good idea.  Your student loans are sufficient enough to give your FICO scores a mixture of credit it likes to see.

It's your call to app for another card.  Just remember, with your short AAoA accounts, your FICO scores will take a big hit.  It's my understanding FICO only reads AAoA's in a yearly range.  App'ing would reduce your AAoA's below one year.  

[creditwherecreditisdue]

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@NinComPoop wrote:

I check my CR daily with Credit Check Total and have been waiting for my final collection account to fall off. Today I find that the day has finally arrived! I checked my real fico's and my EQ is 677 and TU is 685. I want to apply for a new CC to replace a 1st Premier card I want to close asap. My current active cards are a secured CC with a CU, Household Bank card, and the 1st Premier. Any suggestions on what I should do now?

The negative factors that are affecting me are AAoA's is just 1 year now, my oldest account is 2 years 7 months, and I have a 30 day mistake from June 2008.

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You always want to app for the best credit products you can possibly be approved for. Do you have any idea as to how many additional months over one year your AAoA is? You can calculate it yourself you know. If you are close to two years you might get a FICO bump when AAoA passes that threshold. I think that the 30-day late stops impacting your score at the two year point as well. You might want to wait six months, pay down any balances and try to maximize your FICO scores before app'ing further.

[NinComPoop]

My AAoA is at 1.7 yrs now. I pay my balances off in full so I don't really have any balances to pay down. Are you suggesting I pay them before the statement cuts? Should I close my 1st Premier card or wait awhile? I really hate having to pay that monthy fee. I keep getting offers from Capital One also and hear mixed things about them.

[DI]

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@creditwherecreditisdue wrote:

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@NinComPoop wrote:

I check my CR daily with Credit Check Total and have been waiting for my final collection account to fall off. Today I find that the day has finally arrived! I checked my real fico's and my EQ is 677 and TU is 685. I want to apply for a new CC to replace a 1st Premier card I want to close asap. My current active cards are a secured CC with a CU, Household Bank card, and the 1st Premier. Any suggestions on what I should do now?

The negative factors that are affecting me are AAoA's is just 1 year now, my oldest account is 2 years 7 months, and I have a 30 day mistake from June 2008.

---

You always want to app for the best credit products you can possibly be approved for. Do you have any idea as to how many additional months over one year your AAoA is? You can calculate it yourself you know. If you are close to two years you might get a FICO bump when AAoA passes that threshold. I think that the 30-day late stops impacting your score at the two year point as well. You might want to wait six months, pay down any balances and try to maximize your FICO scores before app'ing further.

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Thanks for reiterating what I said.  Excellent advice!