Where to go from here?

[NewSurrender]

So I have a bit of a dilemna and could use some advice. In the next few months (Sometime around mid-August, I think), I plan on buying a new car  (Will probably have to take out a loan for ~10k once my down payment/trade in is factored in), but I also want one or two new cards before I do. The main reason is because I'd like to put part of the payment on a card that has an intro 0% APR offer (My BoA 123 card is 0% until January 2013, but only has a $1,000 limit).

Here are the cards I'm working with now (Keep in mind I only started building my credit in February 2011):

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Bank of America Secured Card ($500) - Only reason I haven't ditched this card yet is because it's my oldest tradeline, and my only tradeline older than a year. Closing this card would probably kill my AAoA. Also, my mom uses this card whenever she needs to charge something.

Capital One Journey ($750) - Despise the bad reviews for C1, I like this card. I'll probably have to ditch it later on, since it won't grow with me. For now, it's good though.

Discover More ($1,000) - Love the 5% from this card, only thing I use it for since everything else is a paltry 0.25%.

Bank of America 123 Cash Rewards ($1,000) - My primary card, pretty much use it for everything, only reason I kept my BoA checking account open is so I could get 1.10%, 2.20%, and 3.30%.

J.C. Penny Store Card ($1,000) - Second card I opened, in hindsight it was a bad idea since I never use it. I want to close it, but it's got a decent CL and it's my second oldest tradeline. I'm thinking of calling for a CLI, but I think it's going to be a HP.

J Jill Store Card ($900) - Third card I got, same as the J.C. Penny card. Even less of a chance of me using this card, so if I wanted to close either, it'd probably be this one.

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Not sure about the other two, but as of earlier this month, my TU score is 697. My AAoA is 6 months, and my utilization is very low (5-10% usually, I PIF every card besides the BoA since it has 0% APR). I have nothing deragatory on my CR, and in the past year I have 5 inquiries. My annual income is around 15K, but I'm a college student, so that's to be expected, I guess.

Here are the cards I'm looking at, and why:

AMEX: I've wanted an Amex for a very long time, and that was before I found out about backdating. Now that I know (thanks to you guys) that Amex will backdate all your new cards to when the first one was opened, I want to apply even more. The problem is I only really want a BCE, but I'm not sure if my credit is good enough for a Blue Cash. Don't want to waste the inq on a card I won't be approved for. I do love the CLI button though, and the fact that you can hit it every 61 days, with only a soft pull. I can see that coming in handy very often.

Zync is an option, but it has an annual fee and I honestly don't ever see myself using it. I love the way it looks (More so than the Platinum/Gold cards), but it's basically going to collect dust in my wallet. Also, how do charge cards work for utilization? Does Amex report the highest balance as the limit? Say I spend $5k in one month, that becomes my new limit, and all charges are x/$5000, for utilization purposes?

Chase Freedom:   A while back, I applied for this card and was denied. Since then though, my score has gone up a bit, and I've opened a checking account with Chase (Which is now my primary bank account). I want this card to have another set of categories for 5%, plus it's a good back up card since all other purchases are 1%. However, I did some recon last time I applied and the CSR told me Chase usually requires two years of credit history, and I only have 16 months or so. By the time I apply, it'd be closer to 18 months, but I still don't know if it's worth apply.

Citi Forward:Just another 5% card, but only for books, restaurants, movies, and music, right?

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So after I buy my new car, I'm definitely going to garden for a long, long time. That's why I want to get one (or possibly two) of these cards in the meantime, so I can be satisfied while I sit and wait. Sorry for the long post, I figured the more information I provide, the better you guys can help me. This is my first post here, but I've been lurking around for a bit, and have learned a plethora of valuable information, thanks!

If anyone has any advice for me, I'd love to hear it. Which (if any) cards should I close, and which ones to apply for? Or if there's any other cards not on my list of cards to apply for that you think would be beneficial for me, feel free to suggest em. Preferably one with a 0% intro APR offer (Was told by salesman at car dealership that I can put part of my down payment on a credit card, thus I want to charge as much of it, since it's like a 0% loan, as opposed to ~5% APR).

Also, how would you guys say I've been doing so far, for a college student that started a year and four months ago? Any critiques or advice? I know I've got a few useless cards, and possibly too many in general, but I'm planning on fixing that.

[rootpooty]

first and foremost closing a cc account now doesnt affect your aaoa. it will remain on your reports for the next 10 years. the only thing it affects is your available credit thus affecting your util if you let alot of cards report a balance. ill try to help you as much as you can and im sure others can help more. how long have you had your bank of america secured? more than 12 months im assuming? have you tried unsecuring the card? if not call now and do it. how long have you had discover more? if more than 6 months hit the luv button. so you say you have 5 inquiries in the last year. how many in the past 6 months? if none i would try citi forward. their student card seems decent to get for students. cap one isnt going to grow with you so if you jump on with citi i would ditch cap one and if you cant get that secured card from boa graduated i would close that too cause you have a 39.00 annual fee with that too right? I cant advise on your store cards it would be a matter of whether your using them or not.

with amex i would start with zync just to get your foot in the door maybe others will chime in here i have no experience with amex but ive seen some hefty high score people here still get turned down for bce and bcp.

can you get in with navy federal credit union?

[NewSurrender]

Oh it doesn't? I knew it remained on your reports, but I thought it was just as a reference to when you started building your credit, didn't know it affected your AAoA, awesome. Silly mistake on my part.

I usually PIF, even when I go on a shopping spree, my util is under 25%, so I don't think closing it is more of a problem. I've had it for about 16 months, and they unsecured it a couple of months ago. Refunded my $99 deposit, and turned it into a regular card. When I was in the bank taking care of something, I asked the account manager if there was a chance of me getting a CLI and she said the only way to get a CLI is to put more money into the card. She might be wrong though, I'll have to call BoA. You're right on the annual fee, but I just paid it a few months ago, so hopefully I can get a CLI.

I have 2-3 inquiries in the past 6 months, is Citi inq sensitive? If so, I'm probably going to have to hold off on that one. Any alternatives?

As far as the store cards go, I'm not using them.. at all. The only reason I haven't closed them yet is because they have a pretty decent CL (compared to my other cards), so I've kept them open. If I'm going to close a card and apply for another, is it better idea to close first, then apply or vice versa?

Zync just seems like such a mediocre card to me, but I guess $25 is a small price to pay to start a relationship with Amex. That'd be the only reason I'd get the Zync, right? Unfortunately I can't get in NCFU, no millitary affiliation whatsoever.

Thank you very much for your help so far.

[espnjunkie]

Right now I would suggest that you hold off applying for any additional credit. You have 5 tradelines right now and currently do not seem to need more. Applying for the sake of applying can lead to trouble. I wouldn't go for an amex revolver without first establishing some history with them on a charge card. That is not to say it is impossible to be accepted otherwise, but it definitely would help.

Also it is worth noting that amex strongly considers your income and assets in the application process. They like heavy spending customers who will put alot of charges through the card each month. For your current level of spending a simple cash back rewards type card is probably best.

[NewSurrender]

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@espnjunkie wrote:

Right now I would suggest that you hold off applying for any additional credit. You have 5 tradelines right now and currently do not seem to need more. Applying for the sake of applying can lead to trouble. I wouldn't go for an amex revolver without first establishing some history with them on a charge card. That is not to say it is impossible to be accepted otherwise, but it definitely would help.

Also it is worth noting that amex strongly considers your income and assets in the application process. They like heavy spending customers who will put alot of charges through the card each month. For your current level of spending a simple cash back rewards type card is probably best.

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That's what I've been seeing, that if you have anything but terrific credit, Amex won't approve you for anything but a charge card. So I'm thinking that applying for Zync might not be a terrible idea.

As far as cash back rewards go, I have a few. My Journey card gives me 1.25% on all purchases, BoA card gives me 1.10% on everything, 2.20% on groceries, and 3.30% on gas (1/2/3% normally, but a 10% bonus if I deposit it in a BoA checking/savings account). Discover gives me 5% on rotating categories, this month is groceries (Which is awesome, spent $50 the other day, got $2.50).

[webhopper]

If you apply for anything; let it be zync since you'll benefit from backdating later on. The car is a tough one. If you could avoid getting a car I would avoid it...

[NewSurrender]

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@webhopper wrote:
If you apply for anything; let it be zync since you'll benefit from backdating later on. The car is a tough one. If you could avoid getting a car I would avoid it...

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The car is kind of a neccesity. My current one has almost 200k miles on it, and is ready to break down anytime soon. Not to mention, I get 9 MPG (literally, nine, that wasn't a typo). I spend around $80 a week on gas.

Not only do I NEED to get a new car before mine stops working, but the extra money saved in gas would help offset the car payment (I would honestly save $150-200/month on gas, depending on which car I get).

Why do you advise not getting a car? Because I'd get stuck with a higher APR due to my credit? Or because of how it would affect my credit? The first one I'm not so happy about, the second one I can live with, since I'm happy with the cards I have now, and would rather have a new car.

[rootpooty]

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@NewSurrender wrote:

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@webhopper wrote:
If you apply for anything; let it be zync since you'll benefit from backdating later on. The car is a tough one. If you could avoid getting a car I would avoid it...

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Why do you advise not getting a car? Because I'd get stuck with a higher APR due to my credit? Or because of how it would affect my credit? The first one I'm not so happy about, the second one I can live with, since I'm happy with the cards I have now, and would rather have a new car.

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car loans can be a nightmare. not trying to talk you out of it but if you can for now buy a nice little honda for around 4-5k i would do that. the thing with car loans my case for example is that the first year or so your paying nothing but interest so say after a year your not liking the car anymore you owe more than its worth. if i ever did a car loan again it would be through my credit union and not let the dealer go on an app spree for me

[Revelate]

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@NewSurrender wrote:

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@webhopper wrote:
If you apply for anything; let it be zync since you'll benefit from backdating later on. The car is a tough one. If you could avoid getting a car I would avoid it...

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The car is kind of a neccesity. My current one has almost 200k miles on it, and is ready to break down anytime soon. Not to mention, I get 9 MPG (literally, nine, that wasn't a typo). I spend around $80 a week on gas.

Not only do I NEED to get a new car before mine stops working, but the extra money saved in gas would help offset the car payment (I would honestly save $150-200/month on gas, depending on which car I get).

Why do you advise not getting a car? Because I'd get stuck with a higher APR due to my credit? Or because of how it would affect my credit? The first one I'm not so happy about, the second one I can live with, since I'm happy with the cards I have now, and would rather have a new car.

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I'm actually going to take the opposite of WH's opinion: buying a car sounds like it makes absolute financial sense to do so - do that.

Ignore any more credit cards right now, you have a history of 6 months, more new accounts (if you could get approved for any 0% APR's which is debatable) is just going to hurt your credit profile more, when you're about to acquire a non-trivial loan amount.

I like your style and the idea of using a 0% APR offer for part of the car payment; however, I would question if the amount saved would offset a possible change in rate on the initial auto loan, and it's almost certainly going to affect things when you go refinance the car in six months which you quite possibly will want to do.  That's not knowable, but I would not bet on saving much if anything.

Get the car first, do everything else after that.  Personally I got a car loan, and then opened up several tradelines, and now running six months clean credit-wise towards a re-fi off my subprime auto loan.  I would suggest the same strategy in your case, it's known to work effectively.  I think your 0% APR plan, while it has possible merits, is a less defensible choice given your situation.

[webhopper]

Car note; insurance; all of those expenses are tough on a students wages. Now that you mention 9 miles per hour; ditch it and you'll be more than happy with.whatever gas sipper you can find. Keep in mind your insurance will likely go up if you end Up adding full coverage if you didn't have it on your gas guzzler. My mom owns a Monte Carlo with 300k miles... my brother drives it back and forth every day...