advice needed

[TigerRed]

Hi, I have just 1 secured cc for $1000 (New acct). At this point. My goal is to get another from my cu unsec once I get this last collection acct resolved and get my score up a little more (612eq, 547 tu and 581 exp - myfico scores). What is the best way to manage this cc. Should I stay below 10 percent or below 30 percent util for the greatest impact on my cr while managing just 1? What other suggestions might you have to best boost my scores in the shortest amount of time. Once I get this ca resolved I will only have student loans reporting which have been current for the last 10 months but have reported multiple past dues. Thanks

[jamesdwi]

The best way to resolve collections is PFD, don't pay creditors without a promise to delete. paid collections sit on your report for 7 years. Write good will letters to creditors that have allready been paid, but its a lot harder to get paid collections off your report. 

[MT936]

Keep your utilization low and always pay in time try not to carry a balance, pay in full

[Ellifino]

1-8% seems to be the utilization sweet spot.

[TigerRed]

to Jamesdwi, the ca is for a utility company, duke energy.  From what i have read here and another site, it appears that no one has been successful getting something in writing from duke or the coll company which is Bull City.  I do want to get this acct paid before it gets transferred to a diff ca (which has happened) etc.  People have had success gw after the fact so I was just gonna try that.

[TigerRed]

to MT936, I have read on here....(i have been doing a lot of reading).....that the fico scoring model wants to see that I can use the credit that has been granted to me and manage it well.  I read that is was best to keep a small balance < 9% of CL in situations where a person has multiple cc's.  I was wondering if that hold true for some with just 1 cc.  I also read something about staying below 30% util over all but may be confusing that with something else.

So I shouldnt carry forward a balance and just pif every month? I originally was just gonna let it sit and not use it but I read that wasnt the thing to do either......

[TigerRed]

Okay, thanks Ellifino!

[eric19k]

ideally you want 2-3 revolving lines to report. One 1-9% and second 0%.
Since you have 1 card use to 1-9%. After 3-4 months you should see an increase.

[TigerRed]

Yes, Erik19k. My plan is to have 3 cc's but I am thinking I should wait until I get my (low score) up a bit before applying. I don't want to get a hard pull and be denied. So I am gonna work to increase my chances on getting approve by a bank other than first progress/premier or credit one. I already have sdfcu cc which was a sp. I can't wait until my cs starts to rise.....

[jamesdwi]

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@TigerRed wrote:

to Jamesdwi, the ca is for a utility company, duke energy.  From what i have read here and another site, it appears that no one has been successful getting something in writing from duke or the coll company which is Bull City.  I do want to get this acct paid before it gets transferred to a diff ca (which has happened) etc.  People have had success gw after the fact so I was just gonna try that.

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okay, just though i would mention it, I see far too many people that pay the debts blindly thinking in a few weeks it will be all better and it won't.