09-10-2012 08:21 AM
Long story short but I find myself re-building I think this is the 3rd time. Issue that puts me in this place (soon to be ex husband) is taken care of. Glad to finally be able to get on track like I should be. Problem is I have no CC. (they are all in collections or charged off or wage garnishment and I'm dealing with each of them)
So I was going to go the secured CC route. Problem is I can't even get a credit union to let me have a savings account so how do I get a secured credit card? The sub-prime lenders don't appeal to me and since part of the CC I owe are to HSBC/Cap1/etc I doubt I could get one with them anyway. I am making payments to NFCU on 2 CC and a charged off LOC (as well as current car loan) so I can't get one from them. I am currently in the process of getting a $300 secured AMEX from USAA.
Does anyone have any other suggestions?? I even tried recon on the local credit union that denied me membership thinking they were small and if I explained the situation maybe they would reconsider but they said they have the same credit standards for a savings acocunt as they do any loan product which seems crazy to me. My intention was to open a savings account and put so much in (via direct deposit) each payday and once I reached $500 to ask for a secured credit card. And do this at 2-3 places.
My scores are I'm pretty sure low 500s now. I have 2 30 lates on my NFCU cc (they closed my account but I'm current on payments now) in the last year and I think 2 on my car loan with them.
I'm feeling frustrated because I do know what to do and how to manage my finances, but because of my deadbeat ex it's going to take me awhile to get out of this mess and try to get things straight. I just don't know what to do with a secured CC isn't an option. And now I'm worried even USAA may turn me down. They had no problem giving me a savings account and I would have thought they would have had fairly high credit standards but I've been a member for about 20 years. (full member if that makes any difference, but funny thing is that I included a personal loan and my first ever CC I had with USAA in my bankruptcy back in 1996)
09-10-2012 08:51 AM
The only thing that pops into my mind is the AMEX Serve (pre-paid credit card), no credit check, untill the end of the month they are having a special where you can get a $25 when you load it with $25, you can do the loading via MoneyPak cards that are availible at Walmart and other retailers. If you do get a bank account somewhere you can link it to the card and then you can use it like a debit card. This could be incredibly helpful because even if you do get a checking account at this time some banks won't even give you a debit card with the MC/Visa access making the card very limited. They have also waived fee's on the card untill next year. See the link below for details on the $25 for $25 deal
09-10-2012 08:54 AM
Thanks for the info but I was actually able to open a checking account at SunTrust Bank. Not sure why they approved me but they did with a debit card no questions asked and I have no previous relationship with them.
My main question is how to go about getting a secured card to help re-build my credit. I'm already doing what I can to take care of the charged off accounts. (either payment arrangements, settlements, or 2 that are coming through wage garnishment (ouch!). But since I won't have any open TL except my Sallie Mae student loan and my car loan I wanted to get a couple secured CC to help my score as well.
09-10-2012 08:56 AM
I have both the USAA Secured Mastercard and the Secured Amex. They have been instrumental in my rebuild.
It's very nice that you can get both. And as time goes on, you can keep adding funds so that each has a $5k credit limit. No need to make big deposits.. you can deposit $50 at a time. You get them for 2 years at a time, and can renew them as needed. I think it's a great way to get started, and if you can qualify for one, you can get the other.
Sorry I don't have any better advice for you, but if you can get the USAA secured card, I say get two! And if you can get the CLs up over time, that could open doors for you for bigger CLs in the future.
Do you have any idea what your FICO is? Have you burned GE (bank)? Depending on your score you may qualify for a small Walmart or Amazon card, and those balances tend to really grow with you.
Anyway... Good luck!
09-10-2012 09:01 AM
I hate to be the one to say this, but with all of trouble you have been in ( you said this is your 3rd time rebuilding your credit ) maybe it's time for you to take a break from credit cards for a couple of years.
the cards you said you have charged off were subprime lenders, whcih leads us to believe that you had credit issues in the past and that's all you could get.
if you seriously have these many issues the last thing you need to do is open a credit card and do more damage.
Pay off all of your old debt and save for a couple of years before you open another credit card
09-10-2012 09:02 AM
I had a CO with USAA two years ago. USAA credit card that I stopped paying (job loss). It went to collections. I settled for half.
I still got secured cards with USAA. Wait until you get approval/denial before freaking out.
The reason why you might have a difficult time getting checking/savings accounts or secured cards is because of the outstanding debt. If the collectors could get a judgement against you, they could clear those accounts. No one wants that. So if you need to wait for those to be paid, just remain calm and wait.
09-10-2012 09:16 AM
You should obtain a free copy of your report from Chex Systems. This is the system some banks use to deny you an account based off previous history (No Suc Funds, Overdrafts, etc.). It appears Suntrust doesn't use Chexsystems. You can find other banks that do use the report by googling it. If all of the information is accurate on Chex the only thing you can do is wait the 5yrs for it to fall off your report unless you convince the offending bank to remove it.
09-10-2012 09:47 AM
Thanks for the info about Chex Systems. I did get a copy of that report and there were no bounced checks showing on it even though I have a couple small ones I'm taking care of.
And while I appreciate the advice that I dont' know how to handle my credit cards that wasnt' my question. My financial problems all belong to my soon to be abusive alcoholic ex-husband and not with me. I'm just stuck trying to get out from under this mess, but it's worth it to finally after 20 years be away from him. I never thought I would be able to do it.
Thanks for the tip about getting 2 secured CC with USAA. I may just do that although I would like to deversify lenders a bit, but unlike most secured CC their annual fee isn't super high and their interest rates aren't too bad.
09-10-2012 09:49 AM
Oh and I've never burned GE Bank but even when I had better scores (mid 600s) I could never get a card backed by them.
09-10-2012 10:26 AM
take it slowly...
my opinion... do not apply for, nor obtain any credit from any financial institution period until your divorce is signed, sealed, delivered, and celebrated over a 2 day weekend. Do not let there be any shadow of his involvment at all... so wait til all the legalities are done.
AFTER that... talk to your bank and see if they have a secured credit card offering. Let them know how you are trying to build a relationship with them and see what they have to say. OH and I would open a savings account with them as well.. as long as they don't have a minimum balance requirement for waiving fees. Every little bit adds up.
took me 8 years to rebuild after my divorce (not abusive, just really crappy with money). So patience and baby steps. you CAN do this.
Forums posts are not provided or commissioned by FICO. Forums posts have not been reviewed, approved or otherwise endorsed by FICO. It is not FICO's responsibility to ensure all posts and/or questions are answered.Advertiser Disclosure: The listings that appear on myFICO are from companies from which myFICO receives compensation, which may impact how and where products appear on myFICO (including, for example, the order in which they appear). myFICO does not review or include all companies or all available products.
IMPORTANT INFORMATION: All FICO® Score products made available on myFICO.com include a FICO® Score 8, along with additional FICO® Score versions. Your lender or insurer may use a different FICO® Score than the versions you receive from myFICO, or another type of credit score altogether. Learn more
FICO, myFICO, Score Watch, The score lenders use, and The Score That Matters are trademarks or registered trademarks of Fair Isaac Corporation. Equifax Credit Report is a trademark of Equifax, Inc. and its affiliated companies. Many factors affect your FICO Score and the interest rates you may receive. Fair Isaac is not a credit repair organization as defined under federal or state law, including the Credit Repair Organizations Act. Fair Isaac does not provide "credit repair" services or advice or assistance regarding "rebuilding" or "improving" your credit record, credit history or credit rating. FTC's website on credit.