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New Contributor
tuffluck
Posts: 75
Registered: ‎08-18-2009

Re: new to the credit card world, need some hep understanding

[ Edited ]

applied for the fidelity, denied for the fidelity.  or at least they will let me know in 30 days, which means denied.  that is so weird to me, i thought 710 was a pretty good score.  maybe like you said it has to be 2 years of revolving account activity, which means i'm pretty much screwed no matter what credit card i apply for.

 

it appears 710 (or gasp 695 now that i've had a recent INQ) is probably going to get me a pretty good auto loan rate, and especially if i want to buy at the beginning of 2010 and have the next 6 months to increase my score to potentially over 720.  so i've got that resolved.  and i guess i'll have to wait another year or so for the amex from fidelity, if it's even available at that time.

 

so i should wait for a few months to apply for a macy's card if i want to do that, or what, and is that considered "installment" credit?  thanks.

Message Edited by tuffluck on 08-19-2009 02:29 PM
Senior Contributor
creditwherecreditisdue
Posts: 4,923
Registered: ‎04-19-2009

Re: new to the credit card world, need some hep understanding

You need to call Fidelity now and inquiry on the status of your app. If denied you need to understand why and perhaps recon.

 

You do not need to wait for Macys. On the other hand if you do not want it don't app for it. Don't do anything until you understand Fidelity.

 

Installment loans are loans that are paid back with a fixed number of fixed payments like an auto loan.

Senior Contributor
creditwherecreditisdue
Posts: 4,923
Registered: ‎04-19-2009

Re: new to the credit card world, need some hep understanding


beamMEup wrote:

There is no FICO ding for not having a store card.


You've said twice in this thread now that there is no benefit to adding a store card to your mix of credit. Where do you get this from? Do you know something that none of the mod's on this site seem to know?

New Contributor
tuffluck
Posts: 75
Registered: ‎08-18-2009

Re: new to the credit card world, need some hep understanding

thank you.  is recon short for something or did i skip the wrong vocab class in high school?
Senior Contributor
creditwherecreditisdue
Posts: 4,923
Registered: ‎04-19-2009

Re: new to the credit card world, need some hep understanding

recon = Reconsideration
Moderator Emeritus
beamMEup
Posts: 4,473
Registered: ‎12-31-2008

Re: new to the credit card world, need some hep understanding


creditwherecreditisdue wrote:

beamMEup wrote:

There is no FICO ding for not having a store card.


You've said twice in this thread now that there is no benefit to adding a store card to your mix of credit. Where do you get this from? Do you know something that none of the mod's on this site seem to know?


I can't speak for the lovely and wise mods - although I admire them and their kindness and wisdom greatly.  There simply isn't a ding for not having a store card.  FICO dings are usually called codes - they're numbered - and there's no code or ding for not having a store card.  You can be in the lovely land of 800 with nary a store card in sight.

Just puttin' syrup on something, don't make it pancakes.
Regular Contributor
Lyythine
Posts: 204
Registered: ‎03-05-2009

Re: new to the credit card world, need some hep understanding

Im not sure why it hasnt been said yet, but the problem with your credit file and why you keep getting denied is your file is TOO THIN!!  As in, you have almost no credit history.

 

You have one credit card that has been reporting, which is great, however, without any other credit references to go by, your score, no matter how good/bad is relatively useless.

 

What you need to do is apply to  banks or cards that you have a chance at getting approved for.  You are never going to get a AMEX in this climate with one CC reporting and a short history.  Try pre-approval tools at Bank of America and HSBC to see if any pre-approval CC show up.  You will have much better luck getting a starter card from BofA or HSBC rather than AMEX or Fidelity, which both are extremely conservative cards for people with GREAT history and a strong credit file, neither of which you possess at the current moment.

 

I think you are on the right track, however, you need to realize that companies, especially these days are very worried about giving credit, especially to someone who has little experience in the credit market.

 

My advice,  open an account with a local credit union, or, if not local, and can get into Navy Federal Credit Union, go that route.  Alliant is also a great option, however, I have no personal experience with this CU.

 

You might also want to apply for a credit card with the bank you currently hold your Checking/Savings at -since they do have experience with you and might be more lenient given your history with them.

 

Good Luck! 

05/25/09
Transunion: 775 (FICO) -- Equifax: 814 (FICO) -- Experian: 806 (FICO - from CU Loan Officer)
Wohoo! Happy 1st BDay to 2 accounts this month!!

07/09/08 - Before I started reading these forums...
Transunion: 670 --Equifax: 698 -- Experian: 685
Moderator Emeritus
beamMEup
Posts: 4,473
Registered: ‎12-31-2008

Re: new to the credit card world, need some hep understanding

+1  great post Lyythine!
Just puttin' syrup on something, don't make it pancakes.
New Contributor
tuffluck
Posts: 75
Registered: ‎08-18-2009

Re: new to the credit card world, need some hep understanding

[ Edited ]

thanks for the helpful post!  when you say apply for a CU, do you mean apply for a credit card with them or apply for a checking account or savings account with them?

 

it seems silly that to build credit you need credit cards and installment loans like car or mortgage, and yet the whole purpose of good built credit is to get credit cards and make installment loans, ha.  it's the most contradictory thing ever...

Message Edited by tuffluck on 08-20-2009 08:45 AM
Senior Contributor
creditwherecreditisdue
Posts: 4,923
Registered: ‎04-19-2009

Re: new to the credit card world, need some hep understanding


tuffluck wrote:

thanks for the helpful post!  when you say apply for a CU, do you mean apply for a credit card with them or apply for a checking account or savings account with them?

 

it seems silly that to build credit you need credit cards and installment loans like car or mortgage, and yet the whole purpose of good built credit is to get credit cards and make installment loans, ha.  it's the most contradictory thing ever...


If you want to have good credit you have to develop it. It doesn't just happen in a vacuum.


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