Improving my Fico score as a foreigner

[Mark222013]

Hi All,

I've been in the states for about 5 years (2+3). My current Fico score is 683, and the increase I have seen the past 18 months has stagnated. What would your advice be to improve my credit. I have one credit card (cap one - platinum limit $750) Use this for no more than $350 a month, and auto pay full amount due every month. Also have platinum amex business, which doesn't appear on report. Then a car loan that I pay on time every month. I usually pay 100 to 150 extra each month. Currently have one hard pull showing from Comcast feb/2013.

Looking to buy a house in the next 12 to 18 months and would like to improve my score into the 700's

Thanks a lot,

Mark222013

[guiness56]

For the one CC you do have that reports, don't let it report a 0 balance,  Keep it reporting at 9% or below.

You can also try to get another CC, whether secured or not. 

I am guessing you have no negatives on your reports?

[Mark222013]

I had one collection in sept 2010, which was fixed as soon as I discovered this. When I moved back to my home country, one electricity bill was not paid (wasn't aware of this till I came back) Other than that, there is nothing. 

Is there a difference between secured and unsecured as far as benefiting your score? What about store credit cards? is it worth it?

[RobertEG]

I would suggest that you get another revolving CC that reports.

FICO places significance on showing effeictive use of discrtionary (revolving) credit.

Adding a revolving would improve mix of credit, and with a timeframe of more than a year before mortgage app, any inquiries to obtain that card will have ceased to affect scoring.  With only two current reporting TLs, you have a "thiin" credit file, whiich keeps you in a less favorable scoring category.

While the immediate score affect of that additional CC may be negative, as the inquiry and reduction in AAoA will both impact score, mutlitple revolving would, in my opinion, be a good step towards both a thick file and an improved mix of credit.

[guiness56]

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@Mark222013 wrote:

I had one collection in sept 2010, which was fixed as soon as I discovered this. When I moved back to my home country, one electricity bill was not paid (wasn't aware of this till I came back) Other than that, there is nothing. 

Is there a difference between secured and unsecured as far as benefiting your score? What about store credit cards? is it worth it?

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No, both secured and unsecured work the same way for scoring purposes.  Most secured do not report as secured, which has no impact on your score in any case.  Store cards, as long as they are revolving will also benefit you.

If the collection is paid, send them a GW letter asking if they will remove the TL.

[Mark222013]

I have send a letter today, so hopefully this will be removed soon. my score has gone up in the past few days to 693, so on the right track here. I'd like another credit card in the next few months, but really want the AMEX delta card. I travel a lot for work and leisure and the bonus miles are great. I do not want to be rejected so will wait untill I get over 710 - 720 to apply. Does Amex pre approve? I do get 1-2 pre approved credit card offer in the mail every week. 

Thanks in again

[takeshi74]

(nm -- posted before reading the entire thread)

[Mark222013]

GW letter approved, score increased to 757!!. Thanks so much for the advise! 

[guiness56]

Nice score.  Congrats!