12-06-2013 07:02 AM
Ok... I did this, no one else to blame, just me. Beginning in Nov/13 I was on a mission and had things under control with three CC's, a mortgage, and an AAoA about 5years. My CC TL's were PIF while mostly gardening from 8/12 - 9/13. scores all in the mid 700's no neg. Then it happened... I closed on the second house last month (foreclosure priced property) and rented out my other house. I closed on my new house 11/15 and decided I wanted to apply for that higher CC limit card. BOA was leaving me cold with chinsy CLI's.
All this was sound preplanned strategy except the additional 2 CC TL's. I was planning to go into the new year with a new Mort TL and ONE new CC TL. Now I'v ended up applying for two additional CC (impulsive.. not on the original program) for a total of 4 new TL set to hit next month. I anticipated at least a 20 point across the board drop for the two, but as the time gets closer, I suspect the FICO carnage might be worse than I anticipated. Or am I just being paranoid?
I'm in un-charted territory here... feeling guilty for the CC app spree, and preparing to face the consequences for my actions. On one hand I feel mission accomplished (I got the 2nd house and High limit CC) but on the other hand is this feeling I've stretched the limits of "fashionable/responsible" credit rebuilding. I have the income and maturity to maintain these new TL's, and I am heading deeeeep into the garden, but what hath this action wrought... Oh the humanity of it!!
Citi has already reported and my scores have dropped about 12 points. With three TL’s left to report, will this lead to a to an additional 30+ point drop? I have no immediate need for additional credit, so I hoping to return in a year or two in a much stronger position. At least that’s what I'm telling myself now...
12-06-2013 11:09 AM
You'll be fine. You'll see a drop as a result of the inquiries, and you'll get diminishing negative returns adding additional tradelines but FWIW it's what I would've done.
If you continue to manage your credit well it won't be an issue: you got your big ticket item out of the way and then you went after the lesser important (but still useful) revolving tradelines.
Don't beat yourself up over it, ain't no big deal, and it's precisely what I'm planning to do after my own mortgage qualification: take a shot at the big tier cards I want and make the lenders say no . Probably will wind up with most of them anyway unless we get a major market shift between now and back half of next year.
12-06-2013 01:14 PM
Thanks for the encouragement... I'll try not to beat myself up too much over this... Do others go on "app sprees" like this? I agree, in the long run it can't be all that bad because these were TL's I wanted anyways.
I was hoping to gauge the initial short term drop to my FICO from multiple accounts added in a short time.. That is the basis for my recent guilt trip here, LOL.. Been so used to baby stepping with careful calculations, because of the fragility of my recent 3 year credit cleanup efforts. Rapid-fire application/approvals just seemed a bit reckless, although effective...
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