First off I would just like to say thank you to everyone here for all the great advice and resources I've taken advantage of over the last 6 months in this forum. My fiance and I have been wanting to buy our own house now for several years but credit has been the largest hurdle to overcome for us. Our daughter turns 2 in July and I have made it my goal to be in our own home with her own room before she turns 3.
My sights are set on getting to a 640 score by September of this year and hopefully being in our new home by Christmas. I plan to track my progress here and hopefully get some good advice along the way.
Credit repair start: 09/01/2011 (shortly after her 1st birthday)
Plus scores: (at the time I didn't know they weren't real scores)
Pulled 9/2011 Ex: 585. EQ: 564. Trans 573. 8 badies reporting 3 good accounts
Debt to credit ratio 85% This made me cry!
After reading here for hours on end I disputed several accounts marked with incorrect data and sent several PFD letters to anything I could afford to pay off. To my surprise 5 of the 8 bad accounts agreed and those accounts are now gone! I also applied for a CC through capital one and received a $300 CL with the steps program and it will increase to a $500 CL at the end of this month. I also have a Venue credit card that I have never used showing on my CR now but it apparently came with $1000 CL so I'm just going to leave it be for now.
Fast Forward to 3/14/2012
EX: 607. EQ 601 Trans 603* still using plus score for Trans, need to order actual Fico score
3 Badies reporting
4 Good accounts
Debt to credit ratio 5%
2 installment loans with good credit history
2 revolving accs with good history
Average age of credit 4.8 years
Oldest age of credit 8.2 years
We are headed in the right direction! Still got some work to do though.
My CO account badies are verizon for $497 and National Credit systems (defaulted Apt lease 2009) for $2777. I will have the money to pay off both within the next 60 days but I'm going to send a PFD letter to each first in hopes they will accept. My other negative item is my stupidity for paying my truck payment late in Nov and DEC of 2011 but I don't think that is hurting me as bad as the 2 CO. So I will address them first and try a "goodwill" letter to my truck's finaince company after I have maintained good payment history for at least 6 months after my late payments.
Couple of questions:
The CO on the APT lease is a Joint CO, does that have any affect being a joint account VS being only mine or sole responsibility? Do you guys think I should open a couple more CC accounts?
I'm thinking of opening a BOA secured card because I bank with them and a wells Fargo secured card as well because they offer upgrade benefits through my employer. I've also been with the same company for 10 years now with a gross income of 63K a year.
What do you guys think my chances are for buying this year with USDA loan and or do you have any advice for getting to the 640 I want before contacting a lender?
Thank you!
Edit: Thanks mods, Im not sure why it spit the entire post out as one long paragragh. I had it sorted non the less but was on my ipad when I posted. Anyway thanks again.
I created paragraphs in your post so its easier for others to read. I did not change any of the content, tho. Good luck!
--fused, myfico moderator
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