In my early 20s I had several charge offs on credit cards, which wrecked my credit from the start. I was still able to get Stafford loans for school, which I stopped paying on when the payments came due and I did not realize how easy it was to fix at the time. After paying off a truck from a small mom and pop lot, I lived virutally credit free for about 5 years. Some utility and medical collections that I let sit came and went. The only debt I had standing were student loans.
About three years ago, I decided to finally do something about getting my credit back in order. I participated in the loan rehabilitation program which allowed me to get my student loans out of default and off my credit report. I started writing letters about old collection accounts and getting them removed or worked out. I also purchased a truck at 18.5% interest and have been making the payments on time ever since. My FICO score was in the low 500s at that time. I also received two First Premiere credit cards, which I pay in full each month.
A year ago, I set a goal for myself that I wanted to buy my own house. I have a good job and would have no problem making the payments. I worked hard and continued to pay everything on time and built my score up to 689 at its highest point. Last month I finally closed on my new house.
After buying the house, I applied for and received a Capital One card. My score has dipped back down to about 660, which was expected with the acquisition of new credit.
So, my question is: Other than just waiting for my credit to mature and gradually raise my score, what can I do next? I pay my credit cards each month, so there is very small utilization. My student loans are in deferment because I am currently going back to school. I have debt payments other than the mortgage and the truck loan.
Just looking for some advice.
Thanks in advance.
Do you still have any old, unpaid debt?
Has the debt that was previously charged-off or placed for collection now been paid?
If not, what is the DOFD on the OC account for each of these, and when did the statute of limitations expire on each of these debts?
If all old debts have been paid, and derogatory items still remain in your CR, then it is time for a round of GW letters to attempt to get them deleted.