Ill try and make this short and sweet. For the past year or so, I have been trying to repair my credit. A couple years ago, my wife and I were going through a divorce and it ended up hitting me pretty hard on my credit score. Since, in the past 2 years, I got 2 secured credit cards and rently got my first non secured from Capital One (within last 3 months or so).
I signed up for MyFICO 3 month monitoring service with all 3 reports yesterday. Was a bit discouraged by my scores (576, 596, 572). When I did their little simulator thing, just by paying down my 3 new credit cards (none have very high limits), my scores should jump to the 620-630 range in 3 months. Not sure how accurate that is. But does sound a little better.
My goal is to be in the 660 range in the next year. Then ultimately one day 700.
So here are the things that are effecting my credit and curious if there is anything I can do, other than just sit back and wait?
1. late payments on multiple accounts. auto loans and mortgage over the years. pretty good as of lately except on mortgage (will explain)
* Mortgage. I recently applied and was approved for a HAMP modification that dropped my payment almost $300 a month. Which im grateful for. But the past 3 months, they hit me for being 30/60/30 and now current again. I didnt know that would happen. I was current when I applied.
* Auto. Back in Sept/Oct/Nov of 2013, Wells Fargo incorrectly added lender placed insurance on my auto loan. During these months, i never knew this happened so I was paying my normal payment. So they were basically saying I wasnt paying my full payment. And hit me late for these 3 months. By time I figured this out, called them, got handled... they removed this and I was current again starting Dec 2013... but these 3 months are showing late on my report. Back then, I tried sending a GW letter, but it didnt work.
* random other legit late payments over the years on all accounts
2. charge off
* from Rent Debt. When my wife and I first seperated, i took out a lease on an apartment and ended up breaking the lease and moving back home with wife. There is a $3900 chargeoff on my report. I have tried disputing and never worked. Iv called them and they are hard to work with. Will accept payments of any amount and "say" they will ask to be removed from report once paid in full, but will not offer anything in writing until its completely paid in full. Will settle, but want $2500 in 1 payment. Which I do not have.
* charge off from Discover credit card. similar to above. happened during divorce. wife stopped paying. charged off. tried disputing, nothing. i could probably setttle, but balance is over $5k and I dont have money they would probably want.
3. inquiries. about a year ago I bought a car from CarMax, they ran my credit. Then 6 months or so later, i realized the decision to buy a small car for gas mileage wasnt that great of a plan. I sacrified space of my old SUV. So i went back, bought an SUV. So in the past year, i have about 3-4 inquiries from each time that CarMax ran.
really thats about it. Im not sure what here is hurting me the most. The high balance (only about $1k on all 3 cards combined) on my credit cards since my limits are low. The charge offs? the late payments? the inquiries? I know they are all hurting in the end. But not sure whats hurting the most?
i can pay down the credit cards and continue making payments on time. But settling the charge offs dont seem to be much of an option. And almost all my recent late payments on my report seem a little unfair but legit. So is there really anythign I can do here? Is there anything somebody or a company can do for me?
Starting Score: 498 (Jan 2013)
Current FICO 8: 687 EQ, 683 TU, 700 EX
Goal Score: 680
