No credit card required
Browse credit cards from a variety of issuers to see if there's a better card for you.
Only you can answer this
1) If it benefits you of course use the credit
2) If you think the rates or it will be to costly walk away
3) Have you offered PFD's for the collections or are you just using the loan to pay in full?
Offering PFD's may reduce the loan amount IMHO
@myjourney wrote:Only you can answer this
1) If it benefits you of course use the credit
2) If you think the rates or it will be to costly walk away
3) Have you offered PFD's for the collections or are you just using the loan to pay in full?
Offering PFD's may reduce the loan amount IMHO
4) Can you resist the urge to get back into the same trouble?
would the loan end up saving you more than it cost you?
@earlyKY wrote:
Today I was approved for a loan that will pay off a small existing installment loan, the remaining 4 collections that are my credit report, and pay off all 3 of my credit cards and fingerhut completely.
I should take the loan, right?
It would decrease your AAoA, but you'd definitely see improvement with UTIL. If the loan has a better APR than the CCs and other TLs, it would probably make financial sense.
With FICO, positive closed accounts count toward AAoA for up to 10 years, depending on whether the original creditor continues to report them that long. Negative closed accounts stay on a shorter time. One thing that makes it confusing is that some FAKO score sites, mainly Credit Karma, don't count closed accounts, but real scores do include them.
Yes, all OC accounts, open, closed, good or bad are factored into your AAoA.
ETA: For clarification, positive closed accounts stay up to 10 years from the date closed and will factor into AAoA. Negatives, like a CO are reported until the CRTP is reached and will factor in until that time. If the CO annotation is removed the account will become positve and stay for up to 10 years from the date closed. Otherwise, it will be removed at the end of the CRTP.
It has to be on your CR to be counted for anything.