Hi everyone,
I am on a mission to rebuild my credit and I'm wondering what's the best way to go on from here. I'm currently in school right now so I have no way/intention of paying off the remaining baddies on my report other than the revolving $250 CO in a month or so. I am relying on school loans/grants and just don't have that kind of money. In the past 6 months though I have gotten rid of all the other negatives on my reports (other COs, collections, etc)
Prior to 3 years ago I had great credit, and then I got divorced and my shared accounts with my Ex-SO went down the drain (everything you see that's 3yo). It wasn't until recently (6mo exactly) that I really started to get my credit in line. I started off with a CapOne $1k limit and then did the shopping cart trick and got a bunch of cards (probably too many :/ but I was desperate). You can see my starting Credit Scores in my sig. In the last 6 months I've had perfect payment, multiple CLI (some big/some small) paid down 2 chargeoffs, etc. All of my current credit/store cards have been opened in the last 6 months and I listed them below
Installment Loans
US Dept of Education: $175k (deferred, in medical school, graduating in 2018)
Baddies: All falling off 3/2020
Revolving
Citi CC Chargeoffs x2 (3yo), paid, $0 balance, closed
CU CC Chargeoff (3yo), balance of $250 updating monthly :/
Installment
CU Repo (3yo) Chargeoff, balance of $3k updating monthly :/
CU Loan (3yo) Chargeoff, balance of $3k updating monthly :/
Collections
Medical Bill (3yo), $3k, appears on EX and TU only
FICO8 (Current): EX-635(4 inq), TU-644(4 inq), EQ-678(3 Inq)
AAoA: 5.4yrs
Util: 2%
0 Late payments in the last 3 years
Multiple Installment loans all in perfect standing (opened and closed)
For now, I would appreciate any help in what I can do to improve my situation (other than paying off my derogatories which is extremely unlikely at this point). I do plan to qualify for an auto loan in the summer of 2017 (actually required to have a car). I submitted a prequal Auto App with CapOne just to see my rate and right now its about 8% APR. I can only hope that the rate might go down in about 7 months when I actually need the car. I will also need an increased CC limit or personal education loan for $6000, around 9 months from now when I apply to residency and go on nationwide interviews (plane fare, hotel stays, food, etc).
TLDR;
Short term goals:
- Auto Loan in 7 months ($10k for Used Toyota Prius, will keep for hopefully 10yrs)
- Personal Education Loan/CC Limit in 9 months (around $6k)
Long term goals:
- Mortgage in 4 or 5 years
I know this was a lot, but thank you to everyone who's attention I still have. I guess I'm looking for guidance on how to best approach the next few months and what I can do to increase the likelihood of me having a lower auto loan rate in 7 months and be able to qualify for a CC/Educational loan of $6k in about 9 months.
Thanks for your help everyone.
