Re: Secured loan to a secured credit card?!

JayBee_3 · ‎08-17-2012

Is it a good idea to get a secured loan for $2000 and take that money and open up 2 secured CC's for $1000 each? That way I have 3 actual TL's rather than 1?

Starting Score: 7/30/2012 (TU) 575 (EXP)USAA FAKO 632 (EQ) 563
Current Score: (TU) 575 (EXP)USAA FAKO 632 (EQ)563
Goal Score: 700+ by 2014

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Duncanrr · ‎08-17-2012

Do u have any installment loans reporting?

Starting Score: EQ 551 TU 548 CK 607on 6/8/12, EX 542(AMEX pull 3/4/12)
Current Score: EQ 808 TU --- EX --- CK 804(FAKO-EX 821, EQ 823, TU 803)
Goal Score: 750
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JayBee_3 · ‎08-20-2012

Yes, I have my Car payment which is payed on time every month.

Starting Score: 7/30/2012 (TU) 575 (EXP)USAA FAKO 632 (EQ) 563
Current Score: (TU) 575 (EXP)USAA FAKO 632 (EQ)563
Goal Score: 700+ by 2014

Take the FICO Fitness Challenge

llecs · ‎08-20-2012

@JayBee_3 wrote:
Yes, I have my Car payment which is payed on time every month.

Great question by Duncanrr. FICO views loans the same way for the most part. Adding a secured loan will not help your mix of credit. I'd argue that'll hurt your FICO scores. Now if you don't have any CCs, then definitely consider at least 1, and maybe a 2nd as things age.

JayBee_3 · ‎08-20-2012

Perfect! Thank you!!

Starting Score: 7/30/2012 (TU) 575 (EXP)USAA FAKO 632 (EQ) 563
Current Score: (TU) 575 (EXP)USAA FAKO 632 (EQ)563
Goal Score: 700+ by 2014

Take the FICO Fitness Challenge

Secured loan to a secured credit card?!

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Secured loan to a secured credit card?!