The crawl to good credit has begun

[Anonymous]

Over the last year I have frequently visited this site for information. I would like to thank you all for the help I have received and for sharing your unique stories, they have really helped me! I am now ready to share my struggles.

Over the last 5/6 years i accumulated:

2 CC collection accounts: 1 from BOA and 1 from Amazon

2 Cell Phone collection accounts: 1 from ATT and the other from Verizon. As you may recall Sprint offered to pay the ETF if customers would switch carriers, i took the offer but my final Verizon bil wasl left unpaid and sent to collections. 

1 collection account from my final tuition bill for college (disheartening to have them send me to collections 2 months after graduation on top of the loans i owe them now)

About a year ago i decided to begin fixing the mistakes of a college student. At the time my credit scores were around 500-530 on all three CRA. I applied for a Capital One Secured Card that was suggested to me on CK. I was approved for a $300 CL on a $49 deposit. This account will be 1 year old around the end of the 2015 year. In May I applied for the Capital One QS1 and was approved with a CL of $500, after three months I tried a manual request for a CLI via the website and was approved for a boost of $1000. The total CL now being $1,500. I will be completing my 5th statement this month. I wonder if I am eligito ble get a credit steps increase? 

This past September I purchased a FICO 3B report and my FICO8 scores were: EQ: 588 TU: 562 EX: 561

I used this report to identify who I need to contact in order to address the negative accounts. Since then I have settled the ATT and Verizon accounts to a balance of 0 dollars. I set up a payment plan with the collection agency for my final tuition bill. It will take a couple several years to bring that balance down to zero. The BOA and AMAZON cards are sitting on my CR like scare crows to any prospective lender. They carry lots of 30/60/90 day late payment notations that are dragging my credit score down. I have considered waiting 7 years out until they fall off my report.

All of this brings me here today. I have tried to get a third CC to work up and build my credit with but sadly have been rejected..even by the simpler ones like Capital One Platinum. A new CC being out of the picture, today i decided to sign up for MyFICO 3B Ultimate for a year in order to have the most up to date information while i come up with a plan to get my finances in order. My FICO8 scores were: EQ: 608 TU: 600 and EX: 625

I have a question:

Should I be concerned with my BOA and AMAZON credit cards being listed as OPEN accounts? They are reporting late payments every month, and include that they are collection accounts within the remarks section. Is it OK for a collection account to be reported this way? I just want to make sure that these accounts can fall off my report thin the next few years. the BOA is from 2010 and AMAZON is from 2012. 

Any thoughts?

[Anonymous]

To answer a few questions:

Yes you should still get your credit steps increase. 

Yes you should be concerned with those accounts. If they are the OCs reporting then their balances will be included with your current revolving UTI% computation for scoring. Consider settling with them if thats the case.

Consider applying for another Capital One card. I would suggest the Platinum card with no annual fee. After the second statement, call customer service and ask if it can be upgraded to reward card status.

[stellar]

"The BOA and AMAZON cards are sitting on my CR like scare crows to any prospective lender."

LOL!  Great analogy!

I would try to do a PFD on those 2 cards.

[Anonymous]

First: Thank you for clarifying the question regarding credit steps. I will definitely look into the platinum card. Should do this right away or wait a few months? 

Not sure if this matters but the average age of my accounts is below 3 years.

Second: You are correct. The balance on the amazon account is hurting my UTI%. 

After posting the OP, I tried getting in contact with BOA to settle the account but was soon transferred to a lady who claimed to work for FIA card services. She asked for my name address SS and other information to look up my account. Upon finding it she said she couldn't help me with it due to the fact that it was a charge off account, and then said she would transfer me back to BOA but nobody ever picked up the call. At this point i am holding out hope that i didn't give the wrong person my information. 

I would like to seek a settlement, but i am not sure if i will have any success for the following reasons/concerns:

1. After trying to make the first move on BOA, I am more concerned about who i gave my information to + have no idea who is handling the account.

2. If I reach out to either of these companies successfully and a settlement cannot be reached, does that reset the 7 year timeline for the accounts to drop off my CR? 

I would be glad to pay the accounts in full if i can salvage any of my credit. These accounts carry many 30/60/90 late notes on my credit.

[Anonymous]

I am going to try this...just got to find the right people to contact first! I hope it works. 

[Anonymous]

---

@Anonymous wrote:

First: Thank you for clarifying the question regarding credit steps. I will definitely look into the platinum card. Should do this right away or wait a few months? 

Not sure if this matters but the average age of my accounts is below 3 years. Sooner the better.

Second: You are correct. The balance on the amazon account is hurting my UTI%. 

After posting the OP, I tried getting in contact with BOA to settle the account but was soon transferred to a lady who claimed to work for FIA card services. She asked for my name address SS and other information to look up my account. Upon finding it she said she couldn't help me with it due to the fact that it was a charge off account, and then said she would transfer me back to BOA but nobody ever picked up the call. At this point i am holding out hope that i didn't give the wrong person my information. 

I would like to seek a settlement, but i am not sure if i will have any success for the following reasons/concerns:

1. After trying to make the first move on BOA, I am more concerned about who i gave my information to + have no idea who is handling the account.

2. If I reach out to either of these companies successfully and a settlement cannot be reached, does that reset the 7 year timeline for the accounts to drop off my CR? Nothing resets the reporting clock.

I would be glad to pay the accounts in full if i can salvage any of my credit. These accounts carry many 30/60/90 late notes on my credit.

---

[Anonymous]

Update: 

Over last Friday I decided to give each creditor/collection company a call in order to get an understanding of what it would take to settle all of my accounts. 

AMAZON: I spoke with representatives for Synchrony and the collection company leading to a settlement of the account. I tried to get written paperwork indicating PFD, after

no progress I decided to go forward and pay it. 

BOA: A rep informed me there was no way they would remove any negative remarks from my account, but that i should settle it so that they stop submitting the negative monthly charge off/collection status. I called the collection company and settled this account also. 

Waiting on Credit Karma to reflect these changes! The only account that will have a balance on my CR will be the tuition bill, which i have a by weekly payment arranged. 

I am very happy to not have to worry about these accounts anymore!

[Anonymous]

---

@Anonymous wrote:

Update: 

Over last Friday I decided to give each creditor/collection company a call in order to get an understanding of what it would take to settle all of my accounts. 

AMAZON: I spoke with representatives for Synchrony and the collection company leading to a settlement of the account. I tried to get written paperwork indicating PFD, after

no progress I decided to go forward and pay it. 

BOA: A rep informed me there was no way they would remove any negative remarks from my account, but that i should settle it so that they stop submitting the negative monthly charge off/collection status. I called the collection company and settled this account also. 

Waiting on Credit Karma to reflect these changes! The only account that will have a balance on my CR will be the tuition bill, which i have a by weekly payment arranged. 

I am very happy to not have to worry about these accounts anymore!

---

---

@Anonymous wrote:

Update: 

Over last Friday I decided to give each creditor/collection company a call in order to get an understanding of what it would take to settle all of my accounts. 

AMAZON: I spoke with representatives for Synchrony and the collection company leading to a settlement of the account. I tried to get written paperwork indicating PFD, after

no progress I decided to go forward and pay it. 

BOA: A rep informed me there was no way they would remove any negative remarks from my account, but that i should settle it so that they stop submitting the negative monthly charge off/collection status. I called the collection company and settled this account also. 

Waiting on Credit Karma to reflect these changes! The only account that will have a balance on my CR will be the tuition bill, which i have a by weekly payment arranged. 

I am very happy to not have to worry about these accounts anymore!

---

Congrats on your progress.  If  you don't have any luck getting the 3rd card with Cap 1, if you don't have anything listed on Chexsystems you could qualify for a secured card with SDFCU with a $250 deposit.  For $500 you could get a secured loan if you don't have a current installment loan on your profile.  Sometimes Cap 1 won't give you a 3rd rebuider card (Secured, Platinum, QS1).  Also SDFCU doesn'tHP your credit since they use Chexsystems for secured products.  It's easy to join; you have to join an organization they are affiliated with and they provide you with a list.  I think I spent $10 to join.  I had planned to get the secured card, but I qualified for 2 unsecured bank cards, so I didn't go after the secured card, but I do some banking with them.  Hoping to establish a longterm relationship with them.  Good luck.

[Anonymous]

Last Update!

After many Apps and improvements to my credit profile, my crawl to good credit is headed into a LONG gardening period. For anyone who is struggling and short of hope, i say dont give up! Make a plan and stick to it!

Bad Debt

All of my debts have been paid and reported. 

Credit Cards

Capital One

Started with a secured card which is now closed.

Approvals for 3 Quick SilverOne cards and 1 Platinum card.

I have since consolidated and product changed all of the cards into just two new cards:

Quicksilver World Mastercard with a 5,000 CL

VentureOne World Mastercard with a 8,500 CL

Although i will continue my relationship with Capital One, i am done apping for new cards. The inability to reduce APRs after improved scores really stinks. 

I have also been EXTREMELY LUCKY to get in on AMEX

6/2016 approved for AMEX ED card with a CL of 1,000 - Increased to 3,000k at the 63 day

8/2016 approved for AMEX BCE card with a CL of 5,000

10/2016 approved for AMEX Gold Delta Skymiles card with a CL of 1,000

September 2015 my fico8 scores were: EQ: 588 TU:562 EX:561 

October 2016 my fico8 scores are: EQ: 653 TU:635 EX:669

I am lucky and extremely pleased with my current standing. I encourage everyone struggling to read these forums and take notes, the people here are genius!

Once again, thank you all!

[Anonymous]

---

@Anonymous wrote:

Last Update!

After many Apps and improvements to my credit profile, my crawl to good credit is headed into a LONG gardening period. For anyone who is struggling and short of hope, i say dont give up! Make a plan and stick to it!

Bad Debt

All of my debts have been paid and reported. 

Credit Cards

Capital One

Started with a secured card which is now closed.

Approvals for 3 Quick SilverOne cards and 1 Platinum card.

I have since consolidated and product changed all of the cards into just two new cards:

Quicksilver World Mastercard with a 5,000 CL

VentureOne World Mastercard with a 8,500 CL

Although i will continue my relationship with Capital One, i am done apping for new cards. The inability to reduce APRs after improved scores really stinks. 

I have also been EXTREMELY LUCKY to get in on AMEX

6/2016 approved for AMEX ED card with a CL of 1,000 - Increased to 3,000k at the 63 day

8/2016 approved for AMEX BCE card with a CL of 5,000

10/2016 approved for AMEX Gold Delta Skymiles card with a CL of 1,000

September 2015 my fico8 scores were: EQ: 588 TU:562 EX:561 

October 2016 my fico8 scores are: EQ: 653 TU:635 EX:669

I am lucky and extremely pleased with my current standing. I encourage everyone struggling to read these forums and take notes, the people here are genius!

Once again, thank you all!

---

Great job love to hear success stories like this.