Can secured installment loans (with no credit check) increase your score?

[Anonymous]

I am currently sitting at 743 TU, 743 EX, and 735 EQ.  And, I would like to raise my score above760 to ensure the best possible rate for a home mortgage.

My credit union will allow mw to get a secured loan without a credit inquiry.  So, I am thinking about getting a $2k secured loan for 6 months.

I am thinking that this will raise my score for the following reasons:

1) More available credit

2) NO new inquiry

2) Another perfect tradeline will be shown (and paid off with no problem)

Do you thin that this will help me increase my score?

I currently have student loans $90K, car loan $4K 4months remaining, AMEX, and VISA $8K with 3% utilization.

[Anonymous]

The answer is no it will likely not help your score. Your credit mix is already fine in the installment loan department and a new account will only marginally help your utility while hurting your average age of accounts.

Do you have a store credit card? If not, this would boost your revolving credit mix and slightly help your utility. I am not sure sure it would bring you up 17 points though. 10 might be realistic. You are in a very good range already and 760 should only marginally improve your mortgage rate.

Do you have any lates on your credit report you could attempt to get goodwilled?

[Anonymous]

I have a 30 day late to my old/closed VISA account.  This 30 day late was posted May 2008.  I tried like heck to get VISA to remove the late pay when I paid off this account.  But, they said no.  This was a old card from college that I screwed-up and was closed by the creditor.  This is my only late.

Thanks for your input!

[Anonymous]

Keep writing goodwill letters. If you search on this board you will find some excellent examples. Highlight how you have learned and you have been reading on this website to improve your credit behavior etc. So many people have been rewarded after long GW letter campaigns. Eventually, you just might run into someone with sympathy.

I still think you are in great shape for a mortgage, and you will barely pay more per month than someone with a 760 if all the other factors are in line (income, debt ratio etc.)

[Anonymous]

Thanks debtisgood.  i found the credit union that issued my Visa CC to be very insensitive.  But,  I will try the goodwill letter approach.