02-02-2013 09:19 PM
Hi! I'm new and still learning a lot about reports and scores.
i currently have USAA credit monitoring that gives all three scores but I just learned that they are considered "Fakos". What should I be using if I want my real scores and reports? This sites Fico Score Watch? I'm paying 12 something with USAA and don't mind 14 something a month until I'm satisfied with my score. Or any alternatives? USAA says I'm EX 673, EQ 620 and TU 609. Not great...even for Fakos, right?
i pretty much just want to start from step one to get my scores up and keep them up. I just don't know where to start, really. I have 3 debts left. Truck loan for $13K, CC with 14 mos no interest for $2780 and another CC for $1545. My plan is to pay off the CC's and then to decide to pay off truck loan now or later. (Truck is 4.79 at 72 mos and we've only paid for one year.) I have the money to pay everything off at once but will take my savings from over $21K+ down to 5K+. Heart break right there. But can replenish at a decent rate, thankfully.
I have another car purchase somewhere in the near future (now until May) because I'm pregnant with #2 and want to get a bigger vehicle. So I want to try to up my score for a good rate at 30K loan.
Whats your advice?
02-03-2013 03:46 AM
It depends on your comfort level (of savings/emergency money) that is. I would pay at least on cc off, the one with the highest interest rate first, then work on the second cc., and finally your truck. Are you renting? You did not mention your living style.
02-03-2013 09:48 AM
02-04-2013 11:38 PM - edited 02-04-2013 11:42 PM
Thanks for your reply!
I already went ahead and just paid off both credit cards. I have 5 credit cards and every one has a 0 balance now. But now I'm concerned because I read that isnt ideal? Maybe use one card and keep it under 9% or something?
Yes, that would maximize your score.
My husband is in the military so we are in base housing. As for the truck, I don't mind paying it off. Especially if it helps me get a higher loan (around 30K) with an interest rate below 5%.
It's seeing the savings go so far down that saddens me lol. Almost $6K in savings isn't bad though. Just not $21K. Like I said, we can replenish it.
I was approved through USAA for 25K at 4.59% 72 months with my credit score now. They would not budge to 30K because of my "high balances". I knew that it was my credit cards and thought maybe the truck loan too.
So now that my cards are paid off, how soon can I see a bump in score? My pre approval ends on 2/7 and I didn't know at the time that asking for more than one auto loan approval lowered my score :/ would it be best to wait until may to try again?
Your bump in score won't come until the CCC's report the new balance to the CRA's. You might ask USAA if they will re-evaluate your pre-approval without another hard pull of your credit once the new balances post. But if your inquiries are within 45 days of each other they would count as one and not affect your score any further. If this is the case, once the new balances show in your credit report (usually a couple of days after your new statements post) I would ask USAA to give you a new pre-approval for the $30k.
Thanks! Oh and is score watch worth it? Should I cancel usaa credit monitoring?
I have found SW worth the money. It gives me an up-to-date FICO score and notifies me if something goes wrong in my credit file. I also use BofA's credit monitoring service because it monitors all three CRA's. Their scores may be fako's, but I'll know if an account was opened without my permission. Both can be useful. SW gives you the actual FICO score but only monitors Equifax. So if SW is all you have and someone opens an account that doesn't report to it, you might miss it. Also using the BofA service gives me a little more peace of mind that I won't get back-door'd. If your USAA notifies you about changes on all three CRA's I'd probably keep it and get SW as well.