denied wells fargo secured credit card?
07-16-2012 06:33 PM
I'm new here and thought i'd ask for some advice:
I'm a 20 year old college student and myFico reports my Transunion Score as 704 and Experian at 657. I bought a report from Equifax's website, and it says my scores are in the 620-640 range for all three credit bureaus. I'm not entirely sure which scores are accurate....... also, which ones do lenders look at?
I currently have a Sears Card, 3 store cards and a US Bank Credit Card. Sears i was approved for recently with a 1000 limit, US Bank gave me 400, and the Store Cards vary from 300-500. The Sears card is a mastercard and my main card, the other ones i use very sparingly. I'm usually very good about making payments, and have almost never made a late payment. However, what's hurting me is high credit utilization. I tend to spend a decent amount on a card(besides the sears card), and pay the balance off in full every month. My limits are low, so i exceed the ideal debt utilization percentage, but i have no trouble making the payments. I know NOW that this is not the right way to do things, and to keep the utilization of debt/credit low. I do not have any collections, but i do have student loans, and have already begun paying those off, even though I deferred payment until after i graduate.I owe about 19k to school, and will pay that off as soon as possible after graduation.
For Some time now, I have debated switching my bank from US bank to wells fargo. I opened a checking account at Wells, and tried to open a college card, but was denied, because of "past poor performance with a Wells Fargo Checking Account". This is from when I was 14, and terrible with money. I talked to their collections department, and paid the fee of 35.00 to pay off that old account in full. Collections told me that this account was clear and that I should not have trouble getting approved for a card.
A few days later, I tried to open a Secured card, knowing that my scores were a little low based on the Equifax report, and was denied for that secured card for the same reason of past poor perfomance. I'm wondering if this is a bank issue, or is my credit score playing a part in this denial as well? Depending on which report you look at, MyFico or Equifax's 3 credit bureau, i Could be approved using one set of scores and denied by the other. Which one are the lenders looking at, and is 620-640(if that's what it is) too low for a wells fargo secured Credit card?
My questions are: how can i get my score up and how fast will i see improvement?
My scores have been hovering around this 600-650 mark for the past 2 years now, and I would like to see them increase. I've been responsible with my credit, made my payments, yet I still have a low score thanks to probably my debt utilization and student loans.
Any information/resources provided would be a great help. I'm young and would like to start building good habits and credit now, so that later in life I am secure financially.
Thank you very much