topic Credit Card Help please in Credit Cards

Credit Card Help please

Anonymous — Mon, 08 Feb 2016 07:33:27 GMT

Hi Everyone,

I am new to the forum. I have had one secured card, with 2k collateral, for a little over 3 years with my bank, credit limit 2k. I have never been late paying this card. I don't know which version score to look at but the Fico 8 shows Eq: 681 TU: 643 Ex: 647. The bank pulled Equilfax and the email stated my credit score did not meet the minimum requirements. I asked what was my credit score and if they could release my collateral and issue me that limit instead of the original 10k i was asking for because my income is 9500 a month. They replied as follows:

Thank you for your email. Unfortunately, we do not have access to your credit score, however, a decline letter has been mailed to your address on file with more information. To increase the collateral hold on your account, you will need to visit your local First Hawaiian Bank branch for further assistance.

It was signed BankCard Center and gave a number. Do i just place more money in the collateral holding and wait 6months and apply for maybe a chase. My goal is to increase my overall credit limit. I would like travel rewards. If my own bank can't approve me for a credit card then how will i go to the bigger and scarier companies.

CREDIT HISTORY 9 Years 9 Years 9 Years TOTAL ACCOUNTS 17 15 15 CURRENT ACCOUNTS 16 14 15 PAST DUE ACCOUNTS 1 1 0 REVOLVING ACCOUNTS 3 3 1 INSTALLMENT ACCOUNTS 14 12 14 MORTGAGE ACCOUNTS 0 0 0 OTHER ACCOUNTS 0 0 0 COLLECTIONS 0 1 1 PUBLIC RECORDS 0 0 0 NEGATIVE INDICATORS 4 2 3 AUTHORIZED USER ACCOUNTS 1 1 0 FRAUD FLAG No No No

inquiries 2 1 1 (Feb 1, CLI and a loan for a car was the first one, which i did not end up buying because the dealer tried to rip me off..back in October)

Those revolving accounts is from chase but i was a authroized user which is listed as negative and installment accounts are school loans. One collection school accounts from 2007 whcih i paid in 2011 off.

Please guide me on what to do to gain access to raising my credit limit, to gain access to travel cards. Step by step, do this, do that, apply for this. to get to where many of you already are. I apologize in advance if i broke any rules.

Edit* I also have a utilization question. What if I max the card and pay it off by reporting date. When bank reports 0% utilization. Is that good? Or should i leave 10-30% for the fico people see I am using it? basically the question is paid off card in full or leave some balance on it. Which is a higher score?

Re: Credit Card Help please

Anonymous — Mon, 08 Feb 2016 08:13:03 GMT

You could give Capital One a try. Platinum and Quicksilver One are both good starter/builder cards and are easy to obtain. I started with both and they built a really solid credit foundation. Idk about chase, you might want to hold out on that until your scores get closer to 700.

Re: Credit Card Help please

Anonymous — Mon, 08 Feb 2016 14:56:13 GMT

Thanks so much Jedi Knight

I applied for capital one quicksilver one card and was approved instantly for 3k CL. I got ambitious and tried to apply for Venture card and was declined. Please continue to guide me on what next to apply for and pointers on how to raise this credit limit. Do i call instantly and ask for a limit raise? Do i wait 6months? Please advise and advise on the next card. I did not apply for the Platnum card. Should i do that?

Edit* I don't believe it till i receive the card.

Re: Credit Card Help please

takeshi74 — Mon, 08 Feb 2016 14:43:47 GMT

@Anonymous wrote:
I have never been late paying this card. I don't know which version score to look at but the Fico 8 shows Eq: 681 TU: 643 Ex: 647.

The scoring model that is relevant is whichever one the creditor/product uses. FICO 8 is the most commonly used model but not all creditors/products use FICO 8.

It is not just the account itself with a given creditor that matters. Your entire credit profile always matters.

@Anonymous wrote:

If my own bank can't approve me for a credit card then how will i go to the bigger and scarier companies.

You need to identify the deficiencies with your credit profile and address them for any creditor including your own bank.

@Anonymous wrote:
PAST DUE ACCOUNTS 1 1 0

@Anonymous wrote:
COLLECTIONS 0 1 1 PUBLIC RECORDS 0 0 0 NEGATIVE INDICATORS 4 2 3

Work on addressing these. Hit the Rebuilding subfourm and carefully research. You want to aim for 0 derogs on your reports. Going forward you need to do whatever it takes to avoid derogs. Make sure you're budgeting and sticking to it. Make sure every payment is one time. Given the impact of Payment History it must be 100%.

@Anonymous wrote:
Those revolving accounts is from chase but i was a authroized user which is listed as negative

Being an AU isn't necessarily beneficial. Negative Payment History, high Revolving Utilization and new accounts generally do not help. If you were an AU on an account and it is not helping then get yourself removed. If the tradeline is not removed from your reports after you are removed as an AU then dispute the TL as not yours/not responsible.

@Anonymous wrote:
One collection school accounts from 2007 whcih i paid in 2011 off.

A paid collection generally doesn't help much. Request goodwill removal. Again, you want to aim for removal of derogs as they tend to have a significant impact and hold one's scores down as long as they are on reports. You also want to avoid them for those reasons.

@Anonymous wrote:
Please guide me on what to do to gain access to raising my credit limit, to gain access to travel cards. Step by step, do this, do that, apply for this. to get to where many of you already are.

Limits are determined based on what your credit profile and income qualify for. Improve your profile and you'll see better limits.

It's up to you to educate yourself. We cannot outline step by step. Learn how credit is assessed as you need to be able to assess your own reports to determine your progress. That knowledge will give you what you need to know as far as what problems you have in your reports. How to address each specific issue is going to take some legwork on your own as situations can and do differ and there isn't a one-size-fits-all approach that works for each problem.

Don't overlook other threads, the stickies and the Rebuilding subforum as resources as well.

Re: Credit Card Help please

Anonymous — Mon, 08 Feb 2016 14:52:16 GMT

Thanks for the advice. Yes I have been reading but you guys have way more experience. I can read all day and without actual experience such as you guys have, I might fail.

I really appreciate all of your help.

Which Credit Card Next & When

Anonymous — Mon, 08 Feb 2016 16:36:24 GMT

Hi guys,

I am trying to gain credit and I do not know where to post this. I made a post in credit cards but maybe here will be a much better place. I just got my second credit card after a little over 3 years because of the advice here. It was a Capital One Quicksilver One instant approval 3k CL.. I tried for the Venture and Platnum but was instantly denied. maybe because it was right after eachother?

So it says i have to pay the card for 5 months (once I get it) to get a credit limit increase. Sounds great to me. Can you experience credit people help me with questions like, when should I apply for my next card? Which Card? For the Venture and Platnum I got denied for, how does that effect me.Which scores am I looking at when I look at my Fico score.

Re: Which Credit Card Next & When

Anonymous — Mon, 08 Feb 2016 18:07:24 GMT

Wait until you get the denial notice for the Platinum and let us know what it says.

Re: Credit Card Help please

Anonymous — Mon, 08 Feb 2016 19:10:22 GMT

GZ on the approval! The above stated has some good insight because everyone's credit profile is different so the outcomes will always be varied. At this point you have a couple options, take just the QS1 and/or apply for the platinum and call it a day. A CLI is unlikely upon activation. Around 3 months you can start requesting increases.

Be responsible with your credit and try to pay in full. Set reminders/alerts to make sure you never miss a payment . Keep low utilization and know when your statement cuts.

Re: Which Credit Card Next & When

Anonymous — Mon, 08 Feb 2016 21:44:35 GMT

id ask for a recon...

Re: Which Credit Card Next & When

Loques — Tue, 09 Feb 2016 01:09:51 GMT

To second what NormanFH said, wait and see what the denial letter states. Cap1 will tell you the exact reason why you were denied. Then you can work on those factors and apply for the cards that you want later on.

Re: Which Credit Card Next & When

Anonymous — Tue, 09 Feb 2016 01:56:22 GMT

Alright. How do I pay the credit card? I tend to max it but always pay off before reporting date. They report zero utilization each month. Is that good or should I leave a balance of 10 dollars or something?

Re: Which Credit Card Next & When

Anonymous — Tue, 09 Feb 2016 01:58:40 GMT

Someone said to leave a balance so it shows you are using the card. Any expert advice for the highest/ best rep score/ card company or are those two different things.

Sorry for double post. I am on my phone

Re: Which Credit Card Next & When

gdale6 — Tue, 09 Feb 2016 03:31:02 GMT

Hi there OP,

I have merged your cross posted item on this in RYC into this thread, please do not cross post in multi forums it can lead to confusion by the members and it isnt inline with our TOS. I thank you for your understanding on this.

gdale6

myFico Moderator

Re: Credit Card Help please

degs138 — Tue, 09 Feb 2016 05:30:27 GMT

@Anonymous wrote:
Hi Everyone,

I am new to the forum. I have had one secured card, with 2k collateral, for a little over 3 years with my bank, credit limit 2k. I have never been late paying this card. I don't know which version score to look at but the Fico 8 shows Eq: 681 TU: 643 Ex: 647. The bank pulled Equilfax and the email stated my credit score did not meet the minimum requirements. I asked what was my credit score and if they could release my collateral and issue me that limit instead of the original 10k i was asking for because my income is 9500 a month. They replied as follows:

Thank you for your email. Unfortunately, we do not have access to your credit score, however, a decline letter has been mailed to your address on file with more information. To increase the collateral hold on your account, you will need to visit your local First Hawaiian Bank branch for further assistance.

It was signed BankCard Center and gave a number. Do i just place more money in the collateral holding and wait 6months and apply for maybe a chase. My goal is to increase my overall credit limit. I would like travel rewards. If my own bank can't approve me for a credit card then how will i go to the bigger and scarier companies.

CREDIT HISTORY 9 Years 9 Years 9 Years TOTAL ACCOUNTS 17 15 15 CURRENT ACCOUNTS 16 14 15 PAST DUE ACCOUNTS 1 1 0 REVOLVING ACCOUNTS 3 3 1 INSTALLMENT ACCOUNTS 14 12 14 MORTGAGE ACCOUNTS 0 0 0 OTHER ACCOUNTS 0 0 0 COLLECTIONS 0 1 1 PUBLIC RECORDS 0 0 0 NEGATIVE INDICATORS 4 2 3 AUTHORIZED USER ACCOUNTS 1 1 0 FRAUD FLAG No No No
inquiries 2 1 1 (Feb 1, CLI and a loan for a car was the first one, which i did not end up buying because the dealer tried to rip me off..back in October)
Those revolving accounts is from chase but i was a authroized user which is listed as negative and installment accounts are school loans. One collection school accounts from 2007 whcih i paid in 2011 off.

Please guide me on what to do to gain access to raising my credit limit, to gain access to travel cards. Step by step, do this, do that, apply for this. to get to where many of you already are. I apologize in advance if i broke any rules.
Edit* I also have a utilization question. What if I max the card and pay it off by reporting date. When bank reports 0% utilization. Is that good? Or should i leave 10-30% for the fico people see I am using it? basically the question is paid off card in full or leave some balance on it. Which is a higher score?

First, don't apply for anymore cards with your scores where they are at. You got in with Cap1 and they will grow with you. This will take some time. The best way to raise your score and CL in the same process is to spend on the card. Before the statement closes pay it down to around 5-8% and let the statment cut to report a balance. PIF and use the card again. Just keep paying it down as you use it so it never reports higher than 5-8%. You can facebook message Cap One and explain that you want a larger limit because you are making multiple monthly payments to stay under your current CL. They may ask you to verify income so be ready to send in a copy of your pay stub.

Second, fix your two collection accounts that are reporting. If you can PIF I would draft up a Pay for Deletion letter and sent it to the Collection department. You can find example letters on this site. Make sure you don't take responsibility for the debt. See what they respond. If you can let us know who the original creditor is and the collection agency is that will help to find advice for you.

You have two past due accounts that you said you paid in full? Good will letters to that creditor could get them to remove the accounts completly from your Credit report. They may even do you a favor and delete the lates and make your account look like it is in good standing. There are example GW letters on this sight.

Please let the community know what the negitive indicators are on your account.

If you're successful with a few of the things I posted you should see a 15-25 point increase. That will get you into the range to possibly get a Chase Freedom card. I would first wait til you get a CLI with capital one.

Re: Credit Card Help please

Anonymous — Tue, 09 Feb 2016 21:05:57 GMT

@degs138 wrote:
First, don't apply for anymore cards with your scores where they are at. You got in with Cap1 and they will grow with you. This will take some time. The best way to raise your score and CL in the same process is to spend on the card. Before the statement closes pay it down to around 5-8% and let the statment cut to report a balance. PIF and use the card again. Just keep paying it down as you use it so it never reports higher than 5-8%. You can facebook message Cap One and explain that you want a larger limit because you are making multiple monthly payments to stay under your current CL. They may ask you to verify income so be ready to send in a copy of your pay stub.

Second, fix your two collection accounts that are reporting. If you can PIF I would draft up a Pay for Deletion letter and sent it to the Collection department. You can find example letters on this site. Make sure you don't take responsibility for the debt. See what they respond. If you can let us know who the original creditor is and the collection agency is that will help to find advice for you.

You have two past due accounts that you said you paid in full? Good will letters to that creditor could get them to remove the accounts completly from your Credit report. They may even do you a favor and delete the lates and make your account look like it is in good standing. There are example GW letters on this sight.

Please let the community know what the negitive indicators are on your account.

If you're successful with a few of the things I posted you should see a 15-25 point increase. That will get you into the range to possibly get a Chase Freedom card. I would first wait til you get a CLI with capital one.

Great advice and thank you for taking the time to analyze my situation.

The collectors are Phoenix financial service (medical bill, paid in 2014) and EDuSRV/Leeward Comm Coll (reported on EQ as AMS serving group, reporting 120 days late and others settlement accepted (reported 2007 paid in 2011)) Also, I was late on my car 30 days 13 times and 60days 1 time it says. That was like over 12 months ago. Ever since I been keeping payments up to date. Child support on TU but i plan on paying that this Month. I don't know if I need to contact CSEA and ask them to take it off my report once I pay. That is the only negatives on my account.

Re: Credit Card Help please

Anonymous — Tue, 09 Feb 2016 20:34:34 GMT

Capital one sent me a reply to why I got denied on the two cards. First, idk if it was the venture or the platnum but it said i already had an app being processed or processed that is the reason for the denial. 1HP on EQ and EX.. Next letter said that my TU credit score was 624 and because a whole lot of negatives. But on Fico scoring it is 643. and all the different scoring methods are higher but the mortgage scoring model does match 624. So why is myFico not telling me my correct score??? Let me know what to do. Still waiting for QS1 to come in since 2/7/16 3kCL. WIll i still get that card??

Re: Credit Card Help please

EAJuggalo — Wed, 10 Feb 2016 00:01:02 GMT

Cap one will let you know when they send the card out. Relax, it's been two days. I just got a QS1 and it took just over a week before I received it. A denial on the Venture wouldn't surprise me at all with your scores and payment history. If it was a Platinum I would call and ask for a recon. If they approved you for a QS1 they should approve you for a Platinum as well. You can start asking for a CLI after the first statement but usually it's two or three before you receive one.

Cap One doesn't use FICO8, they use a proprietary scoring system.

Re: Credit Card Help please

Kevin86475391 — Wed, 10 Feb 2016 02:30:29 GMT

@Anonymous wrote:
Capital one sent me a reply to why I got denied on the two cards. First, idk if it was the venture or the platnum but it said i already had an app being processed or processed that is the reason for the denial. 1HP on EQ and EX.. Next letter said that my TU credit score was 624 and because a whole lot of negatives. But on Fico scoring it is 643. and all the different scoring methods are higher but the mortgage scoring model does match 624. So why is myFico not telling me my correct score??? Let me know what to do. Still waiting for QS1 to come in since 2/7/16 3kCL. WIll i still get that card??

MyFico is telling you your correct Fico 8 scores (I assume), but there are several different Fico models, some aimed at mortgages, bank accounts, etc. So you have multiple Fico TU scores for example (and multiple Fico EX and EQ). Likewise, while Fico is the most common and widely used scoring model other models do exist. The bottom line is that not all lenders use the same scoring model.

Congrats on your approval with the QS1! My personal advice would be to sit tight and take things slow. Let the account age up and in the meantime focus on trying to remove those derog items from your credit report as advised by others above.

Regarding letting card balances report, for optimal utilization scoring you'll want to have all credit accounts report a $0 balance except 1 account with like a 1% balance. However, past utilization doesn't factor into your score, rather utilization is just a 'snapshot in time' type thing. So you really don't need to worry about being so precise unless you're expecting to apply for new accounts that month, and as mentioned, I wouldn't advise you to do that in the near future. Let stuff age up and get those derogs off.

In the meantime just make sure you PIF every month and on time.

Good luck with everything!