topic Re: Store credit cards? in Credit Cards

Store credit cards?

Anonymous — Tue, 09 Feb 2016 16:47:42 GMT

Would getting store credit cards help? I recently read on here that those are considered soft pulls, but wondering if they also work the same as a regular credit card, in the way that it reports for you score? For example, Amazon, Wal-Mart, Hope Depot ect. Would it good to apply for some? I just recently got my first credit card, and was trying to see if applying for more now or later would be best, and got the advice to use the one I got for a few months, and check my score and apply for 1 or 2 more then.

Thanks,

Re: Store credit cards?

Anonymous — Tue, 09 Feb 2016 16:54:26 GMT

Sounds like you got some good advice.

Re: Store credit cards?

SouthJamaica — Tue, 09 Feb 2016 17:32:15 GMT

@Anonymous wrote:
Would getting store credit cards help? I recently read on here that those are considered soft pulls, but wondering if they also work the same as a regular credit card, in the way that it reports for you score? For example, Amazon, Wal-Mart, Hope Depot ect. Would it good to apply for some? I just recently got my first credit card, and was trying to see if applying for more now or later would be best, and got the advice to use the one I got for a few months, and check my score and apply for 1 or 2 more then.

Thanks,

IMHO it's best not get bogged down with store cards, because they have limited use and it's hard to keep them active, and they may not be ranked as high as bank cards.

They are NOT soft pulls.

If they're all you can get then by all means get one or two and use them to build your credit score. In my book it's better to get a bank or credit union card.

Re: Store credit cards?

Mattopotamus — Tue, 09 Feb 2016 19:21:59 GMT

As the user above stated, they are not soft pulls. Unless there is a store you shop at frequently and the store card offers really good perks, I would avoid them. I do have a bestbuy card b.c it falls in the category of good rewards and no interest offers all of the time.

Re: Store credit cards?

Anonymous — Tue, 09 Feb 2016 19:34:57 GMT

Hold off on applying for more store cards and wait until you can get something with better rewards. Just focus on making all of your payments on time. Since this is your first card, I'd probably wait six months until you apply for another.

Re: Store credit cards?

Anonymous — Tue, 09 Feb 2016 19:59:16 GMT

Thank you all. I don't have any store credit cards, and was just was just asking as I'm trying to get my score up, like everyone else The one I have is the Bank of America Secured Cash Rewards CC with 500 credit limit. I will use it for a few months as sugegsted and try for other regular cards.

Re: Store credit cards?

SunriseEarth — Tue, 09 Feb 2016 20:51:31 GMT

@Anonymous wrote:
Would getting store credit cards help? I recently read on here that those are considered soft pulls, but wondering if they also work the same as a regular credit card, in the way that it reports for you score? For example, Amazon, Wal-Mart, Hope Depot ect. Would it good to apply for some? I just recently got my first credit card, and was trying to see if applying for more now or later would be best, and got the advice to use the one I got for a few months, and check my score and apply for 1 or 2 more then.

Thanks,

Only some store cards can open with soft pulls; please search "Shopping Cart Trick" if you want information on those (tons of threads). But cold apps for any card will result in hard pulls.

As for whether to get store cards, it depends on your needs. If you frequent a store or if you find that the benefits would meet your needs, then they're worth considering. What are your current scores? Are there any stores that you frequent?

Re: Store credit cards?

EAJuggalo — Tue, 09 Feb 2016 23:46:16 GMT

Do you have an actual FICO score yet? I can't get approved anywhere for store cards and I've narrowed it down to one of two reasons. Either it's because I don't have a score since I haven't used credit for a decade, or it's because the address on my CR doesn't match my actual address.

If you've got a BofA secured you've had for 6 months I'd check the Capital One Pre-qual and see what it offers you. My guess is the Platinum at least would show up.

Re: Store credit cards?

Anonymous — Wed, 10 Feb 2016 02:20:02 GMT

I'll throw my hat in the ring here and recommend you to not load up on store cards. Too many people in and out of this forum who post about cleaning up their reports because they loaded up on a ton of worthless Comenity or Sync cards during a rebuild with $300 limits each and they never get used. If there is a store you shop at often and think you may use it, get it, but other than that don't bother.

Focus on getting in with some decent banks that you can grow with. Capital One is my personal favorite place to start, my wife built from zero US credit history a few years ago with them and is now getting every offer under the sun thrown at her (Chase, Citi, Discover, etc)

Quantity isn't necessarily the name of the game, but a well-rounded portfolio of good cards that you can grow limits on and use wisely. BOA is a great solid bank to be in the door with. Add on a Capital One, and try Citi or Amex prequals now and maybe a little later on in the game as well. Amex is much easier to qualify for than most people realize.

Best of luck!

Re: Store credit cards?

Anonymous — Wed, 10 Feb 2016 14:59:28 GMT

thank you all!

So doing the prequals wouldn't hurt anything right? And if I do get pre qualify, should I apply or is it not a for sure thing that I would get approved even with the prequals?

Re: Store credit cards?

dragontears — Wed, 10 Feb 2016 15:05:12 GMT

@Anonymous wrote:
thank you all!

So doing the prequals wouldn't hurt anything right? And if I do get pre qualify, should I apply or is it not a for sure thing that I would get approved even with the prequals?

Checking prequals will not hurt your credit (they are soft pulls) and can indicate a good chance of approval (depending on the lender, some lenders don't have good prequal sites). You can still be denied even with a prequal especially if the information on your reports change since the last time that lender did a SP on you.

Re: Store credit cards?

Cr_rocks — Wed, 10 Feb 2016 15:13:04 GMT

@Anonymous wrote:
Would getting store credit cards help? I recently read on here that those are considered soft pulls, but wondering if they also work the same as a regular credit card, in the way that it reports for you score? For example, Amazon, Wal-Mart, Hope Depot ect. Would it good to apply for some? I just recently got my first credit card, and was trying to see if applying for more now or later would be best, and got the advice to use the one I got for a few months, and check my score and apply for 1 or 2 more then.

Thanks,

Yes, you should wait for a few months (maybe 6), check your score and then apply elsewhere (preferably a financial institution). I'm not a huge fan of store cards because, as one person already noted, it is hard to maintain an active account unless it is someplace you shop all the time. Most cards (other than WalMart/Lowes/HomeDepot) will never grow to have large limits and thus it won't take much to reach a high utilization on them.

Re: Store credit cards?

Cr_rocks — Wed, 10 Feb 2016 15:15:44 GMT

Oh and case in point (as mentioned by someone else) Credit Unions are often the best deal if looking to gain higher limits. Starting a relationship with one now will pay off over time. Opened a NFCU card in 2008 with a 1,000 limit and within five years it was 24,500 (about half of which was automatic)

Re: Store credit cards?

Anonymous — Wed, 10 Feb 2016 15:36:53 GMT

Thanks,

Just googled the capital one pre qualify site, and got pre qualified for the platinum mastercard cc, and quicksilver one rewards cc.

Now just wondering what my chances would actually be to getting one XD

Re: Store credit cards?

CreditDunce — Wed, 10 Feb 2016 15:49:21 GMT

@Anonymous wrote:
Thanks,

Just googled the capital one pre qualify site, and got pre qualified for the platinum mastercard cc, and quicksilver one rewards cc.

Now just wondering what my chances would actually be to getting one XD

Capital one pre-qual site is fairly solid.

One other note about store cards, they lower your auto/home insurance risk score. Depending on the state and insurance company you go with, having lots of store cards could cost you.

Re: Store credit cards?

Anonymous — Wed, 10 Feb 2016 15:57:30 GMT

Oh great! Was thinking should just go for it right? I mean once I go for it, it would be a hard pull right, and well I just recently applied for Bank of America cash rewards cc so that has a hard pull aswell right, 1/30/16, denied for regular but got the secured one, so wondering if it would actually be better to do it now that just started, and have the hard pulls show close together or would waiting be better to show them months apart?

Thanks,

Re: Store credit cards?

CreditDunce — Wed, 10 Feb 2016 16:04:33 GMT

Personally, I prefer to bunch them together so they age together. Note, Cap1 will pull from EQ, EX and TU. BoA was probably just an EX pull.

Re: Store credit cards?

Anonymous — Wed, 10 Feb 2016 16:10:17 GMT

Thanks, that;s what I was thinking as well, to have them show close.

Yeah the letter from Bank of America, for the denial, said pulled credit score from Experian, they didn't give the score, said to contact them for it, and also from SageStream LLC, that said my "Credit Opctis Score" that's what they called it in the letter, is 537.

Would the 537 be a good indication of where the Experian, and others, would be around?

Re: Store credit cards?

OmarGB9 — Wed, 10 Feb 2016 17:34:47 GMT

No, that's a different model and uses different algorithms than the standard FICO 8 model.

Re: Store credit cards?

Anonymous — Wed, 10 Feb 2016 18:18:22 GMT

Ok thanks