topic Re: I need some suggestions Please Help in Credit Cards

I need some suggestions Please Help

mzsweet — Tue, 23 Oct 2007 03:50:27 GMT

My main goal is to improve my credit score, get a new car, and one day a house. Right now I want to focus on the first two. I haven't had any open revolving accounts/credit for sometime now. I just opened up a few accounts to get me started. My credit report has 9-10 collections, all stupid phone/electrical from past apartments. I didn't give forwarded addresses therefore noone could reach me b4 collections hit my report. I think I would rather do a PFD process with all to get it over with if possible. I currently bank with BOFA and joined a Credit Union today.

These are my new cards

Orchard (secured) $200 4months old

Midsouth CU (secured) $400 opened today

Crown Jewelers $1500 <month not reporting yet

Macys $100 <month

First Premier $250 <month

Denials

New york & company, dell, credit one, hooters,chevron

Credit Score FICO 10/4/07 EQ-579 EX-596 TU-592

Indentity guard 10/22/07 EQ-577 EX-584 TU-593

1 charge off $2636 loan with old CU, paid car loan $16k, 120 days late with same CU, 3-4 paid loans

1 student loan in repayment large balance

EQ & EX has 9 Collections TU 10

Majority denials for Collections, revolving credit limit not high enough, etc. I'm not sure which way to go first. Pay off collections 1 by1, try for a loan to pay then all off($4000), or establish payment history with new CU and try for car loan while keeping other accounts current with low balance. My Collections and student loan clearly take over my debt ratio. Should I try something with BOFA since I've been there 3yrs. Someone offered my auto financing last year, but the car wasn't too much better than current vehicle.Scores worse then...denied HSBC, Captial One then.

Re: I need some suggestions Please Help

Anonymous — Tue, 23 Oct 2007 04:06:05 GMT

Details on the CA's?

Re: I need some suggestions Please Help

mzsweet — Tue, 23 Oct 2007 04:26:35 GMT

1 apartment lease break

1 gateway (due to fall of 03/2008)

2-3 phone bill

cable

utility

insurance

ranges $79- $3000

I moved a few 3 times within a 2yr span. Someone said I could ask for payment history to see where final bill and collections were sent. Some of this could have been prevented on my part..well all. Looking at $79 and $120 bills on credit report is awful.

Re: I need some suggestions Please Help

Anonymous — Tue, 23 Oct 2007 12:40:55 GMT

I would suggest to forget about the new car for now, and focus on paying your collections first. You will not get an affordable loan before you do. Throw everything that you have at it, and be done. Then come the GW letters.

Re: I need some suggestions Please Help

Ausfarm — Tue, 23 Oct 2007 21:16:23 GMT

PFD sounds like the way to go. There are really good discussions on the forums about writing PFD letters. Just start searching for and reading them for tips/ideas. I would probably start w/ the small, manageable debts to offer and remove first.

It probably sucks to hear, but you should probably wait on the car (that is, if you can afford to wait). Get some of the negative stuff removed and let those new accounts accrue some history. Then apply. It'll be more money in your wallet in the long run.

Re: I need some suggestions Please Help

Anonymous — Tue, 23 Oct 2007 21:40:49 GMT

I agree. Become VERY knowledgeable with the PFD's, then start banging them out.

Do not apply for any new credit in the interim. Keep the utilization down below 10%.

Good luck.

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