topic Re: Credit Score for New Cards in Credit Cards

Credit Score for New Cards

Anonymous — Tue, 12 Mar 2019 14:31:07 GMT

Currently working on paying down/off my current cards. Looking for some advice.

The cards I'd eventually like to have are:

Bank of America Cash Rewards
CapitalOne SavorOne
Capital One Quicksilver Rewards
CapitalOne Venture One Rewards
Credit Union Credit Card – PenFed or NFCU

I am currently 1 year post Ch 7 BK - so I know I may have to wait a bit -

Current scores (myFico)

Ex: 599

Eq: 622

TU: 608

What score should I wait to hit before applying for these cards? I know it takes into account other factors too, but just looking for a ballpark number.

Also, there are 2 or 3 cards I have now that I will end up closing (high interest, annual fee) - would it be better to close PRIOR to obtaining these cards, or after?

Re: Credit Score for New Cards

Anonymous — Tue, 12 Mar 2019 14:35:00 GMT

To get into Cap1 territory, you may have to get a starter card with them (Plat or QS1). @Saeren probably has a good recommendation for that though.

Re: Credit Score for New Cards

Anonymous — Tue, 12 Mar 2019 14:36:54 GMT

You have quite a bit of work to do before I would go for any of those except the NFCU card.

What cards and limits do you currently have?

Capital One has tightened up their criteria lately, best not to go for their majors like the Savor and Venture with less than 700 unless you’re prequalified on their site. Always check for prequals because throwing away three hard pulls would be very painful.

BoA seems to be a tricky one too but I’ll let someone else charm in there.

NFCU has approved lower scores provided the income and rest of the profile supported it.

Re: Credit Score for New Cards

Anonymous — Tue, 12 Mar 2019 14:39:30 GMT

Currently have: currrently working on paying off the Surge cards.

Card Name	Limit	Max Spend	New Limit	Current Balance	APR	New APR	Annual Fee	New Annual Fee	Opened Date
Piercing Pagoda	$350	$105		$0	29.99%	-	n/a	n/a	11/13/2018
Kohls	$300	$90		$186	26.99%	-	n/a	n/a	6/21/2018
Ulta	$250	$75		$76	27.99%	-	n/a	n/a	11/13/2018
J Surge ©	$800	$240		$495	30.99%		$96	n/a	3/29/2018
K Surge ©	$800	$240		$499	30.99%		$96	n/a	3/29/2018
First Premier	$700	$210		$609	36%	-	$45	n/a	10/12/2018
Credit One	$500	$150		$121	26.15%		Not Clear – up to $99?	n/a	3/30/2018
Lend Up	$500	$150		$387	30.24%	-	$59	n/a	Around 1/21/19
Merrick ©	$500	$150		$379	31.95%		None after 1st year	n/a	1/30/2019
Victoria’s Secret	$250	$75		$24.40	27.24%	-	n/a	n/a	1/22/2019

Re: Credit Score for New Cards

Anonymous — Tue, 12 Mar 2019 14:43:38 GMT

Yeah definitely pay off those balances and apply for a Platinum card with Cap1 to get started with them.

NFCU would probably give you an unsecured card once the other cards are paid off provided you have low DTI otherwise.

Re: Credit Score for New Cards

Anonymous — Tue, 12 Mar 2019 14:45:49 GMT

I would definitely get a bunch of those paid off, and potentially close some of them except your oldest possibly (although if they are 0AF, SD them to help uti) maybe see if you can PC any with AFs to zero AF cards to help save a little. With how recent most of them seem to be you have a lot of HPs, you'll have to monitor them as they drop off before apping. Also a lot of major cards don't like to see a lot of newish accounts.

Re: Credit Score for New Cards

Anonymous — Tue, 12 Mar 2019 14:44:40 GMT

Yeah, definitely working on paying these off.

I heard NFCU recently started being non-BK friendly though - at least until like 3 years post?

Re: Credit Score for New Cards

Anonymous — Tue, 12 Mar 2019 14:46:06 GMT

@Anonymous wrote:
Currently have: currrently working on paying off the Surge cards.
Card Name
Limit
Max Spend
New Limit
Current Balance
APR
New APR
Annual Fee
New
Annual Fee
Opened Date
Piercing Pagoda
$350
$105

$0
29.99%
-
n/a
n/a
11/13/2018
Kohls
$300
$90

$186
26.99%
-
n/a
n/a
6/21/2018
Ulta
$250
$75

$76
27.99%
-
n/a
n/a
11/13/2018
J Surge ©
$800
$240

$495
30.99%

$96
n/a
3/29/2018
K Surge ©
$800
$240

$499
30.99%

$96
n/a
3/29/2018
First Premier
$700
$210

$609
36%
-
$45
n/a
10/12/2018
Credit One
$500
$150

$121
26.15%

Not Clear – up to $99?
n/a
3/30/2018
Lend Up
$500
$150

$387
30.24%
-
$59
n/a
Around 1/21/19
Merrick
©
$500
$150

$379
31.95%

None after 1st year
n/a
1/30/2019
Victoria’s Secret
$250
$75

$24.40
27.24%
-
n/a
n/a
1/22/2019

Those interest rates got me in my feels...

You have some work to do. You need to pay all of those down before you try to app to any higher-tier card. I'd even recommend closing the AF cards, especially the predatory lenders. Maybe keep Kohl's and VS...but I'm not sure. To be honest, I've never had to deal with a rebuild so I'm inexperienced with this.

I do see alot of apps in a short amount of time...you may have to wait about a year (mid-2020) to get some inquiries off...maybe even later.

Re: Credit Score for New Cards

Anonymous — Tue, 12 Mar 2019 14:46:08 GMT

Masterlink,

Oh yeah, definitely. I knew it wouldn't happen right away - just trying to prepare myself, keep some valuable tips etc. I've definitely been monitoring those inquiries. About a month ago also disputed a bunch of stuff with the bureaus but that hasn't come back yet. We shall see!

Re: Credit Score for New Cards

Anonymous — Tue, 12 Mar 2019 14:47:08 GMT

StrykingSquirrell,

Thanks for the tips!

Re: Credit Score for New Cards

Anonymous — Tue, 12 Mar 2019 15:00:17 GMT

Get your balances down first, continue to pay all your bills on time, get in with Cap one via an unsecured card such as quicksilver one and establish an excellent relationship with them. Use the card heavily, make multiple payments so your utilization at statement time is under 10%. Do this for a solid 6-12 months and you should see improvement in your scores and will be in much better standing for the savor one or venture.

Edited to say: if you take the advice and get the unsecured cap one card, after... don't apply for anymore credit. Let's the dust settle and your accounts age out.

Re: Credit Score for New Cards

thornback — Tue, 12 Mar 2019 15:12:02 GMT

@Anonymous wrote:
Currently have: currrently working on paying off the Surge cards.
Card Name
Limit
Max Spend
New Limit
Current Balance
APR
New APR
Annual Fee
New
Annual Fee
Opened Date
Piercing Pagoda
$350
$105

$0
29.99%
-
n/a
n/a
11/13/2018
Kohls
$300
$90

$186
26.99%
-
n/a
n/a
6/21/2018
Ulta
$250
$75

$76
27.99%
-
n/a
n/a
11/13/2018
J Surge ©
$800
$240

$495
30.99%

$96
n/a
3/29/2018
K Surge ©
$800
$240

$499
30.99%

$96
n/a
3/29/2018
First Premier
$700
$210

$609
36%
-
$45
n/a
10/12/2018
Credit One
$500
$150

$121
26.15%

Not Clear – up to $99?
n/a
3/30/2018
Lend Up
$500
$150

$387
30.24%
-
$59
n/a
Around 1/21/19
Merrick
©
$500
$150

$379
31.95%

None after 1st year
n/a
1/30/2019
Victoria’s Secret
$250
$75

$24.40
27.24%
-
n/a
n/a
1/22/2019

Are all of these current balances being carried from month to month? With those interest rates, you're going to end up having to pay back so much more than you should. With high interest, you should always try to avoid carrying balances and pay your statement balances in full each month (don't spend what you can't immediately pay off) - it's too easy to find yourself drowning in debt as the interest accrues -- and you have a few with annual fees on top of high interest.

Also, you have a lot of cards with balances, and, if they are all reporting these balances to the bureaus, your being penalized by FICO for that. Additionally, (if my quick math is correct) you are using ~$2776 out of a total credit line of $4950 -- that's 56% aggregate utilization which is very high -- you could stand to gain 50+ FICO points if you get those balances paid down so your total utilization is below 28.9% (more if you pay it down below 8.9%).

You are one year post BK -- in my opinion, you shouldn't app for any more new cards till you are at least 2 years post BK. You also need to let these cards age as they are all quite recent -- wait until your youngest account passes the 1 year mark and your BK is 2+ years old (even better - until some of those inquiries drop off) before you even think about applying for anything else.

In the meantime, seriously work on paying down those balances -- having so many new accounts - with multiple high balances, and a recent BK on file looks ultra risky to lenders -- and you're not helping yourself financially since most of your payments are going towards high interest.

(You only needed 3 cards and an installment loan to begin your rebuild post BK; more ≠ better).

Good luck!

Re: Credit Score for New Cards

Anonymous — Tue, 12 Mar 2019 16:37:53 GMT

To piggyback off of what TMR said, for less than $225 you could have four cards (Ulta, VS, Piercing Pagoda, and Credit One) paid off and reporting zero. Not only will that help your scores but it will also be three fewer bills per month to pay. Then the $186 to Kohl’s after that and a fifth card is at zero. After that, get each card down below a common scoring threshold, then move each below the next, and so on until they’re paid off. For example, pay off the four cards I mentioned, then of the remaining ones, get them all below 47% (so that when interest hits, you’re still below the 48.9% scoring threshold), then all below 27% (for the 28.9% threshold), then pay them off as expeditiously as possible. As stated above, you’ll see a lot of points gained this way and will negate the effects of those scary APRs compounding.

Re: Credit Score for New Cards

Blackswizz750 — Tue, 12 Mar 2019 16:53:09 GMT

Just work on paying off the balances you have as the other posters mentioned. If you knock off the smaller ones, it's less stuff to pay and stay in the garden until at least 2 years post bk discharge. You will have a huge point gain.

The last thing you want is to drown in more debt and prime lenders hit to u with credit seeking and look desperate.
No hurries!

Re: Credit Score for New Cards

Anonymous — Tue, 12 Mar 2019 17:24:25 GMT

Bank of America Cash Rewards - wait until you are at 670+

Capital One - Wait until you have 720+ for any of those. Capital One has some bizarre criteria for card approval. Like, I got denied for the Quicksilver in October 2017 fo reasons like "lack of experience with high balances" and "lack of experience with high credit lines" (referring to 5K limits and above. My US Bank Cash+ limit hit 5K in September 2017, my first high limit.) They also don't have an effective reconsideration line, I think it almost never works.

Credit Unions - probably a little easier, I'd say wait for your Experian to be 620+

Maybe try a Discover secured?