topic Re: Need Some Advice in Credit Cards

Need Some Advice

Anonymous — Tue, 26 Apr 2011 21:55:18 GMT

So I have a lot of question but I'll start with back story.

Im 23 and got my first CC June 2010 a Bank of America secured card for $500. Maxed it out when I got it and been paying $50 on it each month and maxing it out again. I thought this is how you build credit. Now from reading on here I know better. From what I can tell it didn't hurt my credit. My Experian score is at 695. That is after almost a year of doing nothing. Now I've applied for a number of CCs. Most got declined I was really hoping for a Best buy CC or store card, I buy a lot of electronics. So after most declined this is what I ended up with.

Capital one no hassle rewards card cash back CL $500.00

Newegg preferred account (needed something for electronics and I shop there a lot anyways) CL $2000.00

Chase freedom CL $5000.00

and my old BoA CL $500.00 secured

I don't think that is bad but I don't know much. Now from reading on here I now know to keep no more the %10 util. I payed my BoA card off. And the credit calculator said my score should go up 20 points from that.

Now my goal for getting credit at all was to build up my credit so I could buy a 2012 Camaro in a year. That year is almost up.

Now for some questions.

1. Do I have to wait a year to try and get my BoA CC unsecured, or can I do it now

2. The capital one card increases its CL automatically in steps program(I'm not sure what this is if someone can tell me)

3. With all this will I be able to get a car loan in 3 - 4 months the car is around 25k, I was thinking 5k down. More if need be.

4. Also any advice on building my credit score up more

Thanks to anyone who doesn't mind helping me out.

Re: Need Some Advice

Anonymous — Wed, 27 Apr 2011 03:04:10 GMT

Waiting the 4 months or longer, will help more than anything. A larger down payment will help with the terms and chances of approval.

Re: Need Some Advice

OnWayUpinTexas — Wed, 27 Apr 2011 04:13:36 GMT

@Anonymous wrote:
So I have a lot of question but I'll start with back story.
Im 23 and got my first CC June 2010 a Bank of America secured card for $500. Maxed it out when I got it and been paying $50 on it each month and maxing it out again. I thought this is how you build credit. Now from reading on here I know better. From what I can tell it didn't hurt my credit. My Experian score is at 695. That is after almost a year of doing nothing. Now I've applied for a number of CCs. Most got declined I was really hoping for a Best buy CC or store card, I buy a lot of electronics. So after most declined this is what I ended up with.

Capital one no hassle rewards card cash back CL $500.00
Newegg preferred account (needed something for electronics and I shop there a lot anyways) CL $2000.00
Chase freedom CL $5000.00
and my old BoA CL $500.00 secured

I don't think that is bad but I don't know much. Now from reading on here I now know to keep no more the %10 util. I payed my BoA card off. And the credit calculator said my score should go up 20 points from that.

Now my goal for getting credit at all was to build up my credit so I could buy a 2012 Camaro in a year. That year is almost up.
Now for some questions.
1. Do I have to wait a year to try and get my BoA CC unsecured, or can I do it now
2. The capital one card increases its CL automatically in steps program(I'm not sure what this is if someone can tell me)
3. With all this will I be able to get a car loan in 3 - 4 months the car is around 25k, I was thinking 5k down. More if need be.
4. Also any advice on building my credit score up more

Thanks to anyone who doesn't mind helping me out.

If you want to get that awesome car (test drove a convertible SS myself last weekend) I would ...

1. Check your FICO scores here. Unless you have access to your real FICO Experian score through Pennsylvania State Employees Credit Union or some other means (e.g., a recent mortgage application at a bank), your 695 Experian score is most likely a FAKO and is meaningless. It is not what your auto lender will be looking at for a score, most likely.

2. Stop applying for credit cards. Shopping for a car loan can add multiple inquiries to your credit report at once (if you finance through a dealer (i.e., Ally (GMAC)), which may potentially cause a dip in your score and which is not helped if you're already loaded down with inquiries (and appear too desperate for credit).

3. Check out the Auto Loan board in these forums for possible leads on who is lending money for cars right now for someone fitting your profile (age, credit history, etc.)

4. Check whogavemecredit.com for recent successes with auto loans and determine which lenders were granting loans and see if they're available to you (e.g., in your area)--but take this information with a grain of salt (certainly not a complete predictor of success).

5. Join a local credit union or PSECU--my sense is (and posts on this board will confirm) that it may be easier to get a car loan through a CU than a dealer or bank.

It sounds like you are moving in the right direction to me, though. Good luck, and enjoy that car!