topic Re: Credit Advice in Credit Cards

Credit Advice

RD82 — Wed, 11 May 2011 05:22:54 GMT

Hello Everyone,

I need your credit advice. I am not sure how much detail is relevant but here's my situation:

I imigrated to the USA in 2007 so I started off with one secured bank of America Card while I was a student. Currently, I only have 3 credit cards (Bank of America Platinum CL: $10,000, Discover CL: $5,500 and a Capitalone card CL: $750). I also have a car loan for about $15000 now.

My current FICO credit scores are all 700+ and my yearly income is +$250,000.

I am trying to build a solid credit because in a year or two I am planning on buying a house and an office. My main concern about my credit is that I have a short credit history and very few revolving accounts. I've applied to a couple of credit cards a while ago before I started working and was denied. I have 4 hard credit inquiries on TU & EQ and 2 inquiries on EX.

Apart from making payments on time and keeping my debts low, what should I do? apply for more credit cards and accept more hard inquiries? Just stick to what I have and apply for a CLI? or do nothing at all?

Your input is greatly appreciated.

Re: Credit Advice

Anonymous — Wed, 11 May 2011 12:13:52 GMT

Hi RD,

I am an "immigran" too, and therefore, have a thin credit file as well. I would recommend you nurture your current cards for a year or so (great credit limits, by the way).

If you are looking to buy a house via mortgage, remember that the loan officer will assume that you will max out your credit cards (the credit limits will count as debt when they are calculating your debt-to-income ratios). Also, remember to have all the applications for any credit done 6+ months before applying for mortgage.

All the best to you

Re: Credit Advice

RD82 — Thu, 12 May 2011 01:41:19 GMT

Thank you so much for your reply. However, I am not sure if I understood correclty. What do you exactly mean by "nurture" my credit cards? Do you mean no more cards? Should I try more CLI's or not? Thanks again

Re: Credit Advice

wmarat — Thu, 12 May 2011 02:34:05 GMT

I arrived to the USA in 2006, and today I have too much credit and too many cards, but what is most important morgage @4.5% fixed.

You should not just applY to cards, but look for good/best credit products (low APR/ good rewards/no or low AF).

Research bumpage to get rid of inq's. Stop appling at least one year before you apply to morgage. Research CREDIT UNIONS.

Re: Credit Advice

MarineVietVet — Thu, 12 May 2011 02:46:10 GMT

@wmarat wrote:
@I arrived to the USA in 2006, and today I have too much credit and too many cards, but what is most important morgage @4.5% fixed.
You should not just applY to cards, but look for good/best credit products (low APR/ good rewards/no or low AF).
Research bumpage to get rid of inq's. Stop appling at least one year before you apply to morgage. Research CREDIT UNIONS.

Advocating this approach is a violation of the Forum's Credit Repair Discussion Guidelines which say:

The only credit repair discussions allowed in FICO Forums are ones that exchange information on how to correct or remove real errors from your credit report – not accurate information that you want to get rid of because it may be negatively affecting your credit score.

From a BK years ago to:
EX - 3/11 pulled by lender- 835, EQ - 2/11-816, TU - 2/11-782

"Some people spend an entire lifetime wondering if they've made a difference. The Marines don't have that problem".

Re: Credit Advice

wmarat — Thu, 12 May 2011 03:22:41 GMT

@MarineVietVet wrote:
@wmarat wrote:
@I arrived to the USA in 2006, and today I have too much credit and too many cards, but what is most important morgage @4.5% fixed.
You should not just applY to cards, but look for good/best credit products (low APR/ good rewards/no or low AF).
Research bumpage to get rid of inq's. Stop appling at least one year before you apply to morgage. Research CREDIT UNIONS.
Advocating this approach is a violation of the Forum's Credit Repair Discussion Guidelines which say:

The only credit repair discussions allowed in FICO Forums are ones that exchange information on how to correct or remove real errors from your credit report – not accurate information that you want to get rid of because it may be negatively affecting your credit score.

From a BK years ago to:
EX - 3/11 pulled by lender- 835, EQ - 2/11-816, TU - 2/11-782

"Some people spend an entire lifetime wondering if they've made a difference. The Marines don't have that problem".

I know that my English is not so good, and now I learn that RESEARCH and ADVOCATE are synonyms. Thanks.

Re: Credit Advice

Lel — Thu, 12 May 2011 03:33:48 GMT

@wmarat wrote:
@MarineVietVet wrote:
@wmarat wrote:
@I arrived to the USA in 2006, and today I have too much credit and too many cards, but what is most important morgage @4.5% fixed.
You should not just applY to cards, but look for good/best credit products (low APR/ good rewards/no or low AF).
Research bumpage to get rid of inq's. Stop appling at least one year before you apply to morgage. Research CREDIT UNIONS.
Advocating this approach is a violation of the Forum's Credit Repair Discussion Guidelines which say:

The only credit repair discussions allowed in FICO Forums are ones that exchange information on how to correct or remove real errors from your credit report – not accurate information that you want to get rid of because it may be negatively affecting your credit score.

From a BK years ago to:
EX - 3/11 pulled by lender- 835, EQ - 2/11-816, TU - 2/11-782

"Some people spend an entire lifetime wondering if they've made a difference. The Marines don't have that problem".

I know that my English is not so good, and now I learn that RESEARCH and ADVOCATE are synonyms. Thanks.

This is not a question of synonyms or semantics. You suggested a form of unethical credit repair, and this is not permitted on the FICO Forums.

Re: Credit Advice

Anonymous — Thu, 12 May 2011 05:07:51 GMT

@RD82 wrote:
Hello Everyone,

I need your credit advice. I am not sure how much detail is relevant but here's my situation:

I imigrated to the USA in 2007 so I started off with one secured bank of America Card while I was a student. Currently, I only have 3 credit cards (Bank of America Platinum CL: $10,000, Discover CL: $5,500 and a Capitalone card CL: $750). I also have a car loan for about $15000 now.
My current FICO credit scores are all 700+ and my yearly income is +$250,000.
I am trying to build a solid credit because in a year or two I am planning on buying a house and an office. My main concern about my credit is that I have a short credit history and very few revolving accounts. I've applied to a couple of credit cards a while ago before I started working and was denied. I have 4 hard credit inquiries on TU & EQ and 2 inquiries on EX.
Apart from making payments on time and keeping my debts low, what should I do? apply for more credit cards and accept more hard inquiries? Just stick to what I have and apply for a CLI? or do nothing at all?

Your input is greatly appreciated.

I think stick to what you have is a good plan. Adding more cards is not particularly helpful at this point.

Re: Credit Advice

Anonymous — Thu, 12 May 2011 11:37:30 GMT

@Anonymous wrote:
@RD82 wrote:
Hello Everyone,

I need your credit advice. I am not sure how much detail is relevant but here's my situation:

I imigrated to the USA in 2007 so I started off with one secured bank of America Card while I was a student. Currently, I only have 3 credit cards (Bank of America Platinum CL: $10,000, Discover CL: $5,500 and a Capitalone card CL: $750). I also have a car loan for about $15000 now.
My current FICO credit scores are all 700+ and my yearly income is +$250,000.
I am trying to build a solid credit because in a year or two I am planning on buying a house and an office. My main concern about my credit is that I have a short credit history and very few revolving accounts. I've applied to a couple of credit cards a while ago before I started working and was denied. I have 4 hard credit inquiries on TU & EQ and 2 inquiries on EX.
Apart from making payments on time and keeping my debts low, what should I do? apply for more credit cards and accept more hard inquiries? Just stick to what I have and apply for a CLI? or do nothing at all?

Your input is greatly appreciated.

I think stick to what you have is a good plan. Adding more cards is not particularly helpful at this point.

It's not the quantity of cards/loans, it's the quality of payment history. Welcome to the forums and the good ole USA, RD82!

Re: Credit Advice

RD82 — Thu, 12 May 2011 16:11:03 GMT

Thanks guys!

I did it last night and applied for the Chase freedom card (before I ready your posts and got approved for $6000 CL.

I'm satisfied now. No more credit cards for at least 2 years!

Re: Credit Advice

Anonymous — Thu, 12 May 2011 16:12:58 GMT

@RD82 wrote:
Thanks guys!

I did it last night and applied for the Chase freedom card (before I ready your posts and got approved for $6000 CL.
I'm satisfied now. No more credit cards for at least 2 years!

Major congrats!!!!

Re: Credit Advice

RD82 — Thu, 12 May 2011 16:29:03 GMT

@Anonymous wrote:
@RD82 wrote:
Thanks guys!

I did it last night and applied for the Chase freedom card (before I ready your posts and got approved for $6000 CL.
I'm satisfied now. No more credit cards for at least 2 years!
Major congrats!!!!

Thank you!