topic Re: Rank the starter cards please in Credit Cards

Rank the starter cards please

starry1 — Fri, 28 Dec 2012 05:49:51 GMT

I know there's a thread somewhere about bk friendly cards, but my question is slightly different. I'd like your ranking of the unsecured starter cards from best to worst. I haven't had a cc in a decade and I filed bk in November and am looking to start rebuilding in about 3-4 weeks. I've already got most of the cleaning of my report done and its time to think about how to build now.

Re: Rank the starter cards please

visorboy1974 — Fri, 28 Dec 2012 06:10:10 GMT

Wait for your discharge first!

I'd say anything with a credit union would be best. There are some that are BK Friendly and will help you rebuild your credit. If you are eligible for NFCU and haven't burned them, join there and don't look back. They're notorious for being very generous to those both with and without a BK on their file. After that, I have heard that DCU is pretty good too.

Bank-wise, simply look for something unsecured and no annual fee or a very small one. I remember I started with Orchard Bank and CapOne (both had account fees on most cards). Barclays is another BK friendly creditor in most cases...and they will issue accounts without annual fees.

What should you stay away from...in my experience, the worst ones were the accounts with the monthly fees and/or account setup fees. Make sure you read the fine print (Terms and Conditions of whatever card you're applying for to make sure there's not a $75 annual fee disguised as a $6.25/month fee or that your available credit will be reduced by $200 due to account setup fees. Notorious for this are First Premier Bank and New Millenium Bank. CreditOne Bank is another one with a high annual fee ($75-$150). Do your research and if you find a card you like, ask some more questions and we'll try to help as best we can.

Edit: As a FYI, Orchard's (HSBC) credit rebuilder portfolio has been sold to CapOne.

Re: Rank the starter cards please

starry1 — Fri, 28 Dec 2012 06:22:28 GMT

I will have access to nfcu shortly. My dad is a Vietnam and Korean war vet and I convinced him to join and bring the whole family in for the great benefits. My plan with them is to start with a savings account for about 9-12 months and then ask for the moon once I have a couple of positive tl's reporting for six months. I was thinking cap 1 and Barclays, but want to know if they really are the best of the worst, so to speak. If I app in 3-4 weeks, my bk will be discharged before they start reporting most likely. I'm due for discharge 2/4/13. I want to do it ASAP because my oldest account will age off in March, and I need a positive reporting other than my new car loan.

Re: Rank the starter cards please

Anonymous — Fri, 28 Dec 2012 06:55:49 GMT

Barclays likes 6 months of TLs reporting, preferably 2 TLs that are CC's.

Re: Rank the starter cards please

loviedovie — Fri, 28 Dec 2012 07:44:13 GMT

Rank by easiest to get approved for?

My vote would be the GE CareCredit card, (but it's a bit different than other cards- you can only use it for medical & veterinary expenses.)

I applied with NO credit card history, ZERO income (full-time grad student), and an old charge-off utility bill. No idea what my score was but probably in the 500s then.

I was instantly aproved for 3k.

I have read they will give this card to anyone with a pulse.

Also I see a lot in the forums here that GE is a great line to start with for building credit because they back a ton of retail cards, so responsible use with one will open the door

to the rest for you. The Care Credit card also has a cool feature of 0% interest from 6 months of the date of each use- permanently, not just for the first year. So I used mine for Lasik eye surgery and made interest free payments, building credit the whole time. Then used it again for my dog's surgery, same thing. Their customer service is excellent.

Re: Rank the starter cards please

loviedovie — Fri, 28 Dec 2012 07:47:19 GMT

Now that I think about it, I'm surprised I haven't read more about the Care Credit card on these forums. It seems like an unsung hero for credit builders/rebuilders.

Re: Rank the starter cards please

Jutz — Fri, 28 Dec 2012 08:09:52 GMT

@loviedovie wrote:
Now that I think about it, I'm surprised I haven't read more about the Care Credit card on these forums. It seems like an unsung hero for credit builders/rebuilders.

Agreed that it is easy to get and has good CL policies, it just has limited use. Walmart is so popular because you can probably find an excuse to buy something from Walmart in a given month, plus you get the free TU score.

Re: Rank the starter cards please

bichonmom — Fri, 28 Dec 2012 11:14:53 GMT

Wouldn't wait on navy. You can always CLI and app for lower % when your cr is in better shape. They might want a secured card though.

gemb is usually pretty easy with ltd history - I started with old navy and Walmart a few months later.

Barclays may be forgiving of BKs, but they're going to want to see some positive history before approving you.

calling local CUs to see if someone will work with you is good, too. Some here have gotten large starting CLs from their local CUs post bk or rebuilding or starting out. But some are conservative, so you need to call around and see what they say.

cap one's sub prime cc is another option, they may not be good at CLIs, but at least they don't gouge their customers like first premier, credit one and other subprime rebuilders out there that take advantage of people in poor credit situations.

Re: Rank the starter cards please

bettercreditguy1 — Fri, 28 Dec 2012 12:07:17 GMT

I know of one credit union that offers a "rebuilder credit card". The name of the firm is "Community America Credit Union". They are based in the midwest United States. Good luck and remember to always pay on time and when possible in full each and every statement.

Re: Rank the starter cards please

starry1 — Fri, 28 Dec 2012 13:48:15 GMT

I'm shocked I haven't read one word about care credit, and I've read all of the bk and rebuilding subforums, that card sounds perfect for me. Thank you all for all the great suggestions. Does being an au still work?

Re: Rank the starter cards please

jsickz32 — Fri, 28 Dec 2012 13:54:28 GMT

I closed my carecredit cc the day after i was approved for it because of all the negative reviews i read about them. They approved me for 5500 when my highest cl at that time was 2000.

Re: Rank the starter cards please

Anonymous — Fri, 28 Dec 2012 15:11:29 GMT

@jsickz32 wrote:
I closed my carecredit cc the day after i was approved for it because of all the negative reviews i read about them. They approved me for 5500 when my highest cl at that time was 2000.

That sounds like a shame -- that was a nice starting CL. Used responsibly, it's a good card. You simply have to be careful to make sure that you PIF before the interest free period for each purchase ends. My DH has one and we've had nothing but good experiences with it. I agree that it's an easy approval; he got it when his scores were still in the 500s.

Re: Rank the starter cards please

jsickz32 — Fri, 28 Dec 2012 15:15:55 GMT

I didnt know about GE back then (early 2011). I couldnt find anything but bad reviews about the card and i didnt know the things i know now about credit.

Re: Rank the starter cards please

Anonymous — Fri, 28 Dec 2012 15:18:22 GMT

@jsickz32 wrote:
I didnt know about GE back then (early 2011). I couldnt find anything but bad reviews about the card and i didnt know the things i know now about credit.

Yeah, I understand that... I shake my head at how much I didn't know when I first came onboard.

Re: Rank the starter cards please

loviedovie — Fri, 28 Dec 2012 15:43:15 GMT

Starry,

Tinuviel makes a good point about the Care Credit that is worth mentioning- if you don't happen to pay off the amount before the 6 month interest-free period is over, the interest they do smack you with is obscene. I think mine is at 27%? So I would not recommend this card for anyone who is in the habit of spending money they don't have and carrying a balance long term. It is truly fantastic for people who want an interest free way to report credit for (medical) expenses they would otherwise be paying cash for.

Also when I applied which was maybe 1.5 years ago, I was told that I had been given the highest available CL. So I don't think they offer 5k limits anymore. Unless the rep who told me that was wrong.

Good luck with it!

Re: Rank the starter cards please

TiggerDat — Sat, 29 Dec 2012 02:42:24 GMT

Merrick seems to pretty friendly about giving people a card shortly after BK. You have to be solicited though unless you go for their secured card. I have had a secured card with them for 6 years. I keep it open since it is the longest card in my file. It is the only card I have with an AF and they never unsecure the card. When it hits the 7 or maybe 8 year mark I am going to ask they make it unsecured or close the account. I like them, but come on I have had the card for 6 years now. I will certainly close it when I get a really good rewards card from a Prime lender!