topic Re: When to start applying for new credit? in Rebuilding Your Credit

When to start applying for new credit?

Anonymous — Wed, 26 Feb 2020 22:50:13 GMT

hello I have stayed in the rebuild part of this forum and haven't really ventured out because I've learned so much on here that there's no reason to get more credit until you have settled what you have and I have I have one collection left that's due to fall off sometime in a couple weeks but my question to you is when do I start to try to better my situation I was a 495 FICO Experian on Jan 14th now I'm a 597 FICO as of today on Experian. I started my rebuild Jan I haven't checked the other ones till the end of the month but should I start applying for new credit cards as soon as that last collection falls off? Plus all charge-offs have been paid showing zero except one charge off I'm a car repo but I'm working on that

Re: When to start applying for new credit?

Anonymous — Wed, 26 Feb 2020 23:00:02 GMT

@Anonymous wrote:
... I was a 495 FICO Experian on Jan 14th now I'm a 597 FICO as of today on Experian ... should I start applying for new credit cards as soon as that last collection falls off?

It might be too soon. You'll need your 3 Fico scores so, when the time is right, you can be surgical about your applications -- different lenders use different CRAs. You want to minimize your HP misses because HPs will further suppress your scores. It's like you have a pistol with just a couple of bullets and indeterminate number of bad guys in the house -- you definitely want to hit what you shoot at.

Good job on your progress to date. You're on the way.

When ready, you can get your 3-bureau report here for $1 -- be sure to cancel before the trial is up. Best wishes.

Re: When to start applying for new credit?

Anonymous — Wed, 26 Feb 2020 23:03:53 GMT

Best response ever.. Thank you. My scores are up date in 12 days but I do use Experian and just buy One credit card for $100 will raise my score another 20 points my thing is I've read so much and on here that I really want to Garden without applying for credit cards I have no hard pools but that doesn't mean I necessarily want to get a secured card because I read that if I can get an unsecured it would be better what do you think?

Re: When to start applying for new credit?

Anonymous — Wed, 26 Feb 2020 23:12:51 GMT

To bad Vantage score is not a lender score its amazing the difference im like 526 on transunion last time I checked but I woke up to a 678 on credit Karma I tell you if it wasn't for this forum I would have never understood the differences between Vantage score and FICO the old me would be like I'm a 670 thinking I was cool but in reality I'd be walking around like a fool. Seriously if it wasn't for this form I wouldn't have any of the knowledge that I possessed today in one month. From focusing all my energy in time in bettering myself and learning and applying it to my credit I have to thank everyone on the forum for that

Re: When to start applying for new credit?

Anonymous — Wed, 26 Feb 2020 23:25:18 GMT

@Anonymous wrote:
Best response ever.. Thank you. My scores are up date in 12 days but I do use Experian and just buy read that if I can get an unsecured it would be better what do you think?

You're welcome.

I did not understand the first bolded section -- maybe you could clarify? (if you are using a score simulator it is likely to be entirely unreliable)

Unsecured is "better" than secured in the sense that: usually you'll get significantly higher limits; you're using their money, not your's, which is the idea of lending. That said, the scoring algorithm won't make the distinction. Both will show as an open revolving account.

Many a member has gotten started with secured cards to start the relationship. Discover is a good one. If you have a military background or family member, NFCU is the absolute best. Here's an approval thread from a friend of mine who had poor credit.

You are wise to take your time.

Re: When to start applying for new credit?

FireMedic1 — Wed, 26 Feb 2020 23:33:09 GMT

When does the collection fall off? Was it paid or settled? The CO will still ding you. but at least the monthly updates will stop. You'll get more of a bump from the CA falling off than PIF the CO. What do you have presently outside of the baddies. Need a foundation to go by to help ya out.

Re: When to start applying for new credit?

Anonymous — Thu, 27 Feb 2020 02:40:35 GMT

3 auto loans never late except the repo chargeoff. I paid my motorcycle chargeoff yesterday the last collection from sprint will be off on all three beaures sometime this next month. I will have only 1 collection on Trans due to the chargeoff. 2 paid CO first premier and chase my ex and eq will have no collections 3 paid co and one open. Trans will have 1 open co and 1collection to go with said co

Re: When to start applying for new credit?

Ficoproblems247 — Thu, 27 Feb 2020 02:45:27 GMT

@Anonymous wrote:
It might be too soon. You'll need your 3 Fico scores so, when the time is right, you can be surgical about your applications -- different lenders use different CRAs. You want to minimize your HP misses because HPs will further suppress your scores. It's like you have a pistol with just a couple of bullets and indeterminate number of bad guys in the house -- you definitely want to hit what you shoot at.

Dannnnnnnnng! I just gotta throw it out there that that was one AWESOME anology!

Also, OP, the folks that hang around the rebuilding threads will always give you super helpful advice. Good luck getting the best cards for you when the time is just right!