topic Credit Union Credit Card for Rebuilding? in Rebuilding Your Credit

Credit Union Credit Card for Rebuilding?

Hungry4DataPoints — Thu, 28 Oct 2021 17:17:12 GMT

I'm in the process of rebuilding and most of my derog's are finally starting to age out. A few months back I used the Cap One prequal tool and somehow got approved for a $2k Quicksilver card and this is my only CC currently, and my only other active trade lines are two student loans.

I'd like to open at least 1 additional CC and, given my approval with Cap One at 2k, I'm pretty much dead set against going to any traditional rebuilder/subprime cards like Credit One, Avant, etc., so I'm wondering if there are any Credit Unions out there that anyone can recommend that are known to be flexible to applicants in situations like mine? I've searched through the forums already and mostly can only find info about which CU's are sensitive to DTI/UTI/Inquiries.

Before anyone recommends it - NFCU isn't an option for me, as I burned them about 8 years ago (overdrawn checking account that was charged off).

Currently my credit is like this:
Ex - 654 - 1 open collection and some past due payments on my student loans (4+ years ago)

Eq - 622 - 1 open collection, 1 credit card charge off (2018), and some past due payments on my student loans (4+ years ago)

Tu - 614 - 3 open collections, 1 credit card charge off (2018), and some past due payments on my student loans (4+ years ago)

Utilization is reporting at 28% although I pay my one credit card in full every month (going to try and pay it to zero again right before statement cut to get this down below 8%)

Re: Credit Union Credit Card for Rebuilding?

OmarGB9 — Thu, 28 Oct 2021 19:03:06 GMT

How much did you burn NFCU for? I ask because if you're willing to pay them back, then they will allow you back in.

What about your collections? Who are they with? I ask because some CAs are known to offer a PFD whether settled or paid in full. That would help your scores if you could get them all removed.

As for your question, you could also try Penfed, DCU, or a CU local to you.

Re: Credit Union Credit Card for Rebuilding?

Hungry4DataPoints — Thu, 28 Oct 2021 19:14:31 GMT

NFCU was for about $1200. I just sent them a message through the online banking portal asking if it would be possible to resintate me, so we'll see how that goes.

As far as my collections - 1 is in the process of being PFD now and will be off in a month or two. All of the rest will age off by January, leaving only the chargeoff (Chase) and the late pays on my student loans.

From what I've read, it sounds like PenFed is not friendly to applicants with past credit issues - is that not the case?

Re: Credit Union Credit Card for Rebuilding?

FireMedic1 — Fri, 29 Oct 2021 15:18:48 GMT

@Hungry4DataPoints wrote:
I'm in the process of rebuilding and most of my derog's are finally starting to age out. A few months back I used the Cap One prequal tool and somehow got approved for a $2k Quicksilver card and this is my only CC currently, and my only other active trade lines are two student loans.

I'd like to open at least 1 additional CC and, given my approval with Cap One at 2k, I'm pretty much dead set against going to any traditional rebuilder/subprime cards like Credit One, Avant, etc., so I'm wondering if there are any Credit Unions out there that anyone can recommend that are known to be flexible to applicants in situations like mine? I've searched through the forums already and mostly can only find info about which CU's are sensitive to DTI/UTI/Inquiries.

Before anyone recommends it - NFCU isn't an option for me, as I burned them about 8 years ago (overdrawn checking account that was charged off).

Currently my credit is like this:
Ex - 654 - 1 open collection and some past due payments on my student loans (4+ years ago)
Eq - 622 - 1 open collection, 1 credit card charge off (2018), and some past due payments on my student loans (4+ years ago)
Tu - 614 - 3 open collections, 1 credit card charge off (2018), and some past due payments on my student loans (4+ years ago)
Utilization is reporting at 28% although I pay my one credit card in full every month (going to try and pay it to zero again right before statement cut to get this down below 8%)

You state the collections are going to fall off in January? The best move would be get the CO's settled or PIF for best results and it will give you a better shot at future credit. Two CO's and 5 collections need to be dealt with first. Thats is if you want better cards.

Re: Credit Union Credit Card for Rebuilding?

gdale6 — Fri, 29 Oct 2021 19:14:57 GMT

@Hungry4DataPoints wrote:
NFCU was for about $1200. I just sent them a message through the online banking portal asking if it would be possible to resintate me, so we'll see how that goes.

As far as my collections - 1 is in the process of being PFD now and will be off in a month or two. All of the rest will age off by January, leaving only the chargeoff (Chase) and the late pays on my student loans.

From what I've read, it sounds like PenFed is not friendly to applicants with past credit issues - is that not the case?

PenFed doesnt give people preapproved offers if they sign up for them when they have derogs on their CRs but it doesnt mean you cannot get in with them once you have a track record to show them. I would also check with your local CUs to see if the have a rebuilder card available or even a secured card.... A good secured card can be obtainted from SDFCU (ST Dept FCU).