Next Steps in the Rebuild

hoosier64 · ‎01-28-2023

I am coming up on 4 months post discharge from Chapter 13.

Current open accounts:

Revolving: Capital One Quicksilver, Mercury, Discover Secured (no annual fees on any of these, practicing AZEO)

Installment: 4 student loans

FICO 8 Scores: 679, 658, 675

FICO 5,4,2 Scores (Mortgage): 685, 707, 704

I'm planning to pay off the student loans in full once the covid pause on payments and interest is over. Next major goal is to purchase a house, but that's probably 3 years out.

1) Is there any difference in rebuild approach to maximize mortgage FICO scores or would I be set with 3 revolving accounts and one open installment loan?

2) Is there a benefit to having an open installment loan for the mortgage FICO scores like there is for the FICO 8?

BK13 Filed: 4/19
BK Discharged: 10/22

Discover It Chrome: $12,200, Capital One Savor: $7,000, Mercury: $4,050

Starting FICO 8 (10/22): 623 / 612 / 613
Current FICO 8: 835 / 838 / 830

TRC_WA · ‎01-29-2023

@hoosier64 wrote:
I am coming up on 4 months post discharge from Chapter 13.

1) Is there any difference in rebuild approach to maximize mortgage FICO scores or would I be set with 3 revolving accounts and one open installment loan?

I would think those accounts would be sufficient.

FICO8 current as of : 2-1-26 EQ: 713 TU: 702 EX: 705
Hard INQs last 12 months: EQ: 1 | TU: 2 | EX: 1
Verizon Visa $8500 Amex Delta Gold $10,000 Care Credit $18,000
NFCU CashRewards $13,500 Apple Card $7000 Best Buy $8000 Amazon $5000
STCU auto loan (2026 Hyundai Palisade Hybrid) 6.24%
HDFS motorcycle loan (2024 Harley Davidson Road Glide) 9.45%
Total CL: $70,000 --- Total CC UTI: 31% --- AAoA: 6.5 years --- Income: $257k
Last app: 1-31-26

FireMedic1 · ‎01-29-2023

Your go to go. May take a point loss when the installments drop if you have no other loans open. If those are the cards from 4 months ago. Let them grow and scores will age and move slowly up.

BK Free Aug25