Hi.
As mentioned in my Thread's Title, I'm tring to 'time' my application for a Capital 1 Venture card, and possibly others.
Here's why I want to plan my timing (tell me if you think it makes sense or not)) for these summarized reasons:
1) My 'Credit Utilization Rate' has been in the high 90-percentile (see below for the reason).
Right now, though,I've gotten it down to maybe 65-75%.
2) My Overall Score seems to be in the 660-680 range. Not bad for me, considering that 2 yrs ago I was at 520.
3) I want to be able to get my Available Credit higher while I have a 'window of opportunity' due to erratic income prospects
(see also below).
Background
About 3 yrs ago, my overall CC debt was up to around $70k total. This was a result of not being able to find steady employment in my
field (Hotel?Resort Construction). I was one of those 'post-Econ Crisis' refugees.
At the beginning of 2013, I finally got an excellent paying expatriate job & held it until the end of 2014, The $500M project was (& still is)
put on Hold, so I & abt 10 other expats got sent home. As such, I um unsure abt the steadiness of my income for the next few months.
Anyway, during that time, I paid off abt $55K of that $70K & straightened out a few other bad credit issues (late payments) I feel that I made a mistake
when I paid down all of that debt....I opted to close 3 CC accounts (thinking that I'd simplify life - too many cards was too hard to track for me).
Additionally, a strange thing happened when I got a BofA Visa paid down to $500. Those guys took away my credit limit even though I had paid abt $8k
& established a no late pmt pattern for around a year.
SO, with 4 accounts closed, I effectively threw away maybe $20-$30k in available credit. Fast Forward to now: I still have abt $25k in CC debt on abt $28k of available credit. You experts will see the problem...I'm at a 'Credit Utilization' pctg of around 90%. Since I got into the habit of just paying cash & paying off balances, I thought I
was doing the right thing. Turns out that I should have been spending more time applying for MORE Credit. Counter-Intuitive to me, but I now get it (albeit after--the-fact).
I have indeed applied for Credit Line Increases & one new Card, but As you can guess: I was turned down each time, UNTIL...my Credit Union had a Car Sale last month (& I really needed a dependable car). I went to them, with low (no) expectations, but decided to apply for a Car Loan anyway. Lo & Behold, My CU approved me for up to $25k for a car. I bought one for $19k at a great APR.
While I was there, I asked if they had a CC that I might not be rejected for. The loan officer there suggested a Signature Loan at a lower rate than my $28k CC debt. I thought: 'Hmmm', this could be a way to improve that 'Credit Utilization' pctg. So, the CU gave me the Sig Loan for $15k. Now, I have a better Credit Utiliz Pctg, but still would like another CC. My reason is that I & my familiy travel abroad (wife's from overseas) at least 2x per yr. I would like to get a rewards card, mainly a Visa since I only have an AMEX & an MC right now. I have considered a Delta Skymiles card, but have been rejected by them before, so don't want to got through that again. Esp. don't want to have a fruitless Credit Inquiry 'charged' against my 'hard-earned' 660-680 score.
As for my current Credit accounts, I have a BofA AMEX ($28k limit), a Cap1 MC ($1820 limit), Macy's ($300 limit?), TJX ($200 limit), Sig Loan of $15k, Car Loan of $19k, Mortgage of $155k.
I am considering hte Cap1 card because the Intro Rate of 0% until Sep 2016, Cash Back, etc. I am not sure if I have enough 'Credit Horsepower' (Score/Credit Utiliz'n,etc) for this Card, but from the info on this website, I mighttttt have a shot at it. Otherwise, I might just go for another Cap1 Quicksilver, or a 'Fair Credit' probable card.
So...I Need a 'Rebuilding Strategy
Any suggestions on how to re-establish a decent Available Credit capacity?
Sorry for the long-winded background. Also, sorry if my terminology isn't correct in parts of this post.
Best Regards,
=-JJKOOL-L
