cancel
Showing results for 
Search instead for 
Did you mean: 

A newbie looking for some advice from the pros. Please help!!

tag
Anonymous
Not applicable

A newbie looking for some advice from the pros. Please help!!

Hey everyone! Smiley Happy

 

I've been lurking around on the boards for a while now and finally decided to join and make my first post! *waves* I've been working on rebuilding my credit for a while now. I've gone from a 545 to a 744 (currently listed on CreditKarma TU- 744 EQ-745) and have been sitting on 740's for a while now, a least a few months. Although, I'm VERY proud of how far I've come, I feel like my "portfolio" can still use some work.

 

I've been reading about the Discover and AMEX BCE cards and I've been deciding if it's a good idea to app for them. I'm very cautious about my credit and it means a lot to me, so I don't want to do anything that might hurt it. I live with DH and we split all the expenses down the middle, with the highest expenses being food and gas. With that being said, I definitely think something with cash back incentive for gas and/or groceries would be a good thing. We do a lot of shopping at Aldi, but there's also a Walmart, Target and Publix in our area as well. I also commute a 30 min drive to and from work 5 days a week so gas for me is rougly about $120 a month.

 

Anyways, I know this forum is full of smart and amazing people who are definitely more educated and informed than a mid 30-year old such as myself so any advice and criticism is welcomed and appreciated! Smiley Happy Thanks!

 

Here are some DPs:

 

Income ~ 30K

Sep 2018 Cap 1 QS ~ $741/$2000 (37% uti) already have plans to pay this down to 29% uti by the end of the month

Aug 2014 Cap 1 QS one ~ $526/$3000 (18% uti) my oldest card atm

Nov 2018 Syncb/American Eagle Store Card ~ $78/$2,500 (3% uti) paying this one off too at the end of the month

Sep 2018 Comenity Express Store Card ~ $0/$500 (never used this card once since I got it...lol)

Feb 2015 Wells Fargo ~ $2,041/$9000 (this is DH's card and I'm an AU on it for the credit age - he's had it over 4 years)

 

Closed Accounts:

My oldest CC which was a Kohls/Cap 1 opened Oct 2008 fell off my CR this month since it was closed back in February of 2010

Comentiy/Ideal Image ~ Opened Oct 2015 and Closed Sep. 2017 $645 balance remaining on it

Cap 1/BB ~ No balance, opened Jan 2009 and closed May 2013 (I have a 120+ day late payment on it)

 

2 Hard Inquires ~ 1 July 2019 & 1 Sep 2018

 

1 Collection opened in April 2014 from Midland Funding for $694 . not paying this as said from previous advice. waiting for it to fall off CR.

Message 1 of 80
79 REPLIES 79
thornback
Senior Contributor

Re: A newbie looking for some advice from the pros. Please help!!

*Bump*

Someone should come along to offer advice shortly. I'll also check back a little later to help out, if necessary (I have to drive right now 😊).
Personal Aphorism:"Forget What You Feel, Remember What You Deserve"
Starting FICO 8s | 09/2017: EX 641 ✦ EQ 634 ✦ TU 647
Current FICO 8s | 04/2022: EX 796 ✦ EQ 793 ✦ TU 790
Current FICO 9s | 04/2022: EX 790 ✦ EQ 788 ✦ TU 782
2022 Goal Score | 800s

My AAoA:
4.6 years not incl. AU / 4.9 years incl. AU
My AoOA: 9.2 years not incl. AU / 11.2 years incl. AU
Inquiries: EX 0/12 ✦ EQ 0/12 ✦ TU 0/12
Report Status: Clean
Garden Status:  


Without patience, we will learn less in life. We will see less. We will feel less. We will hear less. Ironically, rush and more usually mean less.
Message 2 of 80
Anonymous
Not applicable

Re: A newbie looking for some advice from the pros. Please help!!


@thornback wrote:
*Bump*

Someone should come along to offer advice shortly. I'll also check back a little later to help out, if necessary (I have to drive right now 😊).

Awwww! Thank you kindly!  Smiley Happy

Message 3 of 80
Anonymous
Not applicable

Re: A newbie looking for some advice from the pros. Please help!!

I say, go for Disco.

Try their pre-approval page. If it gives you a solid APR, you should be good to go.

I got mine with a sub 700 score, 40k salary.
Message 4 of 80
Anonymous
Not applicable

Re: A newbie looking for some advice from the pros. Please help!!

Both Amex and discover have prequal pages, I would hit them up and see what they come back with as far as I know both are pretty solid.
Message 5 of 80
Anonymous
Not applicable

Re: A newbie looking for some advice from the pros. Please help!!

I'm preapproved!! I'm happy cause I've been eyeing their Cash Back card for a while now and I like the fact that it has rotating categories. I already use my Cap 1 QS as an every day card for the unlimited 1.5% cash back. While I was at it, I thought I'd also try AMEX (cause...why not?) and I got preapproved for the Plat, BCE and the Delta silver. Now which card to get??? What was your SL when you got approved? Is one card better than the other?

I'd use the Discover just for the rotating categories alone and the SUB for the 1st year. And I'd use the BCE for my groceries and gas when that category is not rotating on the Discover card. Decisions, decisions??


Message 6 of 80
Anonymous
Not applicable

Re: A newbie looking for some advice from the pros. Please help!!


@Anonymous wrote:

Hey everyone! Smiley Happy

 

I've been lurking around on the boards for a while now and finally decided to join and make my first post! *waves* I've been working on rebuilding my credit for a while now. I've gone from a 545 to a 744 (currently listed on CreditKarma TU- 744 EQ-745) and have been sitting on 740's for a while now, a least a few months. Although, I'm VERY proud of how far I've come, I feel like my "portfolio" can still use some work.

 

First thing is sign up for a seven day trial for $1 at www.creditchecktotal.com to get your FICO scores. CK is good for watching changes in your reports but the scores are a different algorithm and you can ignore them, as they're largely irrelevant to the lending world. Be sure to cancel after you get your scores or you'll be enrolled into an unneeded $30/month plan.

 

I've been reading about the Discover and AMEX BCE cards and I've been deciding if it's a good idea to app for them. I'm very cautious about my credit and it means a lot to me, so I don't want to do anything that might hurt it. I live with DH and we split all the expenses down the middle, with the highest expenses being food and gas. With that being said, I definitely think something with cash back incentive for gas and/or groceries would be a good thing. We do a lot of shopping at Aldi, but there's also a Walmart, Target and Publix in our area as well. I also commute a 30 min drive to and from work 5 days a week so gas for me is rougly about $120 a month.

 

Both of these lenders offer prequalification - try that and see what they offer. They're both great lenders to have and many of us carry cards from both.

 

Anyways, I know this forum is full of smart and amazing people who are definitely more educated and informed than a mid 30-year old such as myself so any advice and criticism is welcomed and appreciated! Smiley Happy Thanks!

 

Here are some DPs:

 

Income ~ 30K

Sep 2018 Cap 1 QS ~ $741/$2000 (37% uti) already have plans to pay this down to 29% uti by the end of the month

 

Pay it a little farther, to 27% instead. The actual breakpoint for a scoring effect is 28.9%, and by paying to 27%, you'll stay below that threshold after interest is added.

 

Aug 2014 Cap 1 QS one ~ $526/$3000 (18% uti) my oldest card atm

Nov 2018 Syncb/American Eagle Store Card ~ $78/$2,500 (3% uti) paying this one off too at the end of the month

Sep 2018 Comenity Express Store Card ~ $0/$500 (never used this card once since I got it...lol)

Feb 2015 Wells Fargo ~ $2,041/$9000 (this is DH's card and I'm an AU on it for the credit age - he's had it over 4 years)

 

Closed Accounts:

My oldest CC which was a Kohls/Cap 1 opened Oct 2008 fell off my CR this month since it was closed back in February of 2010

Comentiy/Ideal Image ~ Opened Oct 2015 and Closed Sep. 2017 $645 balance remaining on it

 

Is this in collections? If not, I would pay it off as soon as you can in order to avoid having it show up as a collection or a chargeoff, as that'll definitely damage your score.

 

Cap 1/BB ~ No balance, opened Jan 2009 and closed May 2013 (I have a 120+ day late payment on it)

 

CapOne is a tough nut to crack but some have gotten negatives removed. Search this forum for "The Saturation Technique" to find out all about a Goodwill campaign to try and remove that late. It's a score killer!

 

2 Hard Inquires ~ 1 July 2019 & 1 Sep 2018

 

Zero worries here.

 

1 Collection opened in April 2014 from Midland Funding for $694 . not paying this as said from previous advice. waiting for it to fall off CR.

 

It will fall off naturally in April 2021. Or you could do one of two things - Early Exclusion (contact the bureaus to ask about having it removed early - for TU it's six months, for EX it's three months, and for EQ it's 30 days, but they'll screw it up so leave them alone), or you could pay it off and it'll be gone in 30-45 days as if it never existed. Midland's started policy is deletion upon payment in full or settled for less, as long as the debt is at least two years old. That would clear things 6-12 months early and with the age of the debt you could probably settle for 30-40% of the balance owed and have it gone forever.


 

Message 7 of 80
thornback
Senior Contributor

Re: A newbie looking for some advice from the pros. Please help!!


@Anonymous wrote:

Hey everyone! Smiley Happy

 

I've been lurking around on the boards for a while now and finally decided to join and make my first post! *waves* I've been working on rebuilding my credit for a while now. I've gone from a 545 to a 744 (currently listed on CreditKarma TU- 744 EQ-745) and have been sitting on 740's for a while now, a least a few months. 

 


First things first:  What are your FICO scores? 

Credit Karma offers scores of the Vantage 3 model which is different from FICO and used by very few, if any, lenders to make credit decisions.   Vantage scores can differ from FICO scores but as much as +/- 100 points because it weighs various aspects of your credit profile differently.    You can go to Experian.com and get all 3 FICO-8s as part of their 7 day trial.  Just be sure to cancel before the trial ends if you do not want the monthly service.    You can also opt for a free, monthly Experian FICO 8 by signing up for Experian's free service.    You have a total of 28 different FICO versions (incl. mortgage, auto, bankcard, and FICO 9) and lenders may use any of the 28 they see fit.   If you want to know all 28 of your scores, you'll have to sign up for the myFICO credit service, which is more costly.    Credit Karma is great for monitoring activity on your reports -- but the scores provided are not very useful for obtaining credit. You need to be monitoring your FICO scores. 

 


@Anonymous wrote:

 

I've been reading about the Discover and AMEX BCE cards and I've been deciding if it's a good idea to app for them.

 


Amex pulls Experian FICO 8 exclusively -- so it's a good idea to know where you stand with that score.   Discover may pull either Experian or Equifax FICO 8 (occassionally, both).   Both are excellent cards.   Discover cash back are in quarterly categories - so you will not get year-round 5% on Gas, instead, it will be for only a single quarter.

 


@Anonymous wrote:

 

Closed Accounts:

My oldest CC which was a Kohls/Cap 1 opened Oct 2008 fell off my CR this month since it was closed back in February of 2010

Comentiy/Ideal Image ~ Opened Oct 2015 and Closed Sep. 2017 $645 balance remaining on it

Cap 1/BB ~ No balance, opened Jan 2009 and closed May 2013 (I have a 120+ day late payment on it)

 

1 Collection opened in April 2014 from Midland Funding for $694 . not paying this as said from previous advice. waiting for it to fall off CR.


 

Comenity:  Is this a charge-off?  Why is a closed with a balance?  This is hurting your scores as it factors into your overall utilization and a balance on a closed account usually has the effect of a maxed out card because the credit limit isn't considered.  Try to pay that balance off asap. 

 

CapOne: What month/year did the 120-day late occur? 

 

Midland:  They will delete the tradeline after payment.  It's old enough that you could probably settle for much less than the full amount -- it'd be worth it to have it taken off your reports.  Collections hurt.   You can look up your account on their website and see if any settlement offers exist: 

Personal Aphorism:"Forget What You Feel, Remember What You Deserve"
Starting FICO 8s | 09/2017: EX 641 ✦ EQ 634 ✦ TU 647
Current FICO 8s | 04/2022: EX 796 ✦ EQ 793 ✦ TU 790
Current FICO 9s | 04/2022: EX 790 ✦ EQ 788 ✦ TU 782
2022 Goal Score | 800s

My AAoA:
4.6 years not incl. AU / 4.9 years incl. AU
My AoOA: 9.2 years not incl. AU / 11.2 years incl. AU
Inquiries: EX 0/12 ✦ EQ 0/12 ✦ TU 0/12
Report Status: Clean
Garden Status:  


Without patience, we will learn less in life. We will see less. We will feel less. We will hear less. Ironically, rush and more usually mean less.
Message 8 of 80
Anonymous
Not applicable

Re: A newbie looking for some advice from the pros. Please help!!

Hold off on Amex until you have your FICO scores. The low-end score they'll let you in with doesn't translate into a very good starting limit. If you're borderline, improve your EX score first and then app for Amex for better chances at a higher limit. Their "you just got in" limits are tough to grow.

Message 9 of 80
Anonymous
Not applicable

Re: A newbie looking for some advice from the pros. Please help!!

Lol @thornback looks like we are on the exact same page here!

Message 10 of 80
Advertiser Disclosure: The offers that appear on this site are from third party advertisers from whom FICO receives compensation.