Adding another credit card (secure) that will help lower my credit card balances?

[Dj4Money]

 I think I know the answer but I'll ask anyway.

 I am rebuilding my credit after Chapter 7 discharge (Sept '19). Three cards, First Premier (8 months), Total and First Access (both 5 months). 

 My current balances across all three cards is $763. I recently got a settlement check that I was expecting but BofA is holding it beyond my due dates on two of the cards (FP and Total both due 2nd of the month). They will release it March 5th, the date that FP and Total will report to the agencies. 

 What would happen if I opened a BofA secure card the day my check is released with a $1,900 deposit? That should be more than enough to get below 29.8% if not lower. 

 Would that have the impact I want on my FICO scores or would I take a hit/increase for opening another account but lowering my debt current balances? 

 Thoughts?

[Anonymous]

Instead of opening a new secured card with money you will receive, why not just pay down your balances with that money? You have 3 secured cards already, it wouldn't make sense for me to open another JMO

[AllZero]

Even if you opened a BoA secured card, it will not report same day to the 3 bureaus. It might report in about 2 statements or ~60 days.

Since you are on a derogatory score card, you will not receive a new account penalty. However, it will lower your AAoA if that matters to you.

[blindambition]

+1000

Your immediate result would be nothing. Your next card should be a goal card. Right now, make sure those cards are paid by 2nd.

Also highly unlikely, but you can see if BofA CS can release some funds early. Some banks can.

[AllZero]

In addition, I'm a fan of the secured BoA card. They are known to graduate depending on creditworthiness. After graduation, CLI are soft pull if eligible. They have since removed their annual fee which is another plus.

I'm not sure how predatory the other cards you have are.

[Brian_Earl_Spilner]

Unless you need to apply for something important, one month over 30% won't affect you.

[Dj4Money]

 I can pay the current balances down $360 ($403) and that's all the money I have until that check is released. It would be about a day till that money is available on my credit cards. Then I can go back to work (renting a car via Getaround) and I'll donate plasma once before the 5th ($30). 

  Rental car cost + fuel is $42-$45.

 Last Sunday I made $93, net roughly $50. That would be say $50, $80 and $50 before 5 pm central time March 4th (last day a payment can be made statement cut). That would cover my half of the cable bill ($115) and cellular bill ($50), otherwise according to some simulators even $60 less paid on my balances would lessen the impact.

 That is all I can do before the check is released and the reason for this is as I mentioned to work I have to use Getaround as I don't have a car. What I have been trying to do since my BK went final is BUY A CAR. Cash is not an option I don't want to burn up my settlement money getting a car; in the past I would have done just that.

 To get a loan I need 580-600 FICO Auto 8. I can get a loan possibly bellow that but up till now it's been hard to get approval from anybody else but Westlake Finacial (currently $1,500 down, loan limit about $8000 TTL) and Carvana ($2600 down, 26-27% IR).

 I've already spent thousands of dollars on Getaround since the bank took my car Jan 29th of 2019. That keeps my cash options very limited since half of what I make goes back to the owner(s) of the cars and I rent and I have to return the cars back with a full tank. I recently got hit with a $73 refueling charge which is not true but I don't feel that disputing it. 

 I am going to pay down my balances but I am trying to kill the pain ASAP. Paying them down retroactively doesn't help in this case. That is why I thought about opening another account.

  My 3rd card is due March 11th. If I paid that off instead of opening another account, that would help but... That account doesn't report until almost the end of the month, meaning another 20-25 days of car rentals. As it is I have been limiting my exposure so I make less money as a result but I keep spending on the rental cars more managable.

 I make less money as a result, making it more difficult to save. 

 The settlement helps but only if I pay cash for a vehicle or use it for down payment a car I don't want from Carvana, CarMax or DriveTime. 

 I already have some vehicles in-mind but they aren't ready to drive at the time of purchase.

 I want to convert all the cash into credit actually and then take what I need from the cards by either swiping or cash advance. Extending myself loans as needed. 

[Dj4Money]

 I tried to get BofA to release the money sooner. It was suppose to be released two days after I made the deposit (Feb 27th) but when it didn't show up in my account and it went negative with the $200 cash I took off the check. Then several charges hit my account including my school loan payment which has a ACH hold on it currently.

 Depositing money back into the account would only bring it back positive but leave me cash poor. Because I don't have money in my BofA account and Getaround app won't take PayPal, Greendot or my AMEX Serve prepaid cards I can't work. I tried Turo and I can't rent until I pass a background check.

 I plan to take the cash I have and pay down one of the card likely the First Premier. Which reminds me I have to make that payment now, BBL.

[OmarGB9]

may I ask why you must constantly rent cars? can you not take public transportation/uber/Lyft or get a ride from a friend?

Or rent cars on a weekly basis, which is cheaper in value, but of course more money total. 

[Anonymous]

I will take a macro view on this and say that to me it seems dangerous to want to funnel spending through cards right now with so many limitations on your ability to work. For now I would do what you can to pay off those cards (which I'm assuming are pretty high-interest), and let them sit. Use the money you have coming in and pay cash. If it costs a certain amount to use a car, it's better to pay cash or on a prepaid car than to pay with a card and pay 25-29% interest on top of that.

It sounds like a tough situation for sure, but it also seems that trying to drive spending through cards may not be the best plan in this case. What happens if you rent via a card, and then aren't able to get to another gig and can't bring in the money to make the card payment? Last thing you want in a rebuild is a missed payment. Paying cash negates that risk...