How bad is the Credit One Bank card?

[HeavenOhio]

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@Anonymous wrote:

Me and you are basically in the same position.  I am coming up on month 11 with Credit One and plan on closing it.  Right now, I do have a secured with Discover but no other credit cards and I am wondering if I need to apply to some of the store cards.  I haven't made the plunge yet.  

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Don't ever feel you "need" to apply for store cards. You should be able to replace Credit One with a major card, either before or after closing it.

[Sixburgh79]

Yea I have a credit one card I want to get rid of as well... Here's my question, if I closed this account would it still count towards my age of credit? It's like a 5 to 6 year old card and that's only reason I haven't axed it yet as I thought it might not count any more towards age of credit.

[Anonymous]

I've been checking for pre-approvals, Capital One is a no-go, they were in my bankruptcy and when I tried to pre-qualify for an auto loan, I got the message "too many past or present delinquent Capital One credit accounts" and haven't been able to get a clear answer from then.  Tried PenFed and they said two years post discharge, NFCU said one year post discharge (which is coming up in July).  Not really sure where else to try looking at this point.  

[kiea]

Everyone on the forums say you should have 3 cards to maximize your score.  I actually like some store cards because you are able to get discounts & deals. 

I don't think its anything wrong with having 1 store card if its a store you like to shop at. 

[Anonymous]

When I did try Barclay's they said I had too many inquiries which I do have a lot of them so that's why I have been gardening, my score has went up some points since I did that and I haven' t accumulated as many inquiries either.  I was thinking of trying for Target but they said the same thing the last time I tried there as well, too many inquiries, so right now I am just waiting.  My Experian is at 658 FICO right now.  I've tried to do the SCT with no luck as of yet, so I don't know.  

I've also read the whole thing about having three cards as well so that's where my concern lies that and my score just dropped 11 points due to a lease to own agreement I paid off within the 90 days closing out paid in full.  

[creditguy]

How bad are they is relative to your situation. If they are all you can get than they are a blessing, but if you can qualify for better than they are more a curse than blessing. Credit One is not great long term, but if they get your credit ball rolling than their fees are a small price to pay to lay a solid foundation on which to have a great rebuild. This is forum is a great place to search for lots of information upon which to make an informed descision. Best of Luck in deciding and here's to a bright credit future. 

[HeavenOhio]

@Sixburgh79, the card should stay on your report and contribute to your age stats for up to ten years. By then, other accounts would have aged to pick up the slack. But even if the card were to drop tomorrow, it's Credit One, which is a big pain and worth a ding to get rid of.

@Anonymous, my concern was that you said "some" store cards. For a store card to be worthwhile, it has to offer rewards or perks that you can't get from a major card. And they have to be kept active. You never want to be forced to make a purchase simply because the card has been laying around for a while.

Keeping a major card active isn't an issue because it can be used practically anywhere. Also, keep in mind that store cards ding the non-FICO credit score used in the determination of insurance rates (unless you live in Massachusetts, California, or Hawaii where using credit scores for rate determination is prohibited).

But in your case, you're being denied both store cards and major cards. In time, approvals will start to come. The good news is that you have the Discover card and that you'll be able to build off of that once it ages a little more.

[Anonymous]

@HeavenOhio yeah it was some months ago when I was denied for those cards, this was back in December for Barclays and I think August for Target.  So it's been a while.  Since then I haven't bothered with them.  I did just do the pre-qualify for Discover and was approved for a small limit Discover unsecured card, so now I'll have that one and my Secured for the moment.  I wasn't thinking of getting a lot of store cards though, honestly only one, the question always was which was lol.  If I could get Credit One to get rid of that annual fee, then I might just hold onto them for a little bit longer.  

[My_Fako]

You guys think I should close my Credit One?

Think I have moved on...

Haven't closed it, because they removed the monthly maintenance fee...

CL is $2250 or $2500

[joltdude]

Credit One is like tissues, you use it and then throw it away..... (meaning you use it as a stepping stone to get into something better)....

In your situation. id wait for the 1 year mark for Navy......

You might be able to get a discover or something else, depending on if you burned them.....

Credit one is the kinda card you buy one thing and pay it back immediately... oftentimes there is NO GRACE period in addition to the fees and the ridiculous APRs so your paying interest the moment you purchase....

As I like to say on here.. every time someone closes a Credit One card (or other such subprime predatory lender) a credit angel gets their wings....

Also its still very possible to get a Cap One card after 1 year.... They are very forgiving, and if you actually can afford to pay them back, it will take mere months for an approval.. But its usually 1 year at least for Cap One.... 

Though you want to be in the Navy.... NFCU that is.  Still consider them very generous for rebuilders .. but even they have a minimum time out period  

-J