Past and recent mistakes, want to avoid more

[Anonymous]

Past Mistakes

Long time, first time. Had a rough patch from 2012 to 2016 and frankly, ignored my credit. Fico was 563 in March 2017.

On 3/17/17 decided to make a change. Invested $700 in CC security deposits; $300 to Discover (Chrome), $400 to Capital One. Discover limit was $300, Cap1 $501. Added wife as auth user to Discover in August 2018 and pumped $500 more into the security deposit, so limit of $800. At some point late 2017, I don't remember, I pumped another $200 into Cap1 and limit was raised to $801. On 8/1/18 I opened Cap1 QS via unsecured offer, with $3,000 limit. That was exciting, let me tell you.

Same time last year, begun to improve wife's Fico; she was around 550. She had a bunch of medical collections, and I had one from Comcast for $275 (grr). Wiped that slate clean. Invested $400 in a separate Cap1 card for her for a $551 limit. I'm an auth user on this account. Cards sit in a drawer, and have Netflix subscription tied, that's it.

Since March 2017 all payments, mortgage and card, have been paid on-time. Actively monitor and pay CC balances multiple times a month to $0 as much as possible. Avg util is 20%. Current TU Fico via Discover portal is 701, wife 628. Going in the right direction.

Recent Mistakes

Given payment history Cap1 indicated QS CL would increase from $3k to $3.5k – some time late Feb or early Mar, this year. Sweet. Looking to reduce my $1,800 worth of security deposits in CC accounts, and curious if Cap1 would let me PC the secured M/C to QS, I went through the process on their site. Yep they allowed it – but apparently I nixed my $500 bump – the new message on the portal is, “Congrats! You reached your credit line goal of $3801 early.” When will I learn patience?

Also, I want to bump my wife's score. Recently added her as auth user on QS, that should help. Since we hadn't received too may offers, I applied her for a Credit One Visa – she was approved – for a $300 limit. A day after she was approved, maybe a week after adding her to QS, Citibank sent her two offers. Grr.

Want to Avoid More Mistakes

While those, “Recent Mistakes,” weren't that bad in the grand scheme, I really want to improve our credit. Willing to learn and listen.

After almost 2 years of green scores with Discover, I'm still not graduated. Thoughts? Should I call them or just be patient?

We spend a boatload on restaurants – I'm tempted to pursue the Cap1 Savor card. Would it be smarter to let current situation garden a bit?

[Anonymous]

congrats for the massive improvement.

If you ever travel somewhat, it seems you may be able to get an amex gold (check prequal?), this should be easier than savor to get, and has an effective lower AF (If you travel a few times a year). Downside is it is a charge card, and won't help your uti.

[CreditInspired]

Welcome OP

IMHO, don’t activate the CreditOne card. If you already have, I suggest closing it. It’s a predatory CC and you’re already way pass wanting that one in your portfolio.

Do you belong to a CU? If no, I suggest joining one. If you have any family members with a military affiliation, ask them to sponsor you at NFCU.

You’re doing great and GL2U on your continuing positive credit journey.

[Anonymous]

chriswmfeng,

Thank you for responding.  I hadn't considered an Amex, and do travel frequently.  I just checked their prequal page, and they indicate I pre-qualify for Green, Gold and Every Day products.  Go for the Gold?

[Anonymous]

CreditInspired,

Thank you for your response. We have not received the Credit One card -- very interested in learning more about not activating it -- that sounds like a good idea.  I guess it won't remove the inquiry from her credit report? 

[Anonymous]

After googling, "cancel credit one card before activating," and reading all of the stories, I decided to act.  Wife called their customer service line and cancelled it.  She put the call on speaker so I could hear -- the rep asked a couple of times why she was cancelling and she said, "I changed my mind. I don't need it."  The rep was pretty hard to understand, but we think we heard, she won't receive a charge for AF, and will receive a letter indicating the account is closed.

[CreditInspired]

True OP, cancelling won’t remove the inquiry, but at least DW won’t have to go through all the fees they charge. They charge a fee for everything.

[Anonymous]

if you travel a lot, amex gold is a very good option. It has 4x on dining and grocery, 3x on travel. At about 1.5cpp when redeemed for travel, its close to 6/4.5% cash back on those things.

just remember in most cases, you will want to PiF for amex charge card, and never redeem points for cash (only 0.6cpp if you redeem for cash).

Annual fee of gold is easy to cut down, buy two delta gift card (2x $50, make sure you buy directly from delta from a desktop computer), install grubhub and order food through it once a month, effective AF will just be $30.

[Anonymous]

chriswmfeng and CreditInspired,

Can't thank you both enough. In the few hours since posting this thread I've learned a ton, due to the leads you provided.  Thank you.

Wife applied for QS1 and was approved, $3k (a bit better than Credit One for $300, i'll wager?).  I applied for Amex Gold Delta SkyMiles and was approved, $10k.  Very pleased with this, as I travel a lot, and Delta is my airline.

[CreditInspired]

WooHoo, WooHoo!!

I am so excited for you and DW.

C O N G R A T U LA T I O N S !

Very nice, indeed.