Should I App Spree at 30% util?

[Siopao]

Hello everyone!  First off, I love this forum.  I just wish I found it right after my BK.  Ok, on to the question...

My BK was discharged on 2/2012.  Since then I have 2 CC's (Credit One - $400 and Merrick Bank $1400).  Merrick just increased my CC from $700 to $1400 last month.  I didn't request it, it just happened since I've been on time.  I just got a pre-approval from Cap One for their Platinum Master Card with 0% in the mail.  Should I apply for this even if my current util is at 30%?  Or should I wait until I pay down to <10%?  There is an expiration date on this letter of 4/1.  I should note that I did burn them in my BK.

Also, I just opened an account with NFCU since I've been reading so many good things about them.  I want to include NFCU in my app spree as well.

I do have some INQ's because I was shopping for a car loan (before I found this wonderful website).  But after thinking about it and since I still have a car that runs, I figured I would save up and work on my scores first.  Then maybe purchase the car I want in a couple years.

My EQ is at 666...  what a number!

[09Lexie]

Welcome to the forum!

IMO, I would get your util down if you are thinking about apping. I wouldn't app with Cap1 if you are a member of NFCU. How many inq's are we talking about? And if you were car shopping, they should be counted as 1 inq if you were looking during a specified time period. Ie 7 inq over 2 weeks would out as 1 against your score.

[Siopao]

Thanks Lexie!  It's great to be here.

Why not app with Cap 1 if I'm a member of NFCU?  Just wondering.

As for the auto loan shopping, it was definitely within a 2 week timeframe.  According to my EQ on this site, I'm only showing 2 inqs.  I haven't recently pulled my TU.

[09Lexie]

Let me clarify- I think you will get more bang for your inq with NFCU. One inq, usually a higher initial CL and until lately - Cap1 has not been quick on CLI ( that has been changing some lately )

Not saying you can't have both but if you wanted to choose one over the other, I would go with NFCU.

[Anonymous]

Don't app with 30% util. Get that util down to under 5% with only one card reporting a balance.

I would suggest you go for and NFCU card first, then the Cap1, then cancel the CreditOne. Merrick is ok in my book because you get a free score with it every month. to me that's worth the $3 monthly fee or whatever they charge.

[Siopao]

Thank you both!

I will take your advice and wait and pay down my util to under 5%.  I definitely want to get in with NCFU first so that's where I will app first.

If I were to app with both, how long should I wait between applications?

[09Lexie]

You might as well do them both at the same time. As far as the low util% , it is suggested <9% but that is not set in stone. I have apped at higher %, it is really up to the lender and your credit profile.

It's a definite YMMV

Good luck.

[Anonymous]

Cap1 is kind of a useless card and they are stingy with their credit limits. I have it only because it was my first card and used it to build history. If you already have some other cards, just garden em a bit and go for a prime card. I'm new here so I don't really know how much impact the BK has but I do know you can get a Freedom with an upper 600 score. But like I said, I don't know how much the BK affects it but I know my brother got it with a score in the 600s and tons of late payments.

But I will guarentee that once your score goes up, the Cap1 is sockdrawered =) I'd personally garden and save the inq but still get the NCFU

[Siopao]

Thanks Tatterz!

I would love to go with Chase after my score gets better, but I've burned them in my BK.  So I don't want to waste an inq on them.  Same goes for Citi and Barclays.  So for prime cards I'm looking at Amex and Discover.  I did get a pre-approval letter from Discover, but I tossed it (this was before I found you guys). 

So for now, I'll wait and drop my util down to <10% then app with NCFU for sure.  I'd like to add a couple more to the mix.  I'm open to suggestions!!!

[Anonymous]

You can try Bank of America. You might have to start with a secured card, but they seem to be the easiest to get out of the prime lenders