Trying to aquire new cards.

[Mrvlhro]

Hi everyone, I just signed up to this board. I have made use of some info thus far (thank you). I just applied for the Costco rewards Amex card and am awaiting a response. I currently have 2 secured cards and I have been paying them on time for the past two years with no lates and always pay down my balance at the end of the month. I had an installment loan (student loan) that I just paid off completely. I had that for about a year and had no lates on that either. I aquired a bunch of inquiries this year due to obtaining a mortgage. I about 8-10 inquiries. I also applied for a secured card and got approved but it's only a $300 limit. So that's two cards that I recently applied for. If I don't get approved for the Amex costco card, would it be stupid to apply for a third card? Maybe not Amex but more like a capital one no hassle rewards card of something? I'm really trying to get at least 2 unsecured cards and start building on my credit even more. Thanks for any replies!! Oo ad my FICO is about 641, I know it sucks lol but 2 years ago it was 537!

[n777ua]

Was your mortgage approved ? 

[Mrvlhro]

Yes, the mortgage was approved but my broker shopped around for my loan so I got 5 mortgage inquries on my report from May through July. The mortgage isn't showing on my report yet because they said it takes 60 days after my first payment is made for it to start showing on my credit reports.

[Wolf3]

who are the secured cards with and what are the limits?

[Mrvlhro]

Applied bank $300 limit, Orchard Bank $200 limit.

[Wolf3]

IMO If Costco declines, the Capital One cash rewards is a good choice.   However, the Orchard card will become Capital One next year, so waiting is also a good way to go.

Are these $200 to $300 limits the appropriate for your spending?   If you are looking for bigger limits in the future, you might consider upping the deposit on the Orchard.   If it converts, to a Capital One secured card, it can help you get a larger limit unsecured card with them next year.    

Also, I would wait until your mortgage reports before applying anything else.

[Mrvlhro]

Thank you for your reply! The 2 unsecured cards was all I could get at the time so I just took them. It's not really appropriate for my spending but I just use them for little things. Maybe breakfast, gas, movie tickets...things like that. I don't really want to give more of a deposit because I rather keep that money in my account where I have access to it. It's bad enough that the only way for me to get the $500 back is to close the two unsecured cards I have now. The card that I applied and got approved for is also an orchard card but it's an unsecured one. I think you're right about waiting for my mortgage to start reporting. I'm just ready to get unsecured now.

What should I do about the two unsecured cards I have if I want the deposits back? I could use an extra $500 in my pocket lol. But I know closing accounts is death. Since I'm getting another orchard card, should I just close the secured one and focus on using the unsecured one wen it comes? And then after a year and a half, close the other secured card?

[castlefox]

If it was me I would avoid reward cards all together for now because of the much higher APR.   I would find a credit union apply for their card.  I had a good experience applying to my credit union.  My first real card with them was 1,000 CL at 10.3 APR and I got it bumped up to a 2,000CL after 6months.     Years later I will probably keep my CU card for the low APR in case of emergencies and its my first real CC so it helps my AAoA a lot.            That is what I have done, good luck deciding what is best for you. 

The only way I could see you getting those secured deposits back without closing the card would be if they granted you a product change to a non secured card.  IDK anything about how likely that could happen.

I would suggest trying to keep the secured cards open as long as possible so that it keeps your AAoA up as high as it can be. 

*Beware of how your AAoA will change if you close your secured cards*

[castlefox]

When someone applys for multiple mortgages in a certain time period in only shows up as one application.   IDK about the specifics on that though.  

[Mrvlhro]

Thanks Castlefox, I might try that. If I just keep mt secured cards open and I get this new orchard unsecured card, I think I'll be fine with that as well. If I pay that on time every month for the next year and keep the balances low I'll reapply for an Amex card in like a year. I should be fine then. Maybe six months from now I'll ask for a crest increase with the new orchard card that I'm getting in a week or so. Getting an Amex card is my goal and having a score of 720 and higher all across the board