Hello--I'm trying to raise my mortgage score (586/596/603) I only have 2 inquiries, and my collections should all be deleted in the next couple of months. I want to try for a mortgage as soon as it's feasible, maybe by the end of the year.
My newer model credit scores are high enough for a credit card (617/611/607 FICO 8) and I'd like to boost my ratio by getting and not using one. Also, most of my lines have been closed, so I'd think a new line would help. I've heard though that I shouldn't get a card within 12 months of applying for a mortgage.
Would a secured card avoid the credit inquiry? Is taking the inquiry hit worth driving down my ratio and getting a new line? I only have installment loans and my mortgage now. All revolving was closed and (eventually) paid off.
Normal advise is to not apply for anything within 12 months of a prospective mortgage application. That said, your scores are so low right now it isn't going to make a whole lot of differance.
What's caysing these low scores? Just the collections? Do you have anything outstanding that is still active but is seriously deliquant?
Poor payment history (self employed and going through divorce). No active delenquencies. I think something that is hurting is that I have no open revolving credit. I have only installment loans and one closed credit account that is current, but I have no unused capcaity there, so my utilization is really high. That's why I was hoping a new line of credit that I keep very low usage on would give me a boost. Many of the collections I had are being removed, but the dismal history prior to collections is of course still there.
Get an Open Sky card and that way you can kill two birds with one stone; open revolver and no hp on your reports!
Best of luck with your mortgage!