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Am i on the right path with credit rebuild?

Tryinghard258
Established Member

Am i on the right path with credit rebuild?

Here is my info on my rebuild and plan.

I am 51.

Have never had a CC  before 1/21.    I always use debit/checking to pay bills

I decided to get serious about future plans for my long time partners and my future after she was diagnosed with stage 4 cancer (lung/brain) 

See i have a security system design business..(1 man show). I would travel all over the country. Sometimes i would be out of town on a job for anywhere from 2 weeks to 2 months at a time. Then her cancer diagnosis. And an aggressive treatment started( surgeries then chemotherapy/immunotherapy )

I had to change everthing to be home to care for her. Then when she felt well enough i would rush and do a small job or 2 and rush home for the next round.. Hardest 8 months ever..2018-2019... She was confirmed cancer free late 2019.and i was working to catch up from the  losses .but with new plans for a new venture so i could stay close to home and enjoy more time together..so i did as much i could so as to save to start our new plan.. I was on month 2 out of town work. Save about 50k and Covid hit.. All plans put on pause kind of.. But i started to look into building my credit.  Didn't know where to start except Reading and research.

 Then i read about AUTHORIZED USERS. And read everthing about it i could find and more.

I showed her parents about it and how it worked...they said sure...good credit and always there for us..

So long story...short

Only and i mean only things on my report was 1 derog $617 comcast and a hard hit from care credit in may 2020

12/20 added us both as Au

capital one 3800cl

19+ yrs no lates but high useage(because of covid) but paying it down utilization 89%

 Paid $483 on CapitalOne AU ACCT

1/21 went to local Credit union for a secured CC and maybe a SSL LOAN.

Was offered a $500 CC or $500 LOC

JOINT ACCT. 

Took LOC $500 

Opened a $2200 secured CC 12.5%

MY FICO9 EQ was 591

paid derog (less than half)

Utilization down to 81%

Went to look up on a few sites if i could  pre-qualify for any cards.

Tried Discover nope...tried Amex yes 3 all Delta skymiles...i read through them and clicked the platinum card.

Good promo and. Points. It said Approved. $1700. And as i expected the higher 24%. later i checked my ex.acct it had a pre-qualify for credit one(i swore it said Capital one)

And i got approved but only $500

So now 3 CC'S and 1 Loc . paid $1000 on Au Acct.

Waiting for Feb update.

2/21 secured card and LOC showed and $1000 payment between the 2 it brought utilization down to 39%

my fico 9 jumped up nicely

Jan/21...

fico 9's were Eq 591 Tu 613 Ex 551

Feb/21....

Fico 9's. Are. Eq 669 Tu 667 Ex 655

Opened a Navy Fed Acct.

Looked at pre-qualify site..

Offered several cards. the platinum one had low APR'S i applied.

Approved

$3000 cl @ 5.99

Hard hit #4

My reports kept saying No Installment loans. Wanted to add something small and see. Could find a SSL Loan that would let me pay it down to under 9%...no more than 3 months out..so i got a $500 personal loan for 12 months from my local credit union.

Hard hit 5.

Waiting to see what new cards and utilization will do. Expext utilization around 23% and see where i am after.

Now i want to garden what i have. 

I have a few things/ ways i want to go to build on what i have going now.

 

Amex $1700. (Daily user card...opened a savings acct to deposit into for payments want to max out early then pay. Continue to use more and 5 days before statment date stop and let all pending post.and pay before statement date..hoping for close to 200% limit usage. For next 6 months then see about CLl

 

Nfcu $3000 same for next 6 months

 

Hfcu $ 2200 same for next 6 months

 

Then work back around until hard hits drop off. That is my plan for my gardening period.

Any better advice is always welcomed

 

 

 

 

Starting Score: 1-2021 Eq 631 Tu 633 Ex 630
Current Score: 2-2021 Eq 641 Tu 649 Ex 644
Goal Score: 760


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Message 1 of 4
3 REPLIES 3
gdale6
Moderator

Re: Am i on the right path with credit rebuild?

You appear to be doing quite well in your rebuild, you have your minimum of 3 cards and installment loan. At this point I would let it all grow for the next 6 months and then see what you may be able to get in the way of unsecured cards. Once you have 3 unsecureds in your own name you wont need any of the secured cards anymore so I would close them out once they pass one year of being open.

Message 2 of 4
Tryinghard258
Established Member

Re: Am i on the right path with credit rebuild?

Thank you for the advice.

I have 5 hard hits as of now.. No more than 2 on each...should i wait more than 6 months or should i wait 24 months?

I want to start building my business credit. But worried about how many hard hits i have now.

I have 3 unsecured cards

Amex $1700

Nfcu $3000

Credit one $500

 

Secured credit card

Hughes federal CU $2200

 

I want to open my trade lines and get one's that report..

Been reading odd things about Duns

And not sure if the" building business credit 101" thread is still a relevant thread. Or if thing have changed in regaurds to how to build business credit.

Starting Score: 1-2021 Eq 631 Tu 633 Ex 630
Current Score: 2-2021 Eq 641 Tu 649 Ex 644
Goal Score: 760


Take the myFICO Fitness Challenge








Message 3 of 4
gdale6
Moderator

Re: Am i on the right path with credit rebuild?


@Tryinghard258 wrote:

Thank you for the advice.

I have 5 hard hits as of now.. No more than 2 on each...should i wait more than 6 months or should i wait 24 months?

I want to start building my business credit. But worried about how many hard hits i have now.

I have 3 unsecured cards

Amex $1700

Nfcu $3000

Credit one $500

 

Secured credit card

Hughes federal CU $2200

 

I want to open my trade lines and get one's that report..

Been reading odd things about Duns

And not sure if the" building business credit 101" thread is still a relevant thread. Or if thing have changed in regaurds to how to build business credit.


IMO dont worry about this small amount of inquries they are just a side reason to decline. If a creditor wants to do business with you the number of them is irrelevant.

Message 4 of 4
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