Credit Bounce back resolution

[Anonymous]

After paying off my final credit card that was with a collection agency at the end of Dec 2010 I was pretty excited to rebuild my credit...maybe too excited.

Now my credit had a couple of problems:

1. I have on record two accounts that were in collections (both have been paid)

2. I don't have any loans - I only used cash for a few years - so I'm totally debt free at the start of 2011.

3. (which is part of the previous issue) I don't have any current credit history

I started the year with a 619 fico, not the end of the world bad, but a ways off from where I personally want my credit to be at.

I first started by applying and getting approved for an Orchard Bank credit card (Limit $500) - still I was thankful!

Next month I applied for a Capital 1 card for rebuilding credit/student card - I got rejected

That same month I applied AND got rejected for another card

I cooled it for a month or two then I applied and got approved by First Premier Bank  (Limit $300)

I checked by credit score and it jumped up to 641 mid score 

Around April, I applied and got rejected by BofA, but was told that I should get their secured card - I got approved for the secure CC, but know have a history of 2 hard pulls from BofA (thanks a lot guys)... Anyhow, I put in a deposit of $1000, but am considering putting in another 1000-2000 more to increase the credit line (Is this a good idea? Would htey have to pull my credit again??)

In June, a week ago I was sent a letter saying that I was approved for an AMEX card - I applied and was approved!!! Part of the AMEX club (sadly, I haven't really felt anything different besides more buying power, but since it's a charge card I knew the prestige is only short lived)

From 1/1/2011 to current 6/8/11 - I've paid ALL of my cards on time and in the full amount, no lates anymore or ever. I even booked flight tickets with my AMEX that costs $2300+ and I paid it all off 4 days later.

I figured my credit must have jumped up a bit due on time payments and in full so I registered free to freescore.com and check my credit (from what I've read checking your own credit doesn't hurt you) and I checked my score at the beginning of the week and noticed that my score dropped back down to 619/629/629???

I know I had a few hard pulls, but I was paying in full on time all the time, plus I thought now that I was trusted with a no limit charge card my fico score should have jumped up.

What gives with the regression??? I'm getting frustrated with this whole fico game it's one of the last pieces to my personal puzzle to get resolved - what am I doing wrong? What and how should I be fising this?

Thank you in advance!

[llecs]

Welcome to the forums!

I'd suggest reading the following:

Common Abbreviations

Credit Scoring 101 - great for knowing what is in your credit score and to see how your score is impacted.

What Steps Do I Take - great for learning the repair process.

and Example letters - PFDs, GWs, DVs, etc.

1) For the two paid collections, send a GW asking for deletion.

2)  Congrats on being debt free! IMO, don't add any loans.

3) Congrats on the new cards. YOu have a great mix of credit. I wouldn't add any more at this time and maybe in a year try for a new CC while closing the likes of your First Premier or Orchard.

Ask in the CC Board if BofA pulls again to add funds. I don't think they do, but you may want to check.

Ignore the scores from freescore.com. They are not FICO scores. They are non-FICOs we call FAKOs. There are no lenders that use those scores. These scores can easily be 0 to 100 points off your FICO scores when pulled the same day.