Fingerhut Fresh Start Graduated

[Anonymous]

Hi everyone,

I enjoy reading everyone’s stories when they get new TLs so I just thought it might be helpful to share my own experience.

For starters, my FICO right now is at 408, VERY poor. I have a lot of recent charge offs(from late 16/ early 17) and several 60 day lates from a couple months ago. I’m current on all my accounts now, but I have no open credit cards and about 30k in debt.

I tried to get a BofA secured card and was denied so I decided to go with Fingerhut. I graduated within 2 weeks of having the account...here’s the breakdown:

On 3/4/18 I was approved for a fresh start account with a limit of $230. I picked an $80 item (with shipping came to $110). I had issues placing my order and it kept declining my card for no reason so I was super worried about losing the credit.

3/5/18 Called in about my order, CSR said because I was attempting to pay on 3/4 and their online system had already switched to the next day (3/5) that’s why it was declining my card. Told me to wait 24 hours and then call in and make my payment.

3/6/18 Called back and made the $30 down payment for my order. Order was made successfully.

3/12/18 My balance wasn’t reflecting on the account yet, but I went ahead and made a $25 payment anyways.

3/14/18 After reading the terms and conditions, I realized I didn’t have to make payments for 6-8 months so I bit the bullet and paid off the rest of the balance.

3/15/18 My package arrived! I also called Fingerhut to find out if I would be graduated to a revolving credit line. The CSR congratulated me on completing the fresh start program and told me that in two weeks I would be graduated to a Fingerhut advantage account with a limit of at least $250.

3/16/18 I logged into the Fingerhut app and see that I now have a spending limit of $400!!!!

That being said, you can absolutely pay off your balance in full before the first billing cycle and still be graduated. No need to make 6-8 separate payments as long as your down payment is separate from any other payments. I’m so stoked to have an unsecured revolving line already (even if it is Fingerhut). I can’t wait until they start reporting to the Bureaus. I’ll come back and update this when they do.

UPDATE:

3/24/18- fresh start account reported to Experian as paid in full and closed.

3/25/18- Fingerhut revolving account reported to Experian and Equifax. Both scores went up 25 points!

Just waiting on TU now. Not sure why the fresh start only reported to EX. We shall see if it shows up anywhere else.
 
3/27/18- Got my Fingerhut Fresh Start terms and conditions packet in the mail. Better late than never I guess? lol
 
Oh yeah, also, my TU is up to a 503 now! (almost a 100 point difference since my initial post!)

UPDATE 6/1/18- I received a CLI from $400 to $800 after less than 3 months. I have made one small purchase since paying of the fresh start item. And I’ve paid just slightly over the minimum payment each month.

UPDATE:

9/28/18- Just received another CLI from 800 to 1300! Since my last update I have made another purchase and have made payments about double the amount of the minimum. It appears they are giving me increases about every 3 mos. If it’s any consolation to anyone my score are very poor (550) and they are still giving me increases. However, my score is up about 150 points since opening this account just 6 months ago!

[Brooklyn2018]

That’s awesome, cali!!👍

IMHO, you could(if funds permit?) app for the OpenSky Secured cc, for now. I totally understand you’d like to have some POSITIVE reflect on your credit report but, just be careful not to put yourself deeper in debt. I’m definitely excited for you and it’s definitely a win.

Are you actively working on those baddies?

Are the amounts to enormous to try and get some of them taken care of?

It’s awesome you’ve been extended some credit regardless who the creditors are!! It’s a chance to begin a positive start and attack those baddies while you allow your new accounts to age and do their magic. It’s going to take some time. Patience and diligence go hand in hand during your rebuild, just don’t Over extend yourself, again and get back into trouble.

Again, that is AWESOME on your approval. You should try next time you purchase something from them???

...pay it out over time to develop good payment history. Paying everything off as soon as you get your first statement...IMHO, isn’t going to reflect a solid good pay history over time. Just food for thought.

Good Luck and Congrats!!👍👍

😊

[Anonymous]

Yes, like @ Brooklyn2018 said, you could apply to OpenSky. They do not do credit checks and report to all 3 bureaus. Primor and First Progress card as well. 👍👌

[Anonymous]

Thanks for your response! My major dip in credit was the result of a combination of financial hardships that occurred all at the same time in 2016. Loss of a job, unexpectedly getting guardianship of my niece and nephew, and tons of medical bills due to my infant son getting attacked by a dog. We were reliant on our credit cards to survive for a while because we had no savings to fall back on. I have learned my lesson.

That being said, our income has dramatically increased now. We are building a decent nest egg in case of another financial crisis, that way we won’t have to be dependent on our credit. As far as the charge offs go, im working on sending out PFD letters. I have to go one by one but I hope I can get most removed (fingers crossed). The majority of my debt is with Navy Federal and they have been gracious enough to decrease the interest rates on my cards from 18% down to 6% for a year! So I am powerpaying to get those down. After next years tax return, they should be PIF.

And speaking of Navy Federal, I was approved for a $500 secured card just last night! The Fingerhut one I only plan to use maybe twice a year for small purchases to get CLI, and NFCU I will likely use for gas and PIF each month.

Also, I don’t know how much this is going to help, but my mom added me as an AU on two of her cards (AMEX and CAP1). I’m hoping these credit limits help knock down my utilization.

Thanks for all of your suggestions!

[Brooklyn2018]

Looks like you’ve got it together! That’s awesome!!

If the amounts on the AU accounts relatively high? Are those AU accounts in good standing? I’m sure you know😉 from what I’ve interpreted so far, that what reflects on those AU’ers also reflect on your credit report.

You seem to definitely have a good running start on things. Congrats!👍

😊

[Anonymous]

Thank you. AMEX is $3000 and CAP1 is $950. Not huge limits but the best I’m gonna get for now. And yes, cards have been open for years with no late payments.

[bigred1967]

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I did the same on March 27 paid my $30 placed my order about a week later made a payment then following another then final patyment last week and graduated to 500 revolving..

[Anonymous]

I had fingerhut some years ago which wasn't paid, I am currently paying off my debts fingerhut being the oldest so it will be last. My question is can I still apply and be approved? Or will they simply look at my credit and say he had us 20xx no way?

[19eighty5]

Looks like you're really working to get everything in order- congratulations on the account graduation! 

[Anonymous]

If you currently owe them money they may not be willing to lend. However, with the fresh start program, they may be open to it. If you have a HP to spare I say go for it.