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Just Starting 04/26/2016

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Anonymous
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Just Starting 04/26/2016

Hi, Ive been lurking for months and thought I would take the plunge. Bad divorce took my credit fro 740 down to high 4's to mid 5's. My fingerhut app is "pending" .sigh. Dont really have extra $ to sink into a secured card right now. Are there any that let you build your deposit, lower than 200? I just hired Blue sky to help me clean up some baddies, have to wait 60 days for it. Hubby left me with 2 repos, a crap load of medical, Sprint, and 2 evictions - ouch,  Anyway - Hi. im Phoebe and my credit sucks. Woman Sad

Message 1 of 9
8 REPLIES 8
darwin_wins
Established Contributor

Re: Just Starting 04/26/2016

Welcome to the board Phoebe!

Well first things first, have you taken a look at your credit report? How old are the baddies? Do you have any money to pay any of them off so that things start to age and not keep your score down?

I believe OpenSky does 200 deposit cards and they don't even HP your report but will report to all 3 CRA.

Stay away from Credit One and First Premier. See if you pre-qualify for Capital One. If you don't, hold back and don't apply for anything right away.

Unless you are in need of good credit in next one year, I suggest you take this one step at a time and not apply for SCT cards.
Message 2 of 9
RonM21
Valued Contributor

Re: Just Starting 04/26/2016


@darwin_wins wrote:
Welcome to the board Phoebe!

Well first things first, have you taken a look at your credit report? How old are the baddies? Do you have any money to pay any of them off so that things start to age and not keep your score down?

I believe OpenSky does 200 deposit cards and they don't even HP your report but will report to all 3 CRA.

Stay away from Credit One and First Premier. See if you pre-qualify for Capital One. If you don't, hold back and don't apply for anything right away.

Unless you are in need of good credit in next one year, I suggest you take this one step at a time and not apply for SCT cards.

I agree with this.  See what you're dealing with and make a plan from there for the best course of action that you can handle. Any baddies should probably be targeted first, because that will give you the score jump to put you into territory to get a half decent CC.



Total CL: $321.7kUTL: 2%AAoA: 7.0yrsBaddies: 0Other: Lease, Loan, *No Mortgage, All Inq's from Jun '20 Car Shopping

BoA-55k | NFCU-45k | AMEX-42k | DISC-40.6k | PENFED-38.4k | LOWES-35k | ALLIANT-25k | CITI-15.7k | BARCLAYS-15k | CHASE-10k

Message 3 of 9
AutoBot
Established Contributor

Re: Just Starting 04/26/2016

 

Credit Check Total

 

See if your pre-qualified with Capital One

Capital One Pre Qualify

Message 4 of 9
Anonymous
Not applicable

Re: Just Starting 04/26/2016

I am patiently waiting to see if Capital One will also approve me, I applied for both them and Fingerhut yesterday. Of all the bad ones that I have the balances are outraged is due to the divorce. I think one of the elections is around 4000 and one is around 2000. I pulled my credit through Experian but it did not have a score on it I guess I didn't pay the right amount of money. I need to go ahead and get it 3 Bureau report. I just don't have the money right now to pay off all of these debts, and since they're falling off in the next year to 2 years I'm not sure if it would be worth it. No big plans for financial spending in the next couple of years but would like to buy a house in the next 5. That's why I'm starting now so I'm not rushed. I remember what it used to be like to be able to walk in any place and just sign for something and walk out with it. I miss that.
Message 5 of 9
Imperfectfuture
Super Contributor

Re: Just Starting 04/26/2016


@Anonymous wrote:
I am patiently waiting to see if Capital One will also approve me, I applied for both them and Fingerhut yesterday. Of all the bad ones that I have the balances are outraged is due to the divorce. I think one of the elections is around 4000 and one is around 2000. I pulled my credit through Experian but it did not have a score on it I guess I didn't pay the right amount of money. I need to go ahead and get it 3 Bureau report. I just don't have the money right now to pay off all of these debts, and since they're falling off in the next year to 2 years I'm not sure if it would be worth it. No big plans for financial spending in the next couple of years but would like to buy a house in the next 5. That's why I'm starting now so I'm not rushed. I remember what it used to be like to be able to walk in any place and just sign for something and walk out with it. I miss that.

I would save up for a secured credit union card.  Check with the local ones, make sure they graduate (become unsecured).  They usually do not do credit check.  Your scores are bad for baddies falling off in two years.  BUT, if you have no judgements, do not sweat the small stuff.  Show proper financial management, get a Paypal debit card with cash back, and learn the joys of that, while using your rebuilder cards for small purchases.  

 

Plan, NO MORE STORE CARDS.  If open sky has annual fee, only keep open for one year.  Get credit union card (it will be 500, save).  Get in the habit of saving money for everything, even big purchases.  If you get mailer later for rebuilder card, First National of South Dakota, take it.  Annual fee 75, unsecured, generous with limits and clis, regular grace period.  You can also start a savings secured loan with a credit union for 500, they will give you the money back.  Payments are 11 a month.  Take that 500 and open the secured card.  If you stick 550 in the savings account, it will pay for itself (set your own auto payments).

 

If you have medical, those are real easy to pay for delete.  No money? No problem, apply for charity care (Google the laws for charity care in your state).  Even ambulance companies now offer charity care.  They will back date (required by Obama Care, if they do not, go all the way to administration with it). 

 

Just st because you walked in a place, signed for it and walked out, that is NOT how you want to deal with your credit cards.  Goal is clean reports, then get better cash back cards, and use them like debit for your ordinary spending.  If you keep saving, I payed cash for furniture, new tvs, clothing, and built regular plus brokerage savings on a fixed income.  Plus, very low debt levels lets you buy more house.

 

if not approved for cap one now, wait until six months after receiving your secured card from a credit union.  And be sure to eat healthy, not ramen.  Taking care of yourself comes before credit.

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Message 6 of 9
Anonymous
Not applicable

Re: Just Starting 04/26/2016

If I recall correctly, Cap One will let you make your secured depoist in stages, instead of requiring it all at once. 

Message 7 of 9
Anonymous
Not applicable

Re: Just Starting 04/26/2016


@Anonymous wrote:
I am patiently waiting to see if Capital One will also approve me, I applied for both them and Fingerhut yesterday. Of all the bad ones that I have the balances are outraged is due to the divorce. I think one of the elections is around 4000 and one is around 2000. I pulled my credit through Experian but it did not have a score on it I guess I didn't pay the right amount of money. I need to go ahead and get it 3 Bureau report. I just don't have the money right now to pay off all of these debts, and since they're falling off in the next year to 2 years I'm not sure if it would be worth it. No big plans for financial spending in the next couple of years but would like to buy a house in the next 5. That's why I'm starting now so I'm not rushed. I remember what it used to be like to be able to walk in any place and just sign for something and walk out with it. I miss that.

At least you are being realistic with your timeline. 5 years is plenty of time to prepare and rebuild. I can't tell you how many times I've had to roll my eyes at a poster that comes in saying "my scores are 500, I have no current credit accounts and I want to buy a house this summer..."

Message 8 of 9
Anonymous
Not applicable

Re: Just Starting 04/26/2016

Thanks! I'll check into that!

Message 9 of 9
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