@Anonymous wrote:Hello,
I recently received a preapproval from Merrick Bank. If approved, my SL will be $700. After making 7 ontime minimum payments, Merrick will double my CL to $1400. The AF is $48 and after that, they'll bill my CC $4/month for the AF. My question is should I apply for this card? I'm learning towards applying for it because during my ch 7BK, I burned alot of the major CC companies (BOA, Discover, AMEX, CITI, & Barclay). My only choices for credit right now is my CU (NFCU) and Cap 1. I won't be able to apply for the GoRewards until my 1 year of discharge (10/17/19) and I read that my SL will be no more than $1,000. I do have the nRewards secured card. I wonder if NFCU would take that into consideration to give me a higher CL when my nRewards graduates and also when I apply for one of their unsecured cards. I have one more payment for Cap1 and they'll increase my CL to $750 (credit steps).
I plan on closing the indigo card and blaze card before the annual fees hit 11/2019. I did read on here if you call Blaze and cancel, they'll waive the AF, so that might be another option if they raise the CL on that credit as well. Now with Merrick Bank, if you were in my shoes and burned alot of the major creditors in BK, would you apply for Merrick's CC? Any feedback is appreciated!
Thanks
To be honest. You dont need any more cards. More cards doesn't mean higher scores and such. Best for FICO is 3 cards and 1 intallment loan. Especially during the rebuild mode. Let what you have grow and gain some traction that will lead to better card a year from now. Once you get better cards. Shut the vulture cards down. If you dont have any installments. Yes Self Lender is cool. Unless you are a member of a CU that has a SSL. I'd chill for now and let time do its thing. Good Luck!
@Anonymous wrote:I would say to stay away from Merrick Bank and try card issuers like OpenSky, GreenDot Platinum Secured Visa, DCU or SDFCU secured card or try a local credit union.
But, the most important question is, "What are your goals?"
Meaning, are you planning on buying a car, a house or are you simply trying to get prime unsecured credit cards?
Either way, it's going to take time and where you are now, your choices are limited to predatory lenders(fee-harvesting cards).
If I were you, I'd get the OpenySky, DCU, SDFCU secured cards, a Self Lender account, a Fingerhut account and maybe a couple of credit building loans from a couple of different local credit unions, garden for six to eighteen months and be patient!
More than 1 installment loan doesnt do anything scoring wise. Plus it would kill your AAoA, new accounts, and so on. FICO will look at the total util across all loans combined. OP can wait around 1 year and be in good shape for better cards. 18 months? Way too long for rebuilders. 4-6 is fine and no sprees.
I am going to disagree with others and encourage you to app for Merrick. Given that you burned most major lenders, having Merrick to show you can manage new credit could be an important step to getting back in their graces.
$48 is a miniscule investment to repairing your profile. I’ve had Merrick two years (same offer, but $36 annually) and have never had an issue with them. I charge minanally and pay in full immediately. When you have the cards you really want, you can cancel Merrick. At this moment Merrick is offering the best option: $1400 limit (good for utility) within 7 months; $48 upfront fees (none hidden). Use it wisely and in one year apply for your coveted cards; if denied, wait an additional year and apply again.
$48 is a miniscule investment to repairing your profile. I’ve had Merrick two years (same offer, but $36 annually) and have never had an issue with them. I charge minanally and pay in full immediately. When you have the cards you really want, you can cancel Merrick. At this moment Merrick is offering the best option: $1400 limit (good for utility) within 7 months; $48 upfront fees (none hidden). Use it wisely and in one year apply for your coveted cards; if denied, wait an additional year and apply again.
@Jasir wrote:
I am going to disagree with others and encourage you to app for Merrick. Given that you burned most major lenders, having Merrick to show you can manage new credit could be an important step to getting back in their graces.
$48 is a miniscule investment to repairing your profile. I’ve had Merrick two years (same offer, but $36 annually) and have never had an issue with them. I charge minanally and pay in full immediately. When you have the cards you really want, you can cancel Merrick. At this moment Merrick is offering the best option: $1400 limit (good for utility) within 7 months; $48 upfront fees (none hidden). Use it wisely and in one year apply for your coveted cards; if denied, wait an additional year and apply again.
Just because you like Merrick. Doesnt mean it will help the OP. Did you happen to read their siggy? So I have to respectfully disagree. 4 cards in 4 months is enough. If they follow AZEO and make timely payments. They'll be fine. The OP is already paying fees. Why pay anymore. Isn't going to make anything better for now. Let those 4 hits age. Higher CL's and more cards doent mean higher scores in rebuilding. Its how you play the FICO game.
Cap1 QS-2/2019
Indigo Platinum Unsecured - 11/2018
Blaze Mastercard Unsecured - 11/2018
NFCU nRewards Secured - 1/2019
I did not suggest apping “just because [I] like Merrick.” I gave my opinion like anyone else. Yes, I read OP’s post and siggy. I considered that OP has two secured cards with low limits and surmised the $1400 limit after OP shows positive credit behavior will be OP’s highest card (I could be wrong). I considered that OP plans to close 2 cards before the annual fees are applied. I looked at this and thought having a high linit card will not only help with utility but also could be a factor in getting a matching or higher limit when OP apps for an unsecured card. I am not focusin on the FICO game; I am telling OP to consider the long goal. I stand by my advice that the Merrick card may prove helpful. But then, in credit management, just not charging a bunch of things and owning a single card can be helpful. So this is an option, not a necessity that I suggest.
@Jasir wrote:
I did not suggest apping “just because [I] like Merrick.” I gave my opinion like anyone else. Yes, I read OP’s post and siggy. I considered that OP has two secured cards with low limits and surmised the $1400 limit after OP shows positive credit behavior will be OP’s highest card (I could be wrong). I considered that OP plans to close 2 cards before the annual fees are applied. I looked at this and thought having a high linit card will not only help with utility but also could be a factor in getting a matching or higher limit when OP apps for an unsecured card. I am not focusin on the FICO game; I am telling OP to consider the long goal. I stand by my advice that the Merrick card may prove helpful. But then, in credit management, just not charging a bunch of things and owning a single card can be helpful. So this is an option, not a necessity that I suggest.
Well we can say we agree to disagree. The main goal is helping the OP rebuild and the many others that come here seeking advise.. Its all good.