My Credit Journey

[Anonymous]

Hello, everyone. I've been lurking here for a while and decided to create an account and document my credit rebuilding journey. I will post monthly updates to help keep myself accountable. I hope this helps others in the same situation.

A quick bio: I'm 33, divorced (I don't pay alimony), stable job with an income of $116k. I made some stupid decisions in my 20's that resulted in destroying my credit. I am looking to purchase a house in the next 1.5 to 2 years and decided it's time to face my fears and fix my credit.

My FICO 8 scores on 8/17/2021

• Equifax: 596
• TransUnion: 602
• Experian: 598
• Credit Utilization: 16% 
• Open Accounts: 5
• Accounts Late: 12
• Closed Accounts: 10
• Collections: 6
• Inquiries: 6

My current FICO 8 scores

• Equifax: 653
• TransUnion: 635
• Experian: 619
• Credit Utilization: 2% (AZEO)
• Open Accounts: 5
• Accounts Late: 6
• Closed Accounts: 9 
• Collections: 1
• Inquiries: 2

Positive Items

• Capital One Platinum CC: $500 limit, no lates, $0 balance
• Capital One QS One CC: $1,500 limit, no lates, $0 balance (recent automatic CLI of $1,000)
• Navy Fed More Rewards CC: $15,000 limit, no lates, $0 balance (primary card, AZEO)
• Home Depot charge card: $1,850 limit, no lates, $336 balance (authorized user, grandfather's card)
• Honda Financial Services Auto Loan: $18,003, no lates

Negative Items

• AMEX Blue Cash CC: paid in full, charge off, closed
• Best Buy charge card: $2,579 balance, charge off, closed 
• Discover It CC: $2,200 balance, charge off, closed
• USE CU Auto Loan: $6,051 balance, charge off, closed
• Upstart Loan: $7,000 balance, charge off, closed

Collection Items

• Security Credit Services: $3078 balance (deleted 11/30/21)

I spent the last few months sending debt validation letters and disputing inquiries which have resulted in the removal of some negative items off my credit report. I've also paid off my Capital One Platinum and Capital One QuickSilver One, and recently acquired a Navy Fed More Rewards card. I have gotten into the habit of only using my Navy Fed card and paying off the balance in full before Navy Fed reports to the credit bureaus. Should I be using my Capital One QuickSilver One instead if I want to build towards qualifying for the Capital One Venture X?

My next steps are to remove the last collection, and pay in full or settle the 5 closed/charged off accounts. The 6 lates listed on my accounts are with some of the closed/charged off accounts. All of my open accounts have exceptional payment history. Are there any other tips or pointers specific to my situation?

Thank you all and I look forward to posting more updates soon!

Edit: changed post to reflect deleted collection!

[Anonymous]

I added more detail to my original post. Thanks for reading everyone.

[FireMedic1]

Your on the right track. Pay all the baddies off. Quit disputing Inq's. They wont go anywhere unless its fraud. Just remember each time you dispute it comes back verified and a new update hits your scores. Venture X wont be easy. There are folks with 800 scores and cant even get the Savor. Keep doing what you planned to do. Age will take care of the rest. Those CO's once fallen off will be the biggest gains and better things will come your way.

[Anonymous]

I was hoping and waiting for you to comment on my post @FireMedic1 Thank you for the feedback, I appreciate it! I didn't know about the disputes, good to know. 

[FireMedic1]

No problem. Things always work out in the end. We all want it yesterday. I was the same after BK. I want it NOW! But its a snails pace rebuilding and getting up the ladder. (cough cough) But eventually time does go by fast and you'll be there before you know it. Just remember. Finances over FICO. You'll get there. Good things come to those who wait.

[gtnitright]

Congratulations on your rebuild.  And I always enjoy @FireMedic1  post.  Always encouraging! 

[FireMedic1]

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@gtnitright wrote:

Congratulations on your rebuild.  And I always enjoy @FireMedic1  post.  Always encouraging! 

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Thanks! @gtnitright 👍

[Anonymous]

Your rebuild is so inspiring! Thanks for the encouragement. I do have a question about the Home Depot charge card that I'm an AU on:  should I just have my grandfather remove me? He carries a small balance on it and it was just opened last year. Is there any benefit to having this on my credit report?

[NewMe1120]

Congrats to you on your rebuilding journey! You're already making progress. 

I am older than you but you have definitely inspired me. I also want to buy a house next year so attempting to move my credit scores up. 

I will watch you as you continue your journey to rebuild and restore! 

[Anonymous]

Thank you so much @NewMe1120 for the kind words and encouragement! I saw your post about your scores rising - job well done! I can't wait to get to where you are at.