My Road back

[Anonymous]

I want to thank everyone first and foremost for the help I have received by reading the forums.

Okay so starting October of last year I got semi serious about fixing my credit, prior to that I was a cash only person due to a foreclosure in 2008.

Starting out I had 4 collections on my report and 1 revolving account (local PFC) and my score was 479.

February- PFD 2 of the collections (CCS from old progressive bill) and it bumped my score to ~520

March - All of the following occurred: One collection aged off, received Cap 1 platinum ($300 SCL), Received Credit One Platinum ($300 SCL) and Kohls ($300 SCL). ~569

April- I had to re-write my installment loan and it killed my AAoA and my score score dropped back to ~480

May - No changes slight increase in score ~497

June - PFD last collection  (Portfolio Recovery) score change this one was odd because they changed it to 0 balance but still waiting for them to remove it from credit score~530

July - Received CLI to $400 on Cap 1, Received Goodsam store card ($250 CL) Received FingerHut ($400 SCL) and OVerstock ($500) Starting credit limit. score change ~569.

All of the above credit scores are Fako, last week I signed up to MyFico to get my real scores and they are 639 eq, 643 Tu, 653 Ex (Fico 8).

I'm sure my score will take a hit for the last 3 accounts I just added but that's part of it.

My short term goal is to get a better CC with decent limit (3-4K range) I would really like the Discover It but the pre approval keeps telling me no so i guess ill just wait it out.

Long term goal is to be able to build a house next year (Current Fico 5,4,2 score 637 eq, 644 Tu, 686 Ex).

My only regret is getting impatient and burning up my inquirys before improving my score and using my inquires for low SCL revolvers.

[Remedios]

Congrats on your progress so far

It gets better but patience is needed. Let your accounts age,  garden for a while so your scores can start recovering

Dont add any more accounts, you have three, that's good enough 

In six months to a year (if all negatives are paid settled) you'll be in much better position to apply  

[Anonymous]

Congratualtions on taking a turn with your credit and making deliberate steps to improve. I definitely want to encourage you to keep up the good work! Not at all long ago I was in your shoes, and like you, I made the decision to take action. Rebuilding does take time, but it need not take forever - and you are definitely making some good steps. I'm by no means perfect nor an expert, but I can share what has worked for me. The cards you see in my sig (with the exception of the Cap One QS, added in 2016, which started out as a Cap One Plat, first card on my road to recovery; and the Citi and Discover cards, which I literally just added this past weekend) were ALL added just last year in 2018. Not all were HPs, and I used that knowledge and tried to strategically weave in my HPs so my scores wouldn't totally tank with each app.

As you know, when you add new accounts your score takes a hit from the inquiry(ies), when they initally report, and from the AAoA. You have laid out some goals (awesome) and you will need a plan that will drive you to those goals. You'll need to be strategic about how you add your accounts. Timing is everything. I do recommend that you take some time now to not app for anything, let what you've acquired age for some months, and you'll see those scores begin to rise, and before you know it, you'll be app'ing and getting approved for some of the higher end accounts you want. The other invaluable thing I've learned in this forum is to watch your utilization. Learn when your cards close each month (apart from when the payment is due) so that you can ensure you meet your uitlization target. Keep that as low as you can. You defintiely made the right move to subscribe to FICO to get your real scores. 

You're already a leg up by finding this forum as early as you have. As you already know, there are A LOT of people in this group who knows a thing or 2 on just about ANY credit situation you may find yourself in. Take full advantage. I can attest that before I do anything credit related now, I come to the forum FIRST, to research and learn as much as I can about what I am attempting to do, so that I can maximize my chances for success.

Best of luck as you continue your journey!

[LakeLife]

Congrats on your progress!  Gardening advice is solid.  

[Anonymous]

Thanks for all the advice, I think I have everything under control on when statements cut and keeping my utilization low (targeting ~7%).

I’m currently reading all I can on the AZEO and going to give that a try to see what happens.

The only thing I’m confused on is the fact that the installment account I have is labeled as a Consumer loan account and showing it as a negative. I’m not sure if I should go to my bank and see if I can transfer the loan to them or just let it ride to keep from messing AAoA up again. Gonna do some more research on this.

Also I just got an alert today from my Fico letting me know that my last collection was removed which gave me  22 point bump on Ex and Tu (no change to Eq).

[FireMedic1]

Is it the loan thats listed as a consumer finance loan and with who. FICO doesn't care for CFL's. If you can pay it off so it starts to age and get it off your report the sooner the better.

[Anonymous]

Finally got all the baddies off report was headed for the garden due to not getting a pre approval from discover but decided to try one more place a higher limit card . Pulled the trigger and sped at DCU and got approved with $5,000 limit. Not exactly what I wanted but I will take it. Going to let things simmer until next spring and see what happens.

[Remedios]

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@Anonymous wrote:

Finally got all the baddies off report was headed for the garden due to not getting a pre approval from discover but decided to try one more place a higher limit card . Pulled the trigger and sped at DCU and got approved with $5,000 limit. Not exactly what I wanted but I will take it. Going to let things simmer until next spring and see what happens.

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Congrats on your approval.