New to credit & need a little help building/rebuilding!

[pllstevens]

Hi guys,

I'm new to the forums but i've been scouring this place ever since the beginning of this year and reading everything i could find, so i finally decided to create an account. As crazy as it may sound i've just come to realize how important credit is and have a few questions. So i'll jump right into it. I pulled my credit report from Transunion in Jan. of this year (540 or so i believe) and from the Experian website for the first time in January of this year as well (not sure how accurate they would be). Found out they contain 3 items, 2 items in collections  (jefferson capital systems and NCO financial (from 2010-2012)) and 1 judgment which are all mine. All fairly easy to take care of which im currently working on. In additon I bank with NFCU and have been in very good standing with them for about 4 years, they are my main bank (Direct depost, everything), and i actually just recently applied for a secured credit card ($500) which arrived last week.

I've been reading about utilization and have decided to keep my utilization between 7-10% to try and get my credit score rolling somewhat at least i hope so. Keep in mind this is my very first credt card, i've never had any form of credit. From what i know my Experian score was 548 when i checked in January and as of 3-14 its currently 568, this was on the back of the letter i received from NFCU when they notified me they had to pull my credit report, not sure if it was a HP or SP. Now on to the questions. 

1) My credit card due date is april 23rd (1st bill) and i called NFCU and found out my statement cut date is the 26th and will report this month, tomorrow actually, my current utilization is at 7%, how can i keep my utilization but pay my balance every month to avoid interest if my bill is due on the 23rd and my statement cut date is the 26? And also will my  utilization matter with my first reporting, am i reading too much into this? 

2) The beginning of next month is when i will be paying in full my NCO financial collection ($237) I'd like to work on a GW letter tonight or sometime this week but my question is should i type it? or do most people write them? and should i mail it or email it or both? Dont want to bombard them. And would it be too early to send the GW letter a week or two after paying the collection? Is that too early? Am i too anxious?

3) Info about the collections, NCO collection was a $200 final bill from BGE that didnt get paid before i moved (me being irresponsible). Jefferson Capital collection was an overdrafted Wellsfargo account i completely forgot about when i changed banks. (more irresponsibility).  So my last question is If possible does anyone have a contact at NCO and Jefferson Capital i could send my GW letters to? Has anyone had success with Jefferson Capital? I've read people have had luck with NCO. 

4) Am i on the rite track. I'm 31 and would like to build an insane credit score for my future, especially since im really looking into getting a new car later this year, is it unrealistic to think i'll be approved for a 28-30k loan with a 6k down payment from my bank around August? 

Thanks in advance guys and sorry for the long post, i'm just a total noobie when it comes to credit. But these forums really help, this place is amazing.

[polno1234]

I can give you a little bit of knowledge here. as far as avoiding interest you can carry a balance and still not pay interest assuming you have a grace period. most are 25 days. so this is how you think about it. if your due date is the 23rd make a payment to bring you down to 7% or so. let them send you the bill and charge again. as long as you are paying off what you have charged within the 25 days there is no interest. i use my card for gas mostly. i charge about 20 dollars a week on it. i will pay 60 and leave that 20 bucks on there to show a balance and then about 2 weeks later i will pay another 60 to make sure that last 20 that i left on there for a balance was paid off. i havent had to pay interest yet.

it isnt unrealistic that you will get the car loan. however i would just assume worst case and those gw wont work.(im not saying not to try, cant win if you dont play) but with that thin of a file and derogatory accounts expect to either need a cossign and not get good rates on loan.

[pllstevens]

Thanks polno. Can anyone chime in with regards tithe gw letters, can I send those off about a week or two after paying off those collections ? And if anyone has any further advice , that would be great too.

[mechanicaljen]

Have you DVed them, anyways?  My NCO Financial fell off my reports when I sent a DV.

[pllstevens]

Hey mechanicalijen, would it be wise to have them validate the debt even if I know it's mine ?

[Little_Lulu]

If you find an email to Jefferson capital system will you share it?

I found a cusomer service email on their website. I emailed them explaining they need to stop reaging an account that was from before 2005. They're making it look like it's a debt from 2009 and to remove it from my credit report. They sent me a letter back snail mail saying something stupid...something about statue of limitations.  So I had to respond again through snail mail telling them to remove the tradeline. Hopefully that works.

I disputed it on all credit reports and JCS lied evidently to the credit bureaus because the credit bureaus investigated and told me that the debt had been verified.

[mechanicaljen]

Yes, I'd DV it, if I were you..  Wait until a resolution comes, one way or another.

If that doesn't work, offer a pay-for-delete.

Keep us posted!