I've spent my last 20 years having a ton of CC debt and it has killed me. I can say as of today I have 1 card with a balance and it's a best buy card at 0% for the next 18 months. In the past month I have paid off over 20k in cc debt! Still waiting for 15k of it to show as paid on my CBR, but even w the 5k paid down I've seen my score go up about 10 pts each. I have also gotten 1 agency to remove an account that had negatives (2nd mortgage w my ex wife that she didn't pay a few times). Waiting on the other 2.
Previously I made the mistake of taking on debt to pay debt...guess what happens.... you accumulate more debt. This time I paid it and didn't add a loan to do it.
I still have a car payment (425) and student loan (350) and I was able to pay down a personal loan down to 18k from 30k. I do have cash available to pay off the PL but waiting to see how much I need for a house we are going to buy in the next 2 months.
I am hoping by end of March my scores will be in the 700's!
Good news.... So Equifax removed the second mortgage that had closed and along with it about 3 60 day lates and 6 30 days over the past 3-4 years. WOO HOO! So now it's gone from all 3 CBR's.
Of course that was 2 days ago so I'm waiting for my scores to change...also noted that about another 11k in CC fell off so from equifax that leaves me w about 6k showing...of which 4kk has been paid. The remaining 2k is 0% for 15 months.
Come ON!!!! LEt's go.
So got an updated score today. My score shot up 56 points on Equifax to 756. Transunion is still 691 and 696 on Experian. Still have 5-6k not showing as paid on CC. Also I have paid down a 30k PL to 9000 in the last 2 weeks. should show an update in a week. My mortgage MMS is now 690 up from 647 3 weeks ago!
We are getting closer!
Well another update from over the weekend.
A few more updates hit. My mortgage scores are now 719/700/700. Hard to believe that about a month ago my MMS was 647. Guess it just shows what paying down a lot of debt and fighting to have some negative marks removed can do. I feel confident in our chances now and will probably apply later this week for a mortgage.
My non mortgage scores are 778/719/704.
Quick update... Applied at NFCU since my scores had gone up. Looking at the 0% down option as paying this debt down has left me cash strapped for a downpayment for the house we are looking at.
See what they say.
Thank you! We will see how it goes. Like I said all in I paid down about 50k of debt in the last 4-6 weeks so I'm cash strapped now (about 10k in checking and 20k in an investment account)... but it is nice having a lot less CC to pay each month.