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Please help with a 2 year credit rebuild

bobbruce
New Visitor

Please help with a 2 year credit rebuild

I am trying to increase my credit as much as possible over the next 1-2 years. I have 2 major plans, 1 purchasing a home and 2 turning my cleaning business into a bigger operation. Both of which involve having the highest scores possible, more so the cleaning (equipment purchases). My Transunion is at 744 and Experian and Equifax high 600's. Within the past year I have increased it from around 525ish on average. I now have 7 credit cards and 2 personal loans. The credit cards I understand from research to keep under a 7% utilization rate which I am doing and never missing a payment. I don't know what to do with my personal loans though. I would like to keep them open full term so they have a greater overall positive impact. My question is how much cash should I throw at them to get the principal down? I have read that lowering the principal will increase my score but I would prefer to keep cash on hand so am wondering how much of them I should pay down to have the greatest impact. One is for $6,000 and one for $2,500. Does anyone have any other words of wisdom for me? I have available cash so I am more then willing to take some high interest rate hits on loans if I can get them and they will help me within that 2 year period. Like I said I am not so much concerned with being charged a pretty penny over the long run, as long as it gets me to the highest score possible within the next 2 years. I understand as well that some things will be impossible to increase, like the age of my oldest account and things like that. Any help you can give me will be greatly appreciated. Thank you very much.

Message 1 of 4
3 REPLIES 3
timothylee
Established Contributor

Re: Please help with a 2 year credit rebuild

Have you viewed your Experian and Equifax reports? It doesn't sound right that your scores are that much apart from each other unless something is holding those scores back.. You may want take a look at both reports.

 

You should always pay more then your payment on your loans then what is due.  As long as you keep your credit cards down which is good.

 

At 744 you are doing pretty good.

 

Current Scores (9/9) - Equifax 542 - TransUnion 560 - Experian 563

$500
Message 2 of 4
bobbruce
New Visitor

Re: Please help with a 2 year credit rebuild

timothylee, yes I have checked them thank you. I have an old credit card from 2008 that was charged off and took forever to get them to report the card as stolen. Only Transunion has it reported as such. Experian and Equifax still have it listed as late & missed payments and as a charge off. I actually have another question on here referring to that because it will be coming off my report around Feb of 2015. I just dont know if its worth the time disputing it seeing that its going to fall off anyways. Thank you for the help I appreciate it. The revolving accounts with the credit cards have done most of the work for me.

Message 3 of 4
timothylee
Established Contributor

Re: Please help with a 2 year credit rebuild

If it's coming off in Feb 2015 you can call and ask for an Early Exclusion up to 6 months before hand.

 

Those late payments and missed payments is what's killing your score then.

 

I would call EQ and EXP and ask for an Early Exclusion on that account.

 

 

Current Scores (9/9) - Equifax 542 - TransUnion 560 - Experian 563

$500
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