Rebuild Success and Where to Go Next

Anonymous · ‎07-27-2019

Good Morning,

I have been lurking on these forums for quite some time, however this is my first post. I just wanted to share a little bit of my story and my success thus far just to give others hope.

When I began my rebuild journey, I had low 500 CreditKarma scores about a year ago (back before I was pulling actualy FICO scores). I had alot of issues but the main issue were my constant lates. The lates all stem from student loans payments that a missed over the course of three years. I began rebuilding before I ever found these forums about a year ago. After applying some of the advice I found here, I have manged to raise my FICO 8 scores to 710(TU), 682 (EX), and 694 (EQ). Before I ask specific questions, I want to outlind my current profile below:

1. Opened credit card with Capital One $600 limit ($30 balance reporting). This card has been open a year and 2 months I just PC'd this card to Quicksilver thanks to the link I found on these forums.

2. 3 Students Loans that are boosting my average age of accounts significantly but with the late payments. Last lates were 3 years ago in 2016.

3. An auto loan that was just refied in February of 2019 but will be paid off this month (part of my strategy to drop some of my high interest debt). Which leads me to my first questions...once this account is closed and paid in full, will it still factor into my average age of account?

4. The success part of my story...I just apped and was approved for a Discover It Cash Back with a SL of $12,000 (by far the highest limit I have ever had on a credit card in my life). I was so shocked that I would be approved for any card especially one with such a high limit. When I read some of the high limits I see people getting, I thought that could never be me. I have not used this card as I have not recieved it in the mail yet.

So my questions, where should I go next? I was riding the high of the discover app and decided to apply for the Citi Double Cash the same day and was denied so I was hestitant about pulling the trigger on any more cards. Did a recon and was still denied for high balance (my student loans have deff. grown over the years and not decreased) and lates (also from the student loans). Am I better off being thankful for the limit I was granted by discover and go to the garden for a while? Also, as noted above, when my auto loan is paid off, will it no longer factor into my average age of accounts? Please help with any advice/answers. I am truly grateful to everyone who contributes here. Thank you.

Remedios · ‎07-27-2019

@Anonymous wrote:
Good Morning,

I have been lurking on these forums for quite some time, however this is my first post. I just wanted to share a little bit of my story and my success thus far just to give others hope.

When I began my rebuild journey, I had low 500 CreditKarma scores about a year ago (back before I was pulling actualy FICO scores). I had alot of issues but the main issue were my constant lates. The lates all stem from student loans payments that a missed over the course of three years. I began rebuilding before I ever found these forums about a year ago. After applying some of the advice I found here, I have manged to raise my FICO 8 scores to 710(TU), 682 (EX), and 694 (EQ). Before I ask specific questions, I want to outlind my current profile below:

1. Opened credit card with Capital One $600 limit ($30 balance reporting). This card has been open a year and 2 months I just PC'd this card to Quicksilver thanks to the link I found on these forums. That's good. Only thing you have to do is make sure you're never late

2. 3 Students Loans that are boosting my average age of accounts significantly but with the late payments. Last lates were 3 years ago in 2016.
Not sure if anything can be done about those, but @Anonymous might, so checkback later, they might have some ideas if/when they have time
3. An auto loan that was just refied in February of 2019 but will be paid off this month (part of my strategy to drop some of my high interest debt). Which leads me to my first questions...once this account is closed and paid in full, will it still factor into my average age of account?
Yes, for up to 10 yeras, sometimes longer, sometimes shorter, but 10 years on average
4. The success part of my story...I just apped and was approved for a Discover It Cash Back with a SL of $12,000 (by far the highest limit I have ever had on a credit card in my life). I was so shocked that I would be approved for any card especially one with such a high limit. When I read some of the high limits I see people getting, I thought that could never be me. I have not used this card as I have not recieved it in the mail yet.
Congrats on your approval. You worked hard for it, enjoy it and squeeze every last peny out of that cash back match

So my questions, where should I go next? I was riding the high of the discover app and decided to apply for the Citi Double Cash the same day and was denied so I was hestitant about pulling the trigger on any more cards. Did a recon and was still denied for high balance (my student loans have deff. grown over the years and not decreased) and lates (also from the student loans). Am I better off being thankful for the limit I was granted by discover and go to the garden for a while? Also, as noted above, when my auto loan is paid off, will it no longer factor into my average age of accounts? Please help with any advice/answers. I am truly grateful to everyone who contributes here. Thank you.

Hi and welcome to the forums

I've thrown in some responses above and now I get to write you a story lol

So, now once you pay that loan, you allow your accounts to age. In six months to a year, you will be in a position to pick another great card or two. Because of the first year cash back match, you really did not lose anything by being denied for DC. That one can wait till your disco is a year old.

The most important thing is to be patient. Dont get caught into app hype, which happens a lot. People rack up HPs, useless cards and bunch of denials over nothing. Be smart, make the best use out of what you have.

Also, with your history of lates, it's important to not get another one. It would be a huge set back. Enable auto pay for a minimum payment, just in case.

Also, make sure you're setting some money away for emergencies, that way you never have to pick what gets paid and what ends up on CR

You're doing great, keep it up

FireMedic1 · ‎07-27-2019

@Anonymous wrote:
Good Morning,

I have been lurking on these forums for quite some time, however this is my first post. I just wanted to share a little bit of my story and my success thus far just to give others hope.

When I began my rebuild journey, I had low 500 CreditKarma scores about a year ago (back before I was pulling actualy FICO scores). I had alot of issues but the main issue were my constant lates. The lates all stem from student loans payments that a missed over the course of three years. I began rebuilding before I ever found these forums about a year ago. After applying some of the advice I found here, I have manged to raise my FICO 8 scores to 710(TU), 682 (EX), and 694 (EQ). Before I ask specific questions, I want to outlind my current profile below:

1. Opened credit card with Capital One $600 limit ($30 balance reporting). This card has been open a year and 2 months I just PC'd this card to Quicksilver thanks to the link I found on these forums.

2. 3 Students Loans that are boosting my average age of accounts significantly but with the late payments. Last lates were 3 years ago in 2016.

3. An auto loan that was just refied in February of 2019 but will be paid off this month (part of my strategy to drop some of my high interest debt). Which leads me to my first questions...once this account is closed and paid in full, will it still factor into my average age of account? Yes open and closed accounts are part of the AAoA. Once they age off your reports. Then they dont count any longer.

4. The success part of my story...I just apped and was approved for a Discover It Cash Back with a SL of $12,000 (by far the highest limit I have ever had on a credit card in my life). I was so shocked that I would be approved for any card especially one with such a high limit. When I read some of the high limits I see people getting, I thought that could never be me. I have not used this card as I have not recieved it in the mail yet. Nice. Congrats!

So my questions, where should I go next? I was riding the high of the discover app and decided to apply for the Citi Double Cash the same day and was denied so I was hestitant about pulling the trigger on any more cards. Did a recon and was still denied for high balance (my student loans have deff. grown over the years and not decreased) and lates (also from the student loans). Am I better off being thankful for the limit I was granted by discover and go to the garden for a while? Also, as noted above, when my auto loan is paid off, will it no longer factor into my average age of accounts? Please help with any advice/answers. I am truly grateful to everyone who contributes here. Thank you.

Once your auto loan is paid off. You may not lose too many points because you have 3 SL's. Question is on the lates from 3 years ago. Were they 30, 60, 90,or 120 day lates. That will hold your score down. Any other baddies on your reports?

FireMedic1 · ‎07-27-2019

Beat me by 2 mins..............typing at the same time Reme.

Remedios · ‎07-27-2019

I'm about to take a nap lol

Anonymous · ‎07-27-2019

Thank you for the response!

The lates were 120 days for each of the 3 total student loans. Unfortunetly, I did not know about defferments at that time. :/. To be fair I also didn't really care about my credit at the time (stupid me). I have no other baddies and managed to PFD on the collections I had. I have a feeling I will just be waiting out the student loan lates. I was thinking about possibly doing the retroactive forebarence/defferment but I do believe I'm outside the timeframe for that.

FireMedic1 · ‎07-27-2019

Zzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzz your getting sleepy.zonk!

Remedios · ‎07-27-2019

@Anonymous wrote:
Thank you for the response!

The lates were 120 days for each of the 3 total student loans. Unfortunetly, I did not know about defferments at that time. :/. To be fair I also didn't really care about my credit at the time (stupid me). I have no other baddies and managed to PFD on the collections I had. I have a feeling I will just be waiting out the student loan lates. I was thinking about possibly doing the retroactive forebarence/defferment but I do believe I'm outside the timeframe for that.

I dont know much about student loans, so I tagged someone who might. I am not sure if they are around on the weekends,so check periodically

Anonymous · ‎07-27-2019

I will deffinetly be checking back. Thank you.

FireMedic1 · ‎07-27-2019

@Anonymous wrote:
Thank you for the response!

The lates were 120 days for each of the 3 total student loans. Unfortunetly, I did not know about defferments at that time. :/. To be fair I also didn't really care about my credit at the time (stupid me). I have no other baddies and managed to PFD on the collections I had. I have a feeling I will just be waiting out the student loan lates. I was thinking about possibly doing the retroactive forebarence/defferment but I do believe I'm outside the timeframe for that.

I'd try anything possible to rid yourself of those lates. There's your crutch.