Trying to rebuild but scores are NOT moving...Help!!!

[JayTee1]

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@Tabou82 wrote:

Ugh not what I wanted to hear - but thanks for the reply! I really dread going to a buy here/pay here because I feel like I'm going to have multiple issues with car I have no history with which was the issue with the repo. The note was extremely high AND the car needed tons of repairs. I'll think about it though - thanks for the suggestion. 

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I was in a similar situation when I started my rebuilding process a couple of years ago.

What I did was get a two-year old Buick Verano (2012) with 24,000 miles with about $3500 down at a CRAZY interest rate.  I think I was paying about 23.99%.  I actually loved that car, and it was the nicest car I'd had in a while.

I paid on time, with an extra $100 thrown in each month, while I was driving that car.  Not only did the loan improve my credit scores, I actually had some equity in the car because of the down payment as well as the extra money I put into the payment each month.

At the end of a year, my credit score had risen about 50-70 points across all three bureaus, and I was able to finance a brand new vehicle (that was in 2015) at a reasonable interest rate.  

During the time I was making the car payments, I was also doing other things to improve my credit, like dealing with old collections and charge-offs, establishing new credit card accounts, etc.

I wouldn't try to finance a brand new car until your score is greatly improved, but that's me.

Edit:  apologies if this isn't an option ... not sure if a past repo would prevent you from financing at all.

[Anonymous]

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@Tabou82 wrote:

Ugh not what I wanted to hear - but thanks for the reply! I really dread going to a buy here/pay here because I feel like I'm going to have multiple issues with car I have no history with which was the issue with the repo. The note was extremely high AND the car needed tons of repairs. I'll think about it though - thanks for the suggestion. 

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I have never bought a New car in my life. I have bought a few 4000-5000 cars that have lasted me forever.  I'd suggest looking at an older Honda Civic/Accord with right around 100K miles. Especially if you can find one with a Carfax that has a lot of Maint Records listed. For me, they have been really reliable cars, Parts are Cheap, and easy to repair.

I have had:

• 87 Civic that I got with 70K miles over 7 years I put 130K miles on it totaling 200K. (paid $3500 in 1989)
• 95 Civic that i got with 80K miles and I gave it to a friend with 220K miles on it and he drove it for another year or so. (Paid 4000 in 2003)
• 07 Accord with 75K, and I have added another 80K on top of that and still driving it. (Paid $11K 5 years ago.)\

No real maint issues other than brakes and oil changes.

My only regret is with the 07. I wanted to finance a car that was on the lot for $6700.....and the dealer would not finance me for less than $8000....he said teh Banks wouldn't offer a loan that low. (I think I was getting BS'd) 

[Anonymous]

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@Tabou82 wrote:

Not a problem at all! I'm confused as well - i thought as long as the UTI was under a certain % (in my case it's 20% which I know isn't 1%-9%) but the other card was at a zero balance then I was fine. Is it because I only have the two cards? Good grief, I was trying to keep from getting any more inquiries lol

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Yeah, under 30% is good, but other factors go into the UTI% portion of your score as well. Individual card UTI is a factor, as well as the number of cards crarrying a balance. Its not a HUGE points hit, not compared to carrying 50% UTI for example - but its points on the table that you can gain easily. Yeah, you may get another inquiry, but inquiries are generally not a huge point hit, and they are temporary, lasting only twelve months.

Another factor that may be holding you back is the age of your current accounts, and your AAoA - how old are your two accounts, and what is your AAoA?

[Anonymous]

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@Tabou82 wrote:

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@Anonymous wrote:

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@Anonymous wrote:
Let me say sorry I don't mean to hijack your thread mods if you feel so please delete or move. Just a quick question for Rmduhon27, what do you mean get dinged if 50 percent or more of your cards report a balance? Does this still come into play if you're under the 30 percent utilization?

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Yes. This is why its recommended to have more than three revolving accounts. That way you can have fewer than half of your accounts showing a balance, but still show credit usage on at least one account.

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  Do you think it wise to apply for another Cap1? ...I have two with them already. One just pc'd to a QS from a QS1 - is the QS now considered a prime card? 

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No, not really - not that it makes a difference. If you apply (for another Platinum or a QS1), and get turned down with no inquiry showing up, then you may have to close the Secured card before re-applying. When applying for those cards, it an automatic denial if you have two current accounts, but for some reason lately, a lot of people have been getting approved for a third card anyway - a glitch in the system seems to "hide" your accounts sometimes. You never know till you app. But the good thing is that an auto-denial does not pull your reports, so its a "no harm, no foul" sort of thing if you apply and get denied.

What I would suggest is getting another secured card from SDFCU instead.