Why am I even bothering? - Am I doing something wrong?

[Anonymous]

When I first came across this site, I ordered my reports (I was able to download EX's through annualcreditreport but had to order TU and EQ, TU still hasn't shown up a month later so I bought it). I sat down, went through everything carefully comparing what was on which report(s) and started to develop a plan. I was excited. I'd check the forum daily, sometimes two or three times a day, reading everyone's success stories and gaining knowledge so that I'd share in the same. Boy was I excited. Did I say I was excited??? I was excited. For the first time I can remember, I saw a day ahead when I could walk into a car dealership and not have to simply take whatever interest rate they could do for me and wonder if I was even going to be approved. I saw a day that I could have a credit card with a decent limit for those times when the dog gets sick and the vet bill is 400 bucks and cash is tight. 

My scores were actually better than I had thought (620's) and the baddies didn't seem to be to daunting. A couple of paid CO's from years ago, a few items that are due to fall off this year and a couple of very recent medical collections, which I have the money to PIF right now.

In addition to the baddies, I had no revolving accounts, which I learned from reading here, is also hurting my score. My plan: PFD the recent collections, GW the paid CO's as well as an older account with a couple of 30 day lates. While doing this, apply for a secured card and the fingerhut fresh start program. Eliminate the bad while implementing the good. Should work, right?

Status:

I mailed off the PFD letters 3 weeks ago and to date have not had a response. Not even so much as a "go to hell, now we know you actually are alive and we're going to sue you", nothing. I know they received them because I sent them CMRRR. Strike One

I emailed a GW to a top executive and got a response that removing accurate information is against their "strict" policies. Asked here for advice as to what my next step should be and got no response. Strike Two

I applied for a secured Cap One card. A week and a half later I get a rejection letter in the mail. One of their reasons? No revolving credit established. IT'S A SECURED CARD!!! WHAT PART OF "SECURED" DON'T YOU UNDERSTAND? Oh, and recent inquiries. Fingerhut had to do a HP because of a fraud alert I put on my reports from years ago when my ex-wife fraudently opened a credit line in my name. Strike Three. YOU'RE OUT!

My only success so far has been to get approved for 250.00 with Fingerhut. Oh Boy!! I can now pay twice as much for something that I could pay cash for at Target, that I really don't need in the first place, pay huge shipping costs, and have it take two weeks to get to me. I'm so excited!

Meanwhile, I read post after post about how successful everyone is in doing exactly what I'm trying to do, taking the same steps I'm taking. "My score went up 12 points! My score went up 35 points! XYZ Collection accepted my PFD and lo and behold, it's been removed! My scores are 560 and I just got a secured card!!!! WOW!!!

Sorry if I'm coming off as pissy and sarcastic. I guess the credit gods have just decided to not smile on me. Not sure why, but it does make me wonder why I'm bothering. Plus, sometimes you just need to rant to someone who has an understanding ear.

Rant over. Thanks for listening.  

[joeyoey]

I know it's frustrating.  Your starting score is actually better than mine after I've been at this a few months so I know you can do it, it just might take a little more effort to get things going.  I don't understand why Capital One would decline anyone for a secured card, that just seems crazy to me.  Is there a credit union you could join (if you're not a member already) that might offer a secured card?  When I first started this I didn't even try with Capital One b/c I knew I had some issues and I didn't want to deal with the rejection.  The local credit union here was very helpful & even though it wasn't much of an opening CL ($200), it was a start and Capital One opened me up an account a few months later.

[TheGardner]

Luckily your scores aren't as bad as most when starting. Join DCU they will approve you for a secured CC and you could even get a builder loan (2 birds one stone Or HP..)

As suggested above also look into local CUs for secured CC as well, that would give you 3 revolvers to build credit upon.

[TheGardner]

For PFD/GW letters, it's a YMMV situation. Some people have success disputing items on a CR to get it deleted while others won't have such luck. Same goes for the PFD and GW some creditors and CAs just won't work with you. The best luck I have had is calling medical collections and having them deleted after payment.

good luck

[denver133]

Hate to say it but this process isnt a one and done process.  

1.  For your secured card, try US Bank.  I had scores in the 400s and I got one of those. 

2. I have sent one of my collections over 20 PFDs.  It's my largest and only one left. In fact I sent them a PFD last week.  Its a 4 week process now that I have on repeat on my calendar.   

3.  Send a revised GW to those old charge offs to see if they will come off.  

4.  Leave the ones dropping off this year alone. 

5.  Let that fingerhut card report month after month with that zero balance.  It will help.   

Keep postive.  I get excited everytime I send off a PFD to this company going one day....one day they will accept. This rebuilding is a timely process.  I have 3 days till I should see my biggest score in years.  Same day that reports, I am putting an offer on a home. I am itching to see that score watch on Monday.  

[Jamex]

Hey there,

First of all, I can empathize. Rebuilding is long, tedious, hard work - and at times it is incredibly frustrating. That said, I hope I can offer both some perspective and some cause for optimism.

First the perspective - as painful as sub-prime credit is, and as much as you always want it fixed NOW, it does just take a lot of time. I started working on my credit two years ago, got a lot more serious about one year ago, and after this latest full year of work I have managed to raise my score 100 points (570s to 670s). I think I'm within sight of 700+ at all 3 bureaus by the end of this year - but realistically, not any sooner than that. When I first started, it took me 3 months to get any increase at all, and then they started coming in fits and starts. Sometimes a GW letter would get a favorable response, other times it felt like shouting into a black hole - and once it even hurt me, when a creditor misunderstood what I had disputed and reported the account as more recently negative than it really was (that took another couple months to fix).

And now the optimism. A year ago I had 7 accounts with negative indicators, and now I just have 3 - and those 3 are all at least 4 years old, which means they have less of an impact on my score than they used to. I've added a car loan and a student loan, each of which has over a year of perfect payments. By this time next year, it'll be down to 2, and by 2017 I'll be 100% clean.

I'm definitely still not out of the woods - I'm going for one new credit card and a dental financing account next week, and I'm nervous about whether I'll be accepted; but I at least know I'm more likely to get a yes than a no, and I know I could make a good case to the analyst if I have to get them to reconsider me.

It may take you till summer to start seeing some results, and it may take the rest of 2014 to get your score where you want it - but it absolutely can be done and you will see success eventually. It's a marathon, not a sprint, and remember - when it comes to those goodwill and pay-for-delete requests, you may get 20, 30 "No's" and you're no worse off than you were - but all it takes is one "Yes" to dramatically change your finances.

Good luck!