@Anonymous wrote:
From what I have learned here in this forum, I should also add an installment loan, possibly SSL with NFCU would be a good choice, I’m thinking as long as I do an installment loan, perhaps having an auto loan would be more beneficial for that trade line. I have a new 2020 vehicle just purchased at the beginning of this year, I’m wondering if anyone knows whether NFCU does secured auto loans, send them my title for collateral and finance my current paid for / clear title vehicle through them. Or would that report as a personal loan rather than an auto loan? I would just deposit money in a separate account with them apart from my current checking & savings and just set up auto pay from that new account. If this is possible, my next question would be if after making the regular payments for 6 months to a year, then take a large majority of the remaining money and pay towards principal getting my balance way down....would that work like the SSL loans do and I would just make very nominal payments for a few years to keep the loan active. Or would that not work for an auto loan and the same payment applies through the life of the loan/balance? Basically, I’m wanting to implement the SSL technique by paying down to under 9% and letting the rest ride for a few years with small, nominal payments and have it report as an auto loan?
I have no idea if NFCU does secured auto loans. But, tbh, I don't think I'd recommend using your car title as collatoral just to have an installment report on your credit (you'd get the same benefit, scorwise, with an SSL). Only because you never know what life will throw your way -- owning your car free and clear is one less thing to worry about should you find yourself in a bad financial situation. I understand you say you'll keep the money in a separate account and pay from there - but still, it's a risk you don't need to take, even if it may be minimal. Of course, this is just my opinion -- certainly see what others have to say because I have a tendacy to be overly dramatic when it comes to certain things... 
@Anonymous wrote:
My ideal / goal situation would be to do the above with NFCU at the same time I app for their More Rewards Card, along with requesting a CLOC on on my current checking account using the same (one) hard pull to accomplish all three.
Yea... I wouldn't get my hopes up for the one HP for all three. You might be able to get away with 2 HPs, but be prepared for 3. Cards and CLOCS/Installments are handled by different NFCU depts. They generally pull TU 9 for new credit cards and EQ9 for auto (I think) and CLOCs. So the Auto & CLOC may happen with a single HP, but the card will likely be a 2nd HP.
@Anonymous wrote:would that be too much new activity all at once?
Not if you keep your word and plant yourself in the garden afterwards! Good luck!
“But, tbh, I don't think I'd recommend using your car title as collatoral just to have an installment report on your credit (you'd get the same benefit, scorwise, with an SSL). Only because you never know what life will throw your way -- owning your car free and clear is one less thing to worry about should you find yourself in a bad financial situation. I understand you say you'll keep the money in a separate account and pay from there - but still, it's a risk you don't need to take, even if it may be minimal. Of course, this is just my opinion -- certainly see what others have to say because I have a tendacy to be overly dramatic when it comes to certain things... “
Thank you @thornback .... I have been thinking this very same thing. I have been dwelling on this for a few weeks already and having a hard time with finalizing this thought for the exact reasons you listed. 🙂
@Anonymous wrote:
Thank you @thornback .... I have been thinking this very same thing. I have been dwelling on this for a few weeks already and having a hard time with finalizing this thought for the exact reasons you listed. 🙂
When it comes to finances: If you have reservations, don't do it.
@Anonymous wrote:Hello all...looking for thoughts and ideas regarding maximizing scores as quickly as possible without flagging myself as credit seeking. My DPs are VERY thin file with no FICO score for EX and TU generated yet and 755 EQ FICO 9. The reason EQ has a score is a 27 year old closed Mervyn’s retail card is still reporting paid good, no lates. The BB&T cc listed below has not been reported to the bureaus yet, so most likely EQ score may take a little dip once account reports if I understand correctly?
I have:
3 HPs on Ex ( 1 Discover, 2 BofA declines for cc )
1 HP on TU ( NFCU )
0 HP on EQ
Discover IT secured 03/2020
NFCU nRewards secured 04/2020
BB&T Spectrum Cash Rewards 05/2020 sp
Closed acct: 27 year old Mervyn’s acct on EQ only
Now that I have 3 open revolvers, I have now planted myself in the garden for 6 months....my current thoughts are to nurture current FI relationships while implementing AZEO. Once 6 months has passed, hopefully my NFCU card will have graduated and possibly the Discover card. I then would like to app for my goal card which is the NFCU More Rewards. From what I have learned here in this forum, I should also add an installment loan, possibly SSL with NFCU would be a good choice, I’m thinking as long as I do an installment loan, perhaps having an auto loan would be more beneficial for that trade line.
An SSL would accomplish the same thing. Don't encumber your vehicle.
I have a new 2020 vehicle just purchased at the beginning of this year, I’m wondering if anyone knows whether NFCU does secured auto loans, send them my title for collateral and finance my current paid for / clear title vehicle through them. Or would that report as a personal loan rather than an auto loan? I would just deposit money in a separate account with them apart from my current checking & savings and just set up auto pay from that new account.
Don't do it.
If this is possible, my next question would be if after making the regular payments for 6 months to a year, then take a large majority of the remaining money and pay towards principal getting my balance way down....would that work like the SSL loans do and I would just make very nominal payments for a few years to keep the loan active. Or would that not work for an auto loan and the same payment applies through the life of the loan/balance? Basically, I’m wanting to implement the SSL technique by paying down to under 9% and letting the rest ride for a few years with small, nominal payments and have it report as an auto loan?
Just do the SSL
My ideal / goal situation would be to do the above with NFCU at the same time I app for their More Rewards Card, along with requesting a CLOC on on my current checking account using the same (one) hard pull to accomplish all three. At that time I would then hightail it back to the garden!
Does all this sound possible, any other thoughts or advice? Any flaws in my idea...would that be too much new activity all at once?
The SSL would not have an inquiry, but would reset age of newest account and lower average age of accounts. So if you don't do the SSL, that's ok too. But it is true that you'll pick up some points in your FICO 8 scores by opening the loan and then paying it down to 9% (hopefully before it reports).
Thank you for taking the time to read!
@Anonymous wrote:
“what is your end goal here?
if its just a higher credit score sooner. stop. resist that urge. be dicsipline. wait 9 months and you will be glad you did.
if its trying to get a mortgage or something, thats important to know to give proper advice.”
@Anonymous Good point asking end goal....yes, goal is high scores & thicker file, but not to thicken it up with many more CCs. I would like to have a solid file with what I have started, adding an installment acct for better mix to help accomplish. Yes, main reason I want solid file is we would like to possibly move in approximately 1-2 years. DH has scores in the 800s with good amount of history. I have fortunately not needed credit for so long, my file has wasted away to nothing with my neglect. I’m worried that when we are ready to move, it may be a buyers market and our current home and property (paid for / no balance) may need to be on the market longer than desired. If this is the case, we will need a mortgage for the new home while waiting for current to sell. DH has just recently retired and is now drawing social security, I’m thinking we will need to add my income to qualify for the amount needed rather than just his social security....if this is the case, I want to be prepared and have my strategy implemented so that in 1-2 years the accounts I implemented will have had a chance to age as much as possible.
Since your end game is a mortgage, please bear in mind that the SSL trick does little or nothing for your mortgage scores. So if that's your only reason for doing it, you might want to skip it.
On the other hand, it won't hurt you.