811 People Helped
Member Since: September 2011
wait 6 months take $1,000 go to your local bank apply for a cash secured loan open up a seperate checking account so your not tempted to spend it....put the $1,000 in there then fill out the loan paper work....put the money from the loan in the new checking account plus $60 for interest then have the bank do auto payments out of the new checking account for 6 months then go pay the loan off completley and go get a car loan
jrhenry11's response was:
BOTH will cause score to go down...keep accounts open and use them every few months to maintain activity andcharge a minimum of 1% to each card once every 3 to keep positive reports going....
Go to capitalone.com I suggest you apply for the Quicksilver One Mastercard it has 1.5% cash back and i've heard of people with scores in the 590's and a bankruptcy getting approved though every case is different...it does come with a $39 annual fee but as long as you spend $2600 per year on the card the cashback will pay for the annual fee....use it for everything gas,grocceries, car insurance, phone bill, cable....anything over the yearly $2600 is free money and while I realize you only get a once a month check its guarenteed money and you will want to spread it out to pay the card off after you pay a $50 bill or higher ....since you are using card for everything you will want to pay the card off frequently.... ie: you purchase gas go home and the card that evening.....you finish groccery shopping charge it to the card then PAY IT IN FULL that evening....the reason being you will probably get a low limit $250-$500 but the amount is just a number and you need to show financial responsibility....which includes NOT going over your limit even a penny can have severe consequences which is why I suggested you pay the card off after every $50 purchase its perfectly acceptable to do that with no penalities inclinded the reason behind paying it off so frequently with a limit is because you want to keep the utilization below 20% ie you have a $250 limit keep it below $50.....$500 keep it below $100 for when the company reports to the beaurea that is when it reflects on the credit score and paying the card off frequently before the bill comes in is a good way to keep utilization low which along with on time payments is the KEY to a GREAT credit score not the amount of credit you have....so pay the card off frequently and then again the final payment when the company sends the statement so you don't pay interest VERY important don't want to charge more then you can afford to payoff otherwise the card works against you versus giving you free money and a healthy credit life....I tried to pack in all the info I could to help you..... 1) pay card off after every purchase....especially large ones like groccey and utility bills 2) Don't go over the limit...you can make an online account and keep track of expenditures that way 3)Pay bill in full for amount left over when it comes in and within 6 months I guarentee your score will go up atleast 30 points and you will have some extra cash
under 30% is good 0% is the best though
having you tried contacting the places you have bills at and explained the situation about losing your job most are willing to work with you....perhaps smaller payments with cost you more interest but atleast its better then making no payments which cost even more in interest....if its small amount of debt say under $5,000 i'd suggest taking out 2 new credit cards with 0% apr for 12 months to pay off the bills and looking for a job keep in mind this is only a stop gap measure for 12 months if you don't find a job the interest in return will put in you in a worse position......and I know you lost so you have no money but while your looking for a replacement what about working at mcdonalds atleast some money is coming in maybe only $700/month but thats better then nothing......can you have a yard sale.....??? where there's a will theres a way.....I would first suggest contacing the places that hold the bills explain your situation then apply for mcdonalds/subway/burger king.....heck work one during the week the other on weekends if you have to....put in 16 hours days if you wanted to make money to pay the bills you could hard times don't define you the way you respone to it does....a job is a job you do what you gotta do to put food on the table
with your income being 92k with all thiose responsiblities your better off going with cards instead of one and if you do them with the same 7 day window it willl only count as one hit on your report and if you have 4 inquires in the last 3 years....only the ones you had in the past 24 months (2 years) are on your report the rest dropped off
what your looking for is a balance transfer....which is were you transfer the amount from one card to another typically with a 3% charge of the balance so transfer $3,000 you end up paying $3,090 but beats pays 16% interest or more from the original company....most credit card companies let you do this...Wells Fargo, M&T Bank, Bank of America, Capital one, Chase...
Time is the best way to raise your score 100+ points.....because history length is the highest weight calculated into your score....but a mix of credit is helpful as well....ie: installment loans (such as car loans...bank loans...) , credit cards, and a mortgage....variety helps your score as well.....and having multiple lines helps to just remember to keep your credit cards below 20% utilization and you will be fine....having 3 credits cards seems to do the trick for most people if you can handle that many and always remember to keep them below 20%...pay on time every month and if you can pay in full every month so your not paying interest....and just be patient time is the biggest factor in a credit score and paying on time every month...and a simple thing a lot of people don't think of is credit inquires....every time you go inquiry or applying for a card that can drop your score a few points as well so try to stick to 2-3 inquires per 2 years cuz thats how long it takes for an inquiry to drop off your report.....but just be patient pay on time and you will get there scroes don't go up fast but they do go down fast :(
limit inquires each "hard inquiry" or each time you apply for a card,loan lower your score 3-5 points which adds up when you 3-5 inquires thats @ 15 points...even cable/cell phone (these pull your credit but DO NOT influence your score unless you miss payments for 6+ months)
Second get utilization under 20% then after that go for 10% this will greatly improve your score so if you have a $500 limit don't use more then $100 then once you get to that level get it down to $50 takes discipline
Third if you don't have a credit card get one capital one is the easiest to get I suggest the Quicksilver One (mastercard version) 1.5% cashback comes with a $39 annual fee but if you spend $2600 per year the cashback will pay for its self...Lowest score they approve is 563 average is 618
And remember you need more then one line of credit to maximize your credit score credit cards are the easiest to get but wait atleast 6 months before applying for a 2nd card so you have a small history to show ... I have 3 first one Cap1 $750 limit 2nd one Cap1 $3,000 3rd BOA $3,000 with an age of accounts at 2yrs 1 inquiry 10% utilization a score of 769 so excellent credit can be had with credit cards alone in a short period you just need to pay the MINIMUM atleast every month preferably in full and use it sparingly never going over 10% utilization but if thats hard you can start at 20% the difference is only about 10 points
First off don't blame CK for your choice in applying for credit card.....you have to use common sense....and second any credit card that reports to the credit beaureas is going to do a hard inquiry lowering your score 3-7 points.....apply for a secured card if can't get approved for a average credit card