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davidstrickler

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Coming Off of Credit Repair and Need Some Advice. Experts/Those formerly in my position feel free...
I am 27 and coming off of a troubled credit past. I fell behind in payments on a Cap One CC back in 2012 and have 3/6/1 30/90/120+ late payments that continue to haunt me. Luckily in the past year, i've worked hard at clearing up my credit reports (incorrect information and delinquent accounts that were paid entirely removed) I'm in better shape; I went from a 518 to a current 645 (YOU ALL CAN DO IT!!)

Now, I am stuck. CK says I have too few accounts (credit mix) and that opening a new account (w/ a min. $2500 CL) would INCREASE my score however, under the simulator if I am rejected (hard pull, no credit granted) then I drop down to the lower 600's. What should / can I do to have a greater credit mix and continue building upon my good work over the last 13-16 months? Background: 49K Income, 1 Cap One QKSLVR at $1500 CL and 12% utilization (average). TU: 642, EQ: 673 EX: 658

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I was in a position where I had a foreclosure, couldn't pay my credit cards, and needed a credit repair company also.  Steady and diligent is the formula on increasing your credit score.  Make all payments on time. That accounts for 35% of your score. Keep your utilization down to about 10%.   Utilization or amounts owed make up 30% of your score.  Never charge more than you can comfortably pay off every month. Paying interest is wasted money. A mortgage is a different story, because if you file long form taxes it's fully deductible.  

Don't go strictly by what CK states. Remember it's a free site paid by advertisers.  I don't have a mix of credit either, but that hasn't prevented my credit score from increasing and lenders offering me multiple credit cards.

I had a 458 score and am now at almost 800. I began with a $300 secured credit card to get where I am now.

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Three credit cards and one installment loan that are all reported to all three credit bureaus are the basic credit building tools. Do some thorough research (read reviews, etc.) to try to find lenders that you have a good chance of being approved with. Don't expect to get a $2500 credit limit though, but don't worry about that for now. Don't base all of your decisions on a score simulator for Vantage scores, do some reading about what will help your FICO scores too. Keep in mind that you can have more than one card with Capital One.

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