Ok, so here is a little history of me. I am now 30 and I have ignored my credit since I was 18, after I successfully destroyed it. Well at least up until about 2 years ago. Over the past 2 years, I have done what I could to get out of debt. I paid my dues, and got my debt to less than $300 for everything. Feeling accomplished, I quickly became pretty upset seeing my Fico still at a very low 500... Of course, over that time, falling in love and planning for a future such as being a homeowner, I knew I had to do something to correct my childish mistakes and lavish shopping sprees with "invisible" money that was never mine. I've struggled getting my score up, but it was hard. No one would loan me a dime, even though I am way more financially stable than a freshman I was attending FSU... And finically successful, paycheck wise.
You see, I'm an office manager at a successful local company in my area. I manage everything in the office, including the owner and his personal finances. I get to see first hand what excellent credit can get ya. He has hundreds of thousands of dollars in high end credit cards. 3 houses completely paid off, 2 vehicles and more money I could ever dream of invested. I call him Mr. MoneyBags.
One day, after seeing his 848 Fico on the top of one of his card statements, I decided to go talk to that man. Besides having money, just how did he do it. He wasn't born into money, or married into it. He built a successful company, however he used to pump gas at a gas stations about 25 years ago. And his wife was a successful broker. So what did he do?
I waked into his office, grabbed a seat and asked him. I explained my future goals, that I want to marry the man I love, buy a home, have a child. You know, I am 30! Most of my friends have children and been married of not divorced already. Time is ticking and I am tossing and turning over my credit.
So we sat down and discussed my options. We browsed online and he suggested this card because of the low deposit, no annual fee and upon researching more, we found it reports as "unsecured" on my credit report. So I applied and was approved! First step down. But I haven't had it long enough to say if it's helping or not, but we will see. I guess the main thing is, no one else would give me a chance. These people did and I am grateful for that!
Also, if you're reading this, yay you made it this far! So I want to share some tips that was passed down to me with a man that has a near perfect credit score.
1. This card will give you a $200 limit. Rather your deposit is $50, $100 or $200. You may put more down, to increase your limit, however, you won't need it.
2. Use this card for one thing only. Something small, and something you need to get every month. A $200 limit will leave you with about $60 to spend without going over 30%. He recommended a full tank of gas each month.
3. About the 30%, some say it's 10% but he swears by 30%. Of course the lesser amount is ideal, but it's anything above 30% that creditors frown upon.
4. Always pay it off in full before the due date. Set up automatic payments if you tend to be forgetful.
5. Remember, it's really not your money (sure this is a secured card, and in a way it could be depending on the amount you deposit) but to achieve better cards with higher amounts, get that part out of your head. It's NOT your money! So never spend more than you have in a checking account or cash in hand.
6. Be consistent and stick with it. As for this secured card. It's not going to be glorified and full of perks. Not at all. This card is like "you're on probation so behave" type of card. Remember, this card is just the first step so you can get those amazing credit cards with high limits and amazing rewards. So stick with it! Make your payments each month, and use your card to keep it active.
7. Be patient. It will take some time before your credit worthiness is enough to start applying for the better cards with higher limits and rewards. So even after a year, don't get mad if they don't increase your limit. Just keep going and always keep an eye on your score.