Pre-Approved Offers

Mar 162011
 

When I got home from work last night, there was a letter from Capital One pre-approving me for an auto loan.  While I don’t need this as I just bought a car over the summer, is it possible that I might start receiving other pre-approved offers, say that next level of credit cards above the Orchards and First Premiers?  

 

At my first I thought the Cap1 letter was just because I currently have 2 cards with them in good standing, but it also came at a time when my scores have been shooting up.  I also haven’t been receiving any of the offers from the rebuilder cards recently, so I’m wondering if my profile is changing where I’ll start being courted by that next tier.

 

Not that I plan on going on an app spree if I do start getting the offers, but it’s always nice to feel wanted. :smileyhappy: 

Bankruptcy or Settling Debt?

Mar 062011
 

I haven’t paid my credit cards in over two years after becoming unemployed. I want to get into the military, but in order to do that I need to do something about all my debt and I’m not sure what to do.

 

I’ve got about 13 debt accounts but the only one in good standing that I have is my current student loan, which is about $6,498. According to my credit report, I owe $12,431 and my debt to credit ratio is 69%, plus I also have some 3-year old medical bills from E.R. which don’t appear on my credit report but I’m sure they’re at least $6,000… The thing is, that most of my credit cards are below $1,000 and I’ve gotten letters and offers to settle for only a portion of them in some of them.

 

I know the student loans are forever, but I’m not sure what’s the best option: to file for bankruptcy (quickest solution to most of my debt), or to attempt to settle the debts on my own if I ever get a job? What will be better for my credit in the long run also?

Decisions

Feb 272011
 

New to forum and think this is a great way to help each other.  Looking for some feedback from experienced folks on decisions – currently rebuilding after a rough stretch in 08-09. Looking for fastest and most effective impact.

 

1. Ford Credit auto account

  • Current balance – ~$8K (excellent loan terms – vehicle is worth roughly 2X balance and looking to sell it now)
  • Vechile was repossessed in Dec 09 for a 60 day late – redeemed a week later and account has been in good standing since
  • Although account is current and in good standing, account shows as past due on credit reports (suspect this is dragging score down – shows as negative)
  • Option — pay off ($8K) the account and close it (this will remove past due status and potentially bump score)

2. Revolving accounts

  • Disco – $1400 bal / $4300 limit [39%] (open, good standing, use peridoically)
  • Capital One – $475 bal / $1500 limit [31%] (open, good standing, use periodically)
  • Dell – $0 bal / $600 limit [0%] (open, good standing, just paid down to $0)
  • Lowes – $0 bal / $176 limit [0%] (open, good standing)
  • VC Furniture Line – $0 bal / $1500 limit [0%] (open, good standing)
  • BOA Visa – $1612 bal / $2000 limit [80%] (closed but balance and limit reporting – great terms)
  • BOA SME VISA – $6610 bal / $8400 limit [78%] (closed but balance and limit reporting – great terms)
  • BOA MC – $10448 bal / $12300 limit [85%] (closed but balance and limit reporting – great terms)
  • Citi MC – $4138 bal / $4800 limit [86%] (closed but balance and limit reporting – poor terms)
  • Chase Visa - $742 bal / $2200 limit [33%] (closed but balance and limit reporting – great terms)

Total revolving – $23,729 bal / $37,776 limit [68%]

 

These are the biggest areas I feel are dragging score down – I have a few old medical collections (50$, 12$, 130$) that I am still disputing, but the revolving and the auto account are the big hitters.  All of my other accounts are in good standing (mortgage, another auto, student loan., etc).   

 

I am debating whether to pay off the auto account and try to put it behind me (remove past due status?), or continue chopping away at the revolving debt.  Which path will yield the best short term results in terms of scores?

 

All feedback is much appreciated!

 

 

Student Loan Consolidation – What to expect from my Credit Score

Feb 232011
 

I wish to get a picture of what will happen to my credit score if I choose to consolidate my student loans.

 

After a few years of schooling I have 10 student loans amounting to around $25,000.  All are in repayment and all are in good standing – no reported issues except the months I was in the forbearance/grace period which show as “unknown”.  I have only a few months of reported repayment history built up on these.  I have low rates but that is not the topic I wish to get into because the rate I was told I would get will be a weighted average and is not much different from the current rates.  The payment will obviously drop to about 60% of what it is now too which will help some.  Also it may help to know my income to debt ratio is under 5% being that the only loans I owe anything on is these student loans.

 

I want to know what to expect from my credit score if I consolidate all these into 1 loan.  Can I expect a big jump of 50-75 pts or small bump 10-20 pts?  Also can you explain the “numerical theory” behind the change so I can understand why and how it changes?

 

Many Thanks,

 

RRinTN

Duplicate Student Loan question

Feb 182011
 

I have been working very hard on getting my credit straightened out. The first thing I did was to start paying on defaulted student loans. They have been out of default and are in good standing for about 6 months now. My problem is, even though they show up on my credit reports as good, the old negative stuff is still there too making it look like I have some good and some bad loans. I have 4 for the Department of Ed and 2 Sallie Mae, so there are 6 good and 6 bad showing on my CR. Is there any trick to getting these bad ones deleted? I have had a credit repair law firm cleaning up my CR with absolute great success except for these items. I am getting ready to dump this law firm now that my file seems to be more manageable, and do it myself. I have enjoyed the convenience of having someone else do my work for me but it is time I take over and I want to be able to get these duplicate loans that show balances and lates off of my CR. How should I proceed?

Single Mother Wanting to Purchase a Home

Feb 012011
 

Hello everyone.  I just happened upon this forum and love it already.  The people here are so helpful.  I working on purchasing our first home and have some issues with my credit.  Credit scores are 585, 602 and 590.  I need to be at a 620 to apply for a home loan with my preferred lender.  I recently applied for the Orchard Bank CC in hopes that will give me the credit boost I’m looking for.

 

I have 8 derogatory accounts that range from dates 2005-current (the current items I PIF).  I had a recent tax lien placed on my credit report which I recenly PIF.  I also had a Movie Gallery account that was sent to collection recently that I just PIF as well.

 

I have over 40K in student loans that I need to pay-stauts noted as Paid as Agreed.  I do have 1 CC through Capital One that I am in good standing on.  Credit limit of 500. I do owe $114 on it.  I have a car that I finance through Wells Fargo that I am in “Paid as Agreed” status on as well

 

I would love to purchase a home before my lease ends this year-September 2011.  Is there a possibility that I could have my credit at a 620 by then.  Any suggestions on how I can get there would ne appreciated

Can you send GW for removal of late payments or will they remove the entire account?

Jan 112011
 

This may seem like a really stupid question, but with credit bureaus you never know what weird formula they’re going to have, so I feel compelled to double check. I have a couple of late payments on an account, even one that goes to 120 days. The account has been in good standing for almost 2 years now, though. If I write them a GW letter to ask if they could remove the late payments, they’re not going to close the whole account, right? Or will they?

 

Just checking…

GOT DINGED…Rebuilding.

Nov 162010
 

I got dinged 2 points for an inquiry from USAA.   After reading all the success stories here and checking credit pulls, I thought I might be accepted.  Declined.

 

I found this forum recently after being declined for an equity loan.  My scores were nowhere close to being what I needed.  I have plenty of equity in the house that

I built and wanted to get my daughter a decent car.  What a wake up call. 

 

I decided I needed to take control.  I haven’t had a credit card in years.  No revolving accounts, and plenty of baddies.  I have been reading this and CB for the last month and half, trying to come up with a game plan to get those scores up.  I was approved for an Orchard Bank Platinum w/ a $300 CL.  I applied for Cap1, and they approved

a secured card, to which I have sent $300.  I re-applied for a JC penny card, which was in good standing when closed over 10 yrs ago, hoping they

might back-date for AAoA.

 

I joined scorewatch, and I’m ready for the rebuilding process.  I received all 3 hard copy of CR’s, and have some valid disputes.  Time for action.  I just need to

stay away from the “Apply Now”. buttons.  It was nice to finally get an alert though.

 

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