Three years ago I had no credit history at all. To build a credit, I got one of these secured CCs and I've had it for about 17 months .. excellent payment history (never late). Then about 10 months after getting this one I applied for Credit One Bank CC and was approved for a $300 card. That was my first unsecured CC.
In September of 2011 I got a car loan from Wells Fargo Dealer Services.
Unfortunately, I quit my job because of school (EE! ) which made me be late to one payment then I paid off the loan completely with help of my parents.
In addition to this, I have an installment loan from a non-profit agency that is reporting some late payments. Actually six to be precise over the course of 3 years. Some of them are recent.. like in 2012. But the late payments were not something I could control, I've moved and forgot to notify that agency of the change in address. So for several month they were sending the statements to the wrong address. I disputed the late payments and that is still in process.
Recently, I've decided to establish a credit with the big players. So I applied and got approved for the following cards:
- Chase Freedom $500 ,
- Bank of America Platinum Plus $800 ,
- AMEX Blue Cash Everyday $1000 ,
- AMEX Green
Finally, I applied for the student credit card with Discover and my application got instantly denied. The reasons they mentioned did not make any sense to me. They mentioned that my history is too short ! And my loan balances are too high .. and also my CCs balances are too high.
I puled my TransU report and didn't find any of that .. my balances are quite small ... both below %40 .. my loan balance is $159 [original $1100].
I called and they told me about the late payments. Now .. is there a way to convince them to look at the positive part of the history and give me chance to prove myself? I mean just by looking at that period .. I paid a $10,000 loan completely so why would I damage my credit by defaulting another account ? No sense!