tina1rules wrote:I do have a few things in collection.
Derogs are always a major problem and you need to look into what you can do to address them as they will hold you back. You can certainly work on other aspects of building your credit but you will need to do something about the dergos if possible.
tina1rules wrote:I have tried to apply for credit cards of all kinds here and there the past several years. I never get approved EVER!
Already stated above but secured and/or credit unions with more lax approval criteria are the usual recommendations for someone in your situation.
tina1rules wrote:Secured credit cards confuse me. Do those really help? How do they work? To me I feel like I give them money. I buy something with said card then have to pay them back for that something with my own money again?
If you can't get approved for unsecured then they can help. You need something on your reports and you need to build positive history.
The security deposit is what helps with getting approval since if you default the creditor can apply your deposit against your debt. Yes, you do have to put down a deposit and you do have to pay for your charges as well but if you can't get approved for an unsecured card then you really have no other choice. If you want to avoid this in future then keep your credit squeaky clean and avoid derogs at all cost while building positive payment history and letting your accounts age as well as eventually building up some diversity in types of credit and gradually adding account over time.
tina1rules wrote:Is it possible in a years time to get my score up to the 700 range?
It might be possible for you. It might not. You need to enter this with the understanding that rebuilding takes time and it's a long, slow process. If you're expecting quick results (and a year is a very short span of time in the context of credit) then you're probably just seting yourself up for disappointment.