Need some advice improving my score.

For just about anything you want to get off your chest about credit cards.
10 posts
Vermonster
Centurion Member
Centurion Member
 
Posts: 725
Joined: Mon Oct 01, 2012 11:09 pm
Location: NJ

Need some advice improving my score.

Postby Vermonster » Thu Apr 23, 2015 1:02 pm

So I was originally denied a CLI due to lack of revolving accounts and high util. I was also given an EX FICO of 650. After reconning we were granted the increase, but there are still issues I'd like to clean up.

First on my list is a few late payments that shouldn't be there. 1 recent was a discover student loan and 2 older ones are VSAC student Loans. The lates came at a time that my loans should have been in deferment. Discover is already removing the late for me. VSAC is being a bit of a pain about it. I called first and was told nothing would change. So I sent a GW letter but haven't heard back.

Util is also high, but with the CLI it will look better. We had some ($7k) unexpected car repair bills in the last 2 months which drove it up. Should be down from 93% to 48% this month, and hopefully under 30% after.

I also have a new CSP in my name. I don't think that is reporting yet though. Payment is due by 6/1.

Additional info:
AoAA is 4y8m
Recent inqs: 1 in Jan, plus whatever Chase does from the CSP and CLI (probably 2 new ones).
Income $90k



In the next 5 years my wife and I would like to buy a house. So I would like to start working back towards a ~740 to give us the best chance at a decent rate. I would also like to diversify my credit a little. The goal being an AMEX at one point. I'm also thinking of trying to go for a card that will give a free FICO and 0% so I can put a few summer classes on it.

Thanks for reading, I'm just looking for some advice.
Chase Freedom $9k~~Chase Sapphire Preferred $6.5k~~Amex Blue Cash Preferred $12.4k~~Citi Double Cash $4.7k


MemberSince99
Centurion Member
Centurion Member
 
Posts: 4913
Joined: Sun May 20, 2012 4:35 pm
Location: WI

Re: Nedd some advice improving my score.

Postby MemberSince99 » Fri Apr 24, 2015 5:31 am

Just keep doing what you are doing. It's going to be a process not a step. Pay down the debt on time until it's paid in full, handle your credit well, watch your score improve. I'm not really sure there is a magic ticket here. If you can get the baddie removed, all the better if not it will eventually go away (assuming they don't illegally re-age it of course).

Just stay the course.

JamesMS
Centurion Member
Centurion Member
 
Posts: 151
Joined: Mon Apr 13, 2015 6:17 pm
Location: Fort Worth, TX

Re: Nedd some advice improving my score.

Postby JamesMS » Fri Apr 24, 2015 8:50 am

There is no quick way for that to happen, it does take time. The biggest thing you need to work on right now is paying down your debt. If you are correct, and your utilization is about to jump down, you should see a descent jump in your score. Your goal should be getting that down to under 10% when you go to apply for a mortgage. While this is not the only thing that needs to happen, based on what you stated, this will be a big factor in getting your score up. The good thing is, you stated that it would be within the next 5 years, do you have a more precise timeframe in mind?

If discover removes the late payment from your reports, that will also help. Visa on the other hand, keep trying to get it removed. If that gets removed as well, then you should see another significant jump in your score.

Your AAoA is good but where that goes will depend on some other factors. How many current trade lines do you have? How much will adding the CSP reduce it. With this, AAoA does play a role in your score, it is only a small factor, and will go back up by the time you are looking for a house.
Main Cards:
Amex BCE
Amex Everyday
Bank of America Cash Rewards
Chase Freedom
Capital One Quicksilver
Citi Thank You Preferred

Spark Cash Back (Business), Amex Plum (Business)

Vermonster
Centurion Member
Centurion Member
 
Posts: 725
Joined: Mon Oct 01, 2012 11:09 pm
Location: NJ

Re: Nedd some advice improving my score.

Postby Vermonster » Fri Apr 24, 2015 9:23 am

JamesMS wrote:The good thing is, you stated that it would be within the next 5 years, do you have a more precise timeframe in mind?


Not really. I'm finishing my degree this fall (after 9 years!) and my wife and I have no plans to live in NJ of our own volition. We are most likely moving back to Vermont where I have a ton of connections in the education world.

I know this all takes time, patience, and planning, that is why I want to start now. CK updated again today and it is not showing any hard pulls on TU or EQ. I think Chase pulled EX but I can't be sure. It does show the CLI and the decreased util. But my CSP is not showing yet, so util is still higher than I would like. Discover is still showing the late but I was told 7-10 days on Monday so I can wait. VSAC basically told me to pound sand. I have 14 other student loans that didn't have a problem with my deferment, but VSAC is being a pain about it.

My scores on CK have jumped from 614 a month ago to 703. I hope that goes up a bit more.

Right now I think I need to branch out my credit. I have 2 car loans and 2 credit cards through Chase. I'm feeling a little like I have all my eggs in one basket. I'm just not sure what I qualify for. Do Mortgage lenders want to see more diversity than what I have?
Chase Freedom $9k~~Chase Sapphire Preferred $6.5k~~Amex Blue Cash Preferred $12.4k~~Citi Double Cash $4.7k

takeshi
Centurion Member
Centurion Member
 
Posts: 1733
Joined: Wed Jun 05, 2013 3:12 pm
Location: US

Re: Need some advice improving my score.

Postby takeshi » Mon Apr 27, 2015 9:05 am

I'd agree that it sounds like you're doing what you need to do. Addressing dergos and reducing revolving utilization (especially if you're starting out with a maxed card) both have major impacts. Keep in mind that 30% is a suggested max. You want to aim for paying in full and lower is generally better as long as you're not at all 0 balances reporting. Ideal is going to be less than 10%.

jcarte29
Centurion Member
Centurion Member
 
Posts: 183
Joined: Fri Jan 30, 2015 1:29 pm
Location: Charlotte, NC

Re: Need some advice improving my score.

Postby jcarte29 » Mon Apr 27, 2015 10:01 am

takeshi wrote:...Keep in mind that 30% is a suggested max. You want to aim for paying in full and lower is generally better as long as you're not at all 0 balances reporting. Ideal is going to be less than 10%.


I have a follow up question to "as long as you're not at all 0..." So it's better to actually have a few of your cards reporting a balance?
Portfolio:
CITI Diamond Preferred $7,000 [06-16]
AMEX Platinum (Charge) [11-16]
AMEX EDay $12,000 [11-14]
Lowes Store $15,000 [4-14]
CSP VISA $6,000 [7-14]
GM MC $9,000 [9-14]
AAdvantage Red MC $10,350 [10-14]
Discover IT $4,500 [03-15]
Chase Marriott VISA $5,000 [04-15]
Cap One Quick $2,600[4-10]

JamesMS
Centurion Member
Centurion Member
 
Posts: 151
Joined: Mon Apr 13, 2015 6:17 pm
Location: Fort Worth, TX

Re: Nedd some advice improving my score.

Postby JamesMS » Mon Apr 27, 2015 1:18 pm

Vermonster wrote:
JamesMS wrote:The good thing is, you stated that it would be within the next 5 years, do you have a more precise timeframe in mind?


Not really. I'm finishing my degree this fall (after 9 years!) and my wife and I have no plans to live in NJ of our own volition. We are most likely moving back to Vermont where I have a ton of connections in the education world.

I know this all takes time, patience, and planning, that is why I want to start now. CK updated again today and it is not showing any hard pulls on TU or EQ. I think Chase pulled EX but I can't be sure. It does show the CLI and the decreased util. But my CSP is not showing yet, so util is still higher than I would like. Discover is still showing the late but I was told 7-10 days on Monday so I can wait. VSAC basically told me to pound sand. I have 14 other student loans that didn't have a problem with my deferment, but VSAC is being a pain about it.

My scores on CK have jumped from 614 a month ago to 703. I hope that goes up a bit more.

Right now I think I need to branch out my credit. I have 2 car loans and 2 credit cards through Chase. I'm feeling a little like I have all my eggs in one basket. I'm just not sure what I qualify for. Do Mortgage lenders want to see more diversity than what I have?


Yes, right now it sounds like you are doing everything that you can. One caution though, "Do not go off of CK score". While the information that they show on your credit report is correct, their score most definitely is not. They use the Vantage Scoring model, while the vast majority of lenders use FICO.

Once your CSP shows up and your utilization goes down, your score will start to jump. Just keep paying down that debt. I have never dealt with student loans so I do not know what to tell you about VSAC.
Main Cards:
Amex BCE
Amex Everyday
Bank of America Cash Rewards
Chase Freedom
Capital One Quicksilver
Citi Thank You Preferred

Spark Cash Back (Business), Amex Plum (Business)

amex007
Centurion Member
Centurion Member
 
Posts: 131
Joined: Wed Apr 01, 2015 3:31 pm
Location: NY

Re: Nedd some advice improving my score.

Postby amex007 » Mon Apr 27, 2015 4:01 pm

MemberSince99 wrote:Just keep doing what you are doing. It's going to be a process not a step. Pay down the debt on time until it's paid in full, handle your credit well, watch your score improve. I'm not really sure there is a magic ticket here. If you can get the baddie removed, all the better if not it will eventually go away (assuming they don't illegally re-age it of course).

Just stay the course.


Just curious, how do the collection agencies illegally re-age a debt?
This has happened to me before but I didnt understand how they were able to do it...
Amex Gold NPSL | Amex ED 28500 | Barclaycard Arrival 17500 | Hyatt visa signature 5000
sockdrawer-- GM 4000 | Unionplus 2200
EX 795 EQ 786 TU 790

amex007
Centurion Member
Centurion Member
 
Posts: 131
Joined: Wed Apr 01, 2015 3:31 pm
Location: NY

Re: Nedd some advice improving my score.

Postby amex007 » Mon Apr 27, 2015 4:11 pm

Vermonster wrote:
JamesMS wrote:Right now I think I need to branch out my credit. I have 2 car loans and 2 credit cards through Chase. I'm feeling a little like I have all my eggs in one basket. I'm just not sure what I qualify for. Do Mortgage lenders want to see more diversity than what I have?


2 car loans and couple cc's are good enough for type of credit. No need to take on any more debt than you need to just to try to diversify your accounts.
If you work on paying down the util and maybe getting rid of your derogs (or they just fall off), you should see the increase in your score.
Amex Gold NPSL | Amex ED 28500 | Barclaycard Arrival 17500 | Hyatt visa signature 5000
sockdrawer-- GM 4000 | Unionplus 2200
EX 795 EQ 786 TU 790

Vermonster
Centurion Member
Centurion Member
 
Posts: 725
Joined: Mon Oct 01, 2012 11:09 pm
Location: NJ

Re: Need some advice improving my score.

Postby Vermonster » Tue Apr 28, 2015 9:12 am

Thanks for the advice everyone. I guess I was just over thinking things, and spending too much time on MyFico. Those guys app for anything. I saw someone with cards totaling over $1200 in AF! Tends to give you a twisted view on reality.

Discover sent me a letter profusely apologizing for the incorrectly reported information and promising me it will be corrected immediately. A+ customer service.

VSAC basically told me that my deferment was not accepted until mid February (policy about waiting until after add/drop). and so the lates were reported correctly. I was accepted as a student on December 15 and had all financial aid sorted out the day after. All other student loans correctly showed deferment almost immediately. I was told by the school that letters would be sent to all lenders and my deferment status would be take care of. For 12/14 loans it was.

So I have tried the GW letter, and a phone call, and they don't want to budge. I'm wondering if it is a good idea to dispute the lates through each CB. I don't have much evidence now, but I could gather a lot of it up quickly. How well would the argument "other lenders backdated my deferment and removed lates," go over with CBs?
Chase Freedom $9k~~Chase Sapphire Preferred $6.5k~~Amex Blue Cash Preferred $12.4k~~Citi Double Cash $4.7k



Return to “General Credit Card Talk”

Who is online

Users browsing this forum: No registered users and 2 guests