Ten years later after paying for everything with debit, I took the advise of a friend and started to try to build my credit back up. He told me to start opening secured lines, read blogs/forums, and monitor my credit. I started off in this order.
- Check annual credit report. No derogatory marks on my credit report!
- Bought 5yr $2000 CD and pull a loan against it from a credit union. I get 1.5% from the CD and the 5 yr Loan is 3.5 (terms are two percent above CD rate). This is the cheapest way as most secured card have annual fees and high interest rates. Payments come out to 36 a month.
- My first offer was a CapOne card with $29 annual fee and 1% cashback. Approved for 300 CL. I know Yuck. I pay it off weekly because the CL is so low. After 6 months auto increase to 500. Still yuck but I have a thin credit file.
- After reading the ccforum got the guts to apply for AMEX Gold and was approved! Spent 300 in one day and Got the dreaded Financial Review Email. After about a week was limited to 5400!
- This month I got the courage to apply for Chase Freedom and was approved for 2000k! This was of course after calling the recon line on the site. They didn't even mention the charge off from ten years earlier. Which is why I'm so excited to get this card.
- AMEX premier rewards and BCP.
- Chase Mileage Explorer and Sapphire.