- Centurion Member
- Posts: 204
- Joined: Tue Oct 30, 2012 10:25 am
- Location: TX
Married for 12 years. Left my career to be a stay-at-home-mom for the last three.
When we got married, DH had been independent for a few years already, and had a ton of credit cards. I just piggybacked onto his and thought nothing of it. Currently, we're jointly down to two cards-- $20k Chase Freedom, $20k BofA WorldPoints. He canceled all his other cards long ago. We last ran our credit history in October 2011, and each of us was north of 800 according to all three agencies.
We have some rental properties in an LLC under my name (LLC passed its 3-year mark), and I'm about to do some renovations, where I'll probably be spending about $10k between now and the end of the year at different hardware/home improvement stores. (Paint, flooring, appliances, etc.) I noticed the 5% discount you'd get if you applied for a store card (GECRB), and applied, with myself as the guarantor, although they said it was okay to list our joint household income. However, I got rejected for insufficient credit history.
I tried a few different things-- checked with my military credit union (only did loans, no cards to help build credit history)-- and ultimately signed up for a Capital One Cash Rewards card. Got a $2k limit there, which was nice. Will arrive in the mail this week.
So that's my back history-- how do I need to act financially for the next year or two as I build my credit history? Is there anything I'm about to do that will jeopardize my credit score? With the joint cards, we generally keep spending at about 10%, and we pay it off in full every month. With the business, I always used the debit card, but I'm wanting to work my way up to getting some sort of return on the $$ we spend. And then there's my personal credit history that I want to establish-- if something ever happens to DH, I want to be in a good position for myself and the kids. And, of course, it's all complicated by the fact that I don't exactly have an independent income of note at this point. (Thank you, CARD act.)
Do I need to suck it up, continue to use my debit card for the bulk of my purchases, not worry about reward points or cashback, and just use my new CapitalOne card for the occasional bucket of paint?
Is it okay if I, say, spend $1200-1500 on a $2k card for two or three months, pay it in full each month, and then ease off my spending after my renovations are complete?
I have no plans on applying for any new cards anytime soon... I'm happy to keep making payments on what I have for at least the next 12 months. No plans for loans, mortgages, new phones, or anything that would require a credit check.
Any advice is appreciated.