Age 23, 2CC so far, score 722, screenshot attached, working on getting the best score

For just about anything you want to get off your chest about credit cards.
9 posts
d0nn
Green Member
Green Member
 
Posts: 4
Joined: Mon Mar 24, 2014 10:20 pm
Location: Los Angeles

Age 23, 2CC so far, score 722, screenshot attached, working on getting the best score

Postby d0nn » Mon Mar 24, 2014 10:38 pm

Hi,

so I'm 23 years old (turning 24 in May) and have been working hard on getting an excellent score (for when it comes to wanting to get a mortgage, I know I will save a ton of money this way). I haven't had the need for an auto loan or student loan so far, so unfortunately I only have 2 credit cards with great history (as far as utilization and payments on time go).

1. Wells Fargo CC CashBack 1% card, I had it for 1 year 10 months.
--I just had a credit increase from $1300 to $2000 based on their automatic counter offer for credit increase. I did it so that I keep my utilization under 30%.
2. AMEX Blue Cash EveryDay (1% cashback, 2% gas, 3% groceries).
-- they just offered me an automatic increase to 8k from 5k, and gave me an automatic increase from 3k to 4k

I basically use my AMEX wherever I can and if they don't take AMEX I use my WF card. Then I pay the balances accordingly to my current situation and definitely to always stay under 30% utilization.

On my AMEX my 0% will expire in a month, so I am thinking of getting another card (because two is apparently a low amount of credit accounts and is pulling my score lower because of that). Any tips on what to apply for? I am thinking of something that will again give me at least a year of 0% APR so I can comfortably carry the <30% utilization.

I don't travel much, I like cashback and honestly if I didn't have to I wouldn't even get another CC, but considering my current situation and wanting to work on a great score (for the future like I said, when I'll need a mortgage or auto-loan) I feel like now is the time to get another one.

1. If anybody has any suggestions on what to do in my situation, I would highly appreciate the input

2. does it make sense to sell my car (that I paid for in cash) and rather get one through an auto-loan? or should I rather keep this car and not worry about the auto loan for some time. My car is worth about $5k now.


here is my CreditKarma screenshot:
Image


d0nn
Green Member
Green Member
 
Posts: 4
Joined: Mon Mar 24, 2014 10:20 pm
Location: Los Angeles

Postby d0nn » Wed Mar 26, 2014 5:32 pm

Also, is it true that what creditkarma reports is usually lower than the actual scores from other sources? My goal is to be and stay 750+.

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

Postby MemberSince99 » Wed Mar 26, 2014 6:19 pm

Don't get a car just for scoring purposes. Get a car when you need or want a car.


CK is really meaningless no lender uses it and it doesn't match what real lenders use. Take it with a big grain of salt.


I'm not sure I see anything wrong with what you are doing. If there is a card out there that really suits you, go for it. Otherwise, I'm not seeing an issue just keep doing what you are doing and pay off your balance ideally.

haikuginger
Centurion Member
Centurion Member
 
Posts: 129
Joined: Wed Feb 08, 2012 8:09 am
Location: Norman, OK

Postby haikuginger » Wed Mar 26, 2014 9:07 pm

I agree with MemberSince99 that you seem to be doing everything right. However, you do seem to have one misconception that I want to clarify. While it's good to allow a balance to report on your credit card statements, you don't need to carry that balance in order to get any benefit from it. Once the statement cuts, you can just pay it off right away with no issues.

Additionally, if you pay the full balance within a certain period (typically 21 days) of the statement closing, you won't pay interest, even if you don't have a 0% interest rate.

You may want to get a third card, but you don't need to get a 0% rate; if you manage your credit appropriately, you won't pay any interest, even when the 0% period on your current cards is over. I'd suggest that you look into a card like the Chase Freedom or Discover It that'll give you cashback in categories where your Amex is a bit slim.

Finally, don't buy a new car just so that you can get a loan on it. That's just a bad idea. If you're wanting a new car anyway, or if you feel that you need one for some reason, then sure, see about financing.

d0nn
Green Member
Green Member
 
Posts: 4
Joined: Mon Mar 24, 2014 10:20 pm
Location: Los Angeles

Postby d0nn » Thu Mar 27, 2014 10:05 pm

thank you so much for the responses, I really appreciate it!

What about getting a Personal Line of Credit in order to increase my score?

I work at a bank so I could probably get a decent one through that.

Thanks again for all the input

d0nn
Green Member
Green Member
 
Posts: 4
Joined: Mon Mar 24, 2014 10:20 pm
Location: Los Angeles

Postby d0nn » Sun Mar 30, 2014 5:22 pm

the reason I am asking for that is because I know that lenders like to see different kinds of credit. and all I have is two credit cards.

samhradh
Centurion Member
Centurion Member
 
Posts: 388
Joined: Thu Nov 21, 2013 1:13 pm
Location: United States

Postby samhradh » Mon Mar 31, 2014 7:46 am

Honestly, just give it time. Keep your good habits up and your score will increase. History of payment and a longer AAOA are helpful.

Taking out a loan with interest merely to increase your FICO is not something I would ever recommend. Aside from taking a loan out the only other way to diversify is to get a charge card.
Citi Forward ($10.1K), AmEx Blue Cash Everyday ($30K), Chase Freedom ($12.4K), Discover it ($5.5K), Barclaycard Arrival ($12.5K), L.L. Bean Visa ($5K). FICO 806 (TU), 812 (EQ), 806 (EX).

impaul4
Green Member
Green Member
 
Posts: 5
Joined: Mon Mar 31, 2014 10:57 am
Location: KS

Postby impaul4 » Mon Mar 31, 2014 11:05 am

My CK score is about 90 points off my real score I get from Discover and Barclay.

lahtidahti
 
Posts: 2
Joined: Fri Apr 25, 2014 7:55 pm
Location: North Carolina

Postby lahtidahti » Fri Apr 25, 2014 8:31 pm

I just kept getting a new card every 6 months or so.

Age 26 FICO 819 794 790
First Financial Bank: 13,300 | Barclay Arrival: 7,500 | Chase IHG: 18,000 | Chase Freedom: 17,000 | Chase Sapphire Preferred: 14,000 | Discover It: 6,500 | HHgregg: 3,500 ;) |



Return to “General Credit Card Talk”

Who is online

Users browsing this forum: No registered users and 2 guests