I currently have NO credit card debt. My student loan default resulted from having to go into hiding from an abusive ex-husband. I straightened out the student loan which is no longer in default, but now I am trying to build up my credit.
My credit is 620. I would like to get a credit card to improve my credit. Any suggestions on a good company?
I defintely agree with a lot of what Christine has said, but there%26#039;s some more things that I%26#039;d like to add to it:
1. Open a checking account- While opening the account doesn%26#039;t directly build your credit, it does create a relationship between you and the bank by being an accountholder. Banks love to cater to their preferred customers that have accounts in great standing by offering loans and credit cards. Also, having a checking account not only helps manage your money, but it gives you the most powerful tool in building credit, a checking account to help pay your bills on time. Most banks and credit unions offer online banking with billpay that can make it easy for you to pay your bills on time, which is important in building credit.
2. Open a secured credit card- Secured credit cards are the easiest credit cards to get, mainly becuase a security deposit is placed upfront in order to establish a line of credit in the same amount. For example, if you deposit $250, your credit limit is $250, and so on. The deposit isn%26#039;t used to pay for any of the purchsases on the card unless, it was charged off and sent to collections, so you would have to repay it just like a regular card either in full or minimum monthly payments. The deposit is sometimes linked to a savings account, so it earns interest while you%26#039;re building credit, so the deposit isn%26#039;t sitting there. You can think of this as building credit with a savings account. The more you deposit, the higher your limit, which is good for your score because it creates a cushion between the total debt you owe and the credit you have available. Also, by continuing to add to the deposit, you%26#039;re also creating an emergency fund at the same time. A good way of using the card is by making small purchases ($20/month max) and paying on time every month while adding to the deposit. Usually after a year or so, the card either converts or upgrades to a regular card, and most importantly, the deposit is given back, which you can place in a savings account as an emergency fund.
3. Enroll with PRBC- PRBC is America%26#039;s Alternative Credit Bureau, providing a helpful service to the over 50 million people with limited or no credit history. If you pay your monthly bills on time, PRBC can help you build credit to qualify for a mortgage and better interest rates.On-time payments for the following bills are not reported to the traditional credit bureaus:
Rent
Cable
Phone
Daycare
Insurance
Electric
Natural Gas
Cell Phone
The only time your payments for these bills are reported to the other credit bureaus is if they%26#039;re missing or late.With PRBC, your on-time payments count. You build credit for paying your bills on time, even if you have no credit history. PRBC has teamed up with Fair Issac, the creators of the FICO score to introduce the FICO expansion score which helps people build credit. Here%26#039;s a link that explains more in detail:
http://www.fairisaac.com/fic/en/product-...
My credit is 620. I would like to get a credit card to improve my credit. Any suggestions on a good company?
Check out bankrate.com. If you are just getting a card to improve your credit...all you have to do is charge a small amount every month and pay it off ON TIME before the due date so you don%26#039;t accrue interest. I do this with groceries. I go use my card to buy them and then go home, sign into online banking and pay the bill. Think of your card as cash...only use it when you know you have the cash to pay it off right away.
My credit is 620. I would like to get a credit card to improve my credit. Any suggestions on a good company?
Capitol One
OR-
join a credit union near you. they consider all account holders to be shareholders in the org. so it is easier to build credit with them.
My credit is 620. I would like to get a credit card to improve my credit. Any suggestions on a good company?
Credit cards have become a necessity in society nowadays, you can%26#039;t go anywhere without having to use one. That%26#039;s why it%26#039;s imperative to maintain a good%26lt;!--credit rating and use your credit card smart. Lots of credit card related question been asked here and yours just another one. Check out this website and it may answer your question,
http://bestcreditcards.freehostia.com/
After all, without a credit card, it%26#039;s harder to live, and especially hard to shop online. Lots of credit card related questions are often being asked and yours is just another one. Credit cards are great to use as long as you control them--%26gt;They are useful, helpful, and make buying things a whole lot easier. But it%26#039;s important to remember that people go into thousands of dollars of debt because of them, and the same thing could happen to you
My credit is 620. I would like to get a credit card to improve my credit. Any suggestions on a good company?
Sorry to hear why your credit suffered, but I am glad to hear that you got away from the abusive relationship. Now to your question.. a 620 score is still considered poor credit so you may want to go to your local bank or credit union and ask them if they have a secured credit card that can help your build your credit back up. What you also want to do is write to all three credit bureaus and add a %26quot;Consumer Statement%26quot; and you want to state that you went into default only because of a divorce and now that the situation has been resolved your have no longer been late on any accounts. This gives you a cusion and lenders will be more apt to give you a loan then if you dont put a %26quot;consumer statement%26quot; (you can put whatever you want as your statement. I was just giving an example above.) Dont put that your whole story because that is no-ones business and you dont want the lenders to think that you are still a risk.. There are also plenty of credit builder credit cards online but they will charge you an arm and leg to start and each year not to mention the interest rates... but if you go that option, never pay late and make sure you keep your balance under 35% of the limit. (Bank of America has a great secured credit card and National City Bank too, First Premier Bank and Continential are credit builder credit cards)
Good luck.. Christine
My credit is 620. I would like to get a credit card to improve my credit. Any suggestions on a good company?
To raise credit score
To boost your score: Don%26#039;t charge anything for at least 60 days before applying for a loan
You should have a recent history of both installment or term (Car or house loans) and revolving credit.
To boost your score: Don%26#039;t close unused accounts when you transfer debt.
.To boost your score: Consider opening another credit-card account or two, or taking out a car loan or small bank loan.
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http://www.bestcreditrates.net
My credit is 620. I would like to get a credit card to improve my credit. Any suggestions on a good company?
It really depends on you as an individual. What card is right for one person may not be right for another.
I would go to a reliable site like http://www.rightcharge.org where you can compare several cards. Plus they make it easy to get your card and they have an online secure application process.
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