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My credit score is 633, and I need some advice on rebuilding my score?

Discuss the role of Credit Reference Agencies

My credit score is 633, and I need some advice on rebuilding my score?

Postby arye » Fri Jan 27, 2012 5:33 pm

I got my first credit card when I was 19. And, as it turns out, I was not particularly responsible with it, and I had to close the account and pay off the balance in a strict amount of time.

It's been just over a year. My finances are under better control, and I honestly believe I can be responsible about it. I only work a part-time job, but have been looking for full-time employment. And some places have wanted a credit check. I, personally, was never able to find my credit report - I checked EVERY bureau, and nothing came up.

I applied for a credit card again recently, and I was denied because of the past delinquency. I don't need one, but I recognize the value of building my credit score back for my future.
arye
 
Posts: 934
Joined: Tue Mar 22, 2011 9:50 pm

My credit score is 633, and I need some advice on rebuilding my score?

Postby honiahaka » Fri Jan 27, 2012 5:40 pm

Try Orchard Bank, First Premier, H.S.B.C. and Capital One they all offer cards for people with damaged or limited credit.

Use them for every day things and always pay them off in full before the due date.

Good luck.
honiahaka
 
Posts: 838
Joined: Mon Mar 21, 2011 5:32 am

My credit score is 633, and I need some advice on rebuilding my score?

Postby jianguo » Fri Jan 27, 2012 5:42 pm

Like Rome credit too can’t be built in a day. Working in equipment leasing often I review and decline applications based on credit history from years past.

Your 633 credit score is not terrible, but it also depends one who it was scored that way (in this case a past credit card). Creditors regardless of the industry like to see how an individual borrower pays on similar accounts. So when you applied for another credit card they checked your prior payment history for the similar account which was poor. If you want a higher chance of approval you can either get a secured credit card ($500 should be sufficient) where you get the bank cash to hold in the amount of your credit line and then make sure to spend and pay in a intelligent manner. This will build your credit card comparable borrowing history.

The second alternative is creating other type of credit history by building other types of borrowing accounts. Financing a vehicle, if you are a small business owner then financing or leasing equipment, or any number of alternative borrowing accounts will start to build credit history as well. You will pay a higher rate in the beginning because you are a higher risk borrower, but these are the penalties we pay for sins from our youth. I linked a couple of articles and a site that explains credit from the perspective of commercial equipment leasing, but you can ignore the business aspects and read on the personal criteria if you have more questions.
jianguo
 
Posts: 845
Joined: Mon Mar 21, 2011 6:04 am

My credit score is 633, and I need some advice on rebuilding my score?

Postby blayr » Fri Jan 27, 2012 5:51 pm

Like Rome credit too can’t be built in a day. Working in equipment leasing often I review and decline applications based on credit history from years past.

Your 633 credit score is not terrible, but it also depends one who it was scored that way (in this case a past credit card). Creditors regardless of the industry like to see how an individual borrower pays on similar accounts. So when you applied for another credit card they checked your prior payment history for the similar account which was poor. If you want a higher chance of approval you can either get a secured credit card ($500 should be sufficient) where you get the bank cash to hold in the amount of your credit line and then make sure to spend and pay in a intelligent manner. This will build your credit card comparable borrowing history.

The second alternative is creating other type of credit history by building other types of borrowing accounts. Financing a vehicle, if you are a small business owner then financing or leasing equipment, or any number of alternative borrowing accounts will start to build credit history as well. You will pay a higher rate in the beginning because you are a higher risk borrower, but these are the penalties we pay for sins from our youth. I linked a couple of articles and a site that explains credit from the perspective of commercial equipment leasing, but you can ignore the business aspects and read on the personal criteria if you have more questions.
You should be able to view you credit reports.
Information on that credit card will be listed.
Unless it has been more than 7 1/2 years.
Try again at Annual Credit Report.com https://www.annualcreditreport.com/cra/index.jsp
All 3 are free once a year.

Apply for a secured card.
With this card, you put down anywhere from $200 to $500 and get a card to use against those funds. Use it wisely. Replace the funds in full each month. No games. Use it for something you need like gas, and pay in full when you get the statement.
Citi, Orchard, Discover all have good secured cards.
For example google: Orchard Bank Secured Card.
It will have an annual fee of about $40, but worth it to rebuild credit.
It will take time though. It won't be an instant fix.
I can take 1 year worth of payments (minimum) for your credit to start improving slightly.
blayr
 
Posts: 912
Joined: Mon Mar 21, 2011 8:50 am


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