Sunday, November 14, 2010

Credit question-- confuesed?

My husband had NO credit and was approved for an $800 limit circuit city card. He is military-- would that affect their decision? My mother and father were also (eventually) $22,000 in credit card debt. Yet they STILL got approved for a $1000 limit JC Penny and $1000 Target cards. I have NO credit and cannot get approved for ANYTHING! I have applied for countless bad credit no credit credit cards, loans, and store cards. NO ONE approves me! How will I GET credit?? We want to buy a house within 2 years, how will this look if I have NO credit!? My mom said to stop applying because every time I do it shows up leaving my credit report full of ';hickeys'; I'm just so frustrated that everyone I know with good, okay, and BAD HORRIBLE credit can get approved and I can't! What do I do and how is this possible!?Credit question-- confuesed?
I definitely agree with your mother about excessive applying. Each time that you apply for credit, whether you're approved or not, it drops your score around 3-5 points each time. Another thing before I continue, I'm going to break down what factors make up your score:

1. Payment history- 35%

2. Total debt owed vs. available credit- 30%

3. Length of time establishing credit- 15%

4. Types of credit established- 10%

5. Inquiries and new accounts- 10%

Having said that, hopefully this will give you better idea of what makes up your score while I continue on.

There are a few things you can do that can help in your quest for establishing credit. The first thing you should do is open and maintain a checking and possibly even a savings account at a local bank. This is helpful in two ways:

When you have active bank accounts in good standing, you are proving that you can manage money. While bank accounts aren’t typically a part of your credit score, lenders can use this information to determine whether or not you are a credit risk.

Establishing a relationship with a bank will improve your chances in obtaining a loan or credit card through them. If you already do business with a bank, they should be the first place to look. They know you and they value your business. This existing relationship should carry some weight when seeking credit.

Also, having a checking and savings account with a bank can help you open a secured credit card if the bank offers them.

A little more about secured cards.

It would be nice if you could make it through life without ever having to use a credit card. The fact is that many businesses require credit cards, even if you plan to use cash for the purchase. Hotels, car rentals, and airlines are just a few of the places that credit cards are required.

If you’ve never had credit or have a poor credit history, it might be difficult to get a regular credit card. In these situations, a secured credit card might be the only way to improve your credit standing.

Secured credit cards are viable options, but before you get one, there are some questions you should have answered.

What are the costs?

Like many regular credit cards, secured credit cards have costs. Some of the most common costs include application fees, processing fees, and annual fees. Find out the fees for the secured credit card before applying. Stay away from cards with high fees that use most of your security deposit.

How much is the deposit?

Secured credit cards are “secured” with a deposit that's held in an account and used when you default on your payments. Many secured credit cards have minimum and maximum deposit limits. Some secured cards place deposits in an interest-bearing account. Find out if your deposit will earn interest and if so, how much.

In what situations is your deposit used?

Some creditors only use the deposit in cases of severe delinquency, e.g. 5-6 months past due. Others use it for a single late payment. Knowing the situations that the creditor will draw from your deposit can help you be more disciplined, especially if you’re concerned about getting your full deposit back.

Are there eligibility requirements?

Income and age restrictions might apply to some secured credit cards. Even though you’re willing to put down a deposit for a credit limit, card companies still have requirements in place. Many secured credit card lenders require borrowers to have a checking or savings account with their bank before extending secured credit.

What will your credit limit be?

Your credit limit isn’t always the exact amount as your deposit. It can be some percentage of your deposit, making your credit limit less than the deposit.

What is the APR?

The APR, or annual percentage rate, is the interest rate applied to balances that you carry beyond the grace period. The higher the interest rate, the higher your finance charge will be when you carry a balance.

Are timely payments reported to credit bureaus?

If you want the credit card to help establish or re-establish credit, your payments must be reported to the major credit bureaus - Equifax, Experian, and TransUnion. Secured credit cards that don’t report to bureaus won’t help your credit rating. Make sure the card isn’t reported in a way that reveals it as being a secured card to prevent bias from future lenders.

Can the card be converted to an unsecured credit card?

The best secured credit cards allow you to convert to an unsecured after a period of timely payments. Unsecured cards often have lower fees (or no fees at all), a lower interest rate, and fewer restrictions.

taken from:…

So in closing, don't apply for any more credit cards unless it's a secured card. I've posted links to several companies

Hopefully this answer will work for you,

good luck!Credit question-- confuesed?
Have seen lots of people asking info on bad credits. Well, if you need to get your problem solved on%26lt;!--bad credit, you must know to how to confront it. Of course, Even if you have bad credit, you can get loans. Many factors can contribute to someone getting a ';bad credit'; rating, among these are non-payment of an account or late payments over an extended length of time. You may find a bad credit loan here,

You may find want you want. You can easily be labelled as a bad credit risk by financial companies. This can make it more difficult to--%26gt;arrange loans or other finance, and usually means you will pay more interest on any loan you take out.
I would suggest that you call the three credit reporting

agencies and get a copy of your credit reports and

see what is on them.

other if you don't work, you won't get credit, and if you

do work, and you are trying to apply for everything

under the sun in hopes of getting ONE of them

doesn't look good on your credit report either.
You actually have negative credit because of all the declined inquiries on your record. Your husband probably didn't have any of those, so he was approved with no credit.

Research getting a secured credit card, in which you will have to put a deposit such as $300 down for a $300 limit. Use it and pay it off. This will establish good credit for you and shortly thereafter you will be receiving offers for unsecured credit. Never make a late payment or you will be back in the same boat again. Also, try to limit credit inquiries to only those that you really need. Good luck!
if i read your question correctly you have no credit history.have you always paid cash?

if that's the case and you have some collateral go to a bank and borrow a few hundred or whatever you can get and put it in a savings account.

make the payments on time until paid will cost you a few dollars for interest but you will established credit.

just,don't use the money for anything but paying back the loan.
i feel your frustration. try apply for apply from below resources.

but make sure check the term carefully. once you got one instead of buying thing such as groceries or gas or pay the bill with cash use your card. pay the min monthly fee. every time your paid on time positive report will be sent to credit bureau. and this will build your credit rating. after 1 year if you have accumulated some interest transfer the balance to a new card with 0% INTRO APR . make sure pay on time otherwise the 0% INTR0 APR is cancel. transfer again to a new card before the INTRO period end. while transfer check card that has low regular APR too. the higher your credit rating the lower rate you can get. so keep always in mind to pay on time because that build credit every time. and ask your mother and father to take advantage of the 0% INTRO APR too if they still paying the debt. hope that helps.

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