Do people really not understand credit anymore?

[MattB]

Dave Ramsey is for the 50% or so of the people out there that finance their new car, and you ask them "What was the interest rate?", and "how many years/months did you finance it for?", with the answer to both questions being "I don't know.". You think I'm joking, but I have several friends/family members/acquaintances/etc with the same answer to those questions. Mind-boggling!!

[Forever_frost]

I didn't know anything about credit and wasn't taught it until I went to work for Capital One. That was a HUGE eye opening

[Sean88gt]

People have no clue. Credit has become the go to to buy shit you can't afford, instead of being used as a tool to get an asset that will appreciate/help a business to grow. People enter into a place where they are financed to the hilt and don't finance something and pay it off before entering into another loan.

[krazy kris]

I am a credit newbie and have made a few mistakes but I am working on them. I paid off my truck, paid off some old collections, and got a secured credit card. While the secured credit card was boosting my credit score quite a bit It has kinda plateaued, only going up by a couple of points each month. What is the next step to really boosting credit?

[quikag]

My wife and I buy most everything on a few different cards, but we pay them off completely every month. Keeps good credit history while paying no interest and getting rewards. I got $2500 off my wife's RX350 a few months ago with points she accumulated on her Lexus pursuits Visa. I've gotten thousands off several GM vehicle purchases with my GM mastercard. Another card pays cash back. It's pretty nice.

[Lason]

I am a credit newbie and have made a few mistakes but I am working on them. I paid off my truck, paid off some old collections, and got a secured credit card. While the secured credit card was boosting my credit score quite a bit It has kinda plateaued, only going up by a couple of points each month. What is the next step to really boosting credit?

Well the problem is you paid off the old debts. I would never pay a collector unless it was in writing that the payment would be accepted in return for them to completely delete the account from your reports. Not mark them as paid but completely deleted. Anytime you send anyone money you automatically reset that 7 year clock that it will stay on your credit report.

I dont know how much it would really help you but you could try getting a 12 month CD from a bank that does CD secured loans and reports to all three credit agencies. Basically you put down like $1000 on a CD which you cant touch for how ever long the CD is for then turn around and get a loan using that CD as collateral. When they give you the loan you put it all into your account at their bank and let them auto withdraw the monthly payments and they will report it a loan paid on time and at the end of the CD the loan will be paid off and you will get the CD money back. Only money your out is the interest you pay on the loan. That tactic is more aimed at people with no credit though.

Another thing that may be holding you down is your average age of accounts. Your credit score takes into account, accounts that are old and still in good standing. Thats why I told Rafa earlier that old credit card is helping him out. Lenders like seeing you have a credit card with $5000 on it that has been in your wallet for 10 years and has a $0 ballance on it. Only way to get that is keep accounts open and keep them in good standing.

[krazy kris]

Well the problem is you paid off the old debts. I would never pay a collector unless it was in writing that the payment would be accepted in return for them to completely delete the account from your reports. Not mark them as paid but completely deleted. Anytime you send anyone money you automatically reset that 7 year clock that it will stay on your credit report.

I dont know how much it would really help you but you could try getting a 12 month CD from a bank that does CD secured loans and reports to all three credit agencies. Basically you put down like $1000 on a CD which you cant touch for how ever long the CD is for then turn around and get a loan using that CD as collateral. When they give you the loan you put it all into your account at their bank and let them auto withdraw the monthly payments and they will report it a loan paid on time and at the end of the CD the loan will be paid off and you will get the CD money back. Only money your out is the interest you pay on the loan. That tactic is more aimed at people with no credit though.

Another thing that may be holding you down is your average age of accounts. Your credit score takes into account, accounts that are old and still in good standing. Thats why I told Rafa earlier that old credit card is helping him out. Lenders like seeing you have a credit card with $5000 on it that has been in your wallet for 10 years and has a $0 ballance on it. Only way to get that is keep accounts open and keep them in good standing.

that's what I did I got the pay for delete

[Alex]

LMAO we all know this is a lie. You don't even have a job.

Well your wife did pay me but whatever

[krazy kris]

Well your wife did pay me but whatever

10$?

[Lason]

that's what I did I got the pay for delete

Awsome, that should have really helped. Did they actually delete the accounts off your credit report?

[krazy kris]

2 did and 1 didn't until I called them

[Lason]

Thats cool, I have one bad account on my credit Im trying to get paid for delete but they are being stubborn as hell.

In your case I would get more credit cards. Try for a unsecured. Orchard bank is really good for people trying to get their credit rolling again.

[krazy kris]

Thats cool, I have one bad account on my credit Im trying to get paid for delete but they are being stubborn as hell.

In your case I would get more credit cards. Try for a unsecured. Orchard bank is really good for people trying to get their credit rolling again.

I just made sure I had money on hand the first time I contacted them and told them I would pay the settled amount as soon as I got the letter for the pay for delete. Thanks for the Orchard bank info I will have to look into that.

[8mpg]

that's what I did I got the pay for delete

www.creditboards.com - start reading

[Rafa]

www.creditboards.com - start reading

x100 to the infinity power....lmao


When I started to read into credit years ago, that is the site I read for a long time. I even used sample letters they had which completely worked for me. I still have them and the receipts from P.O. when I sent them certified. That's another tip, when sending letters, have them sent certified and keep the receipt.