Archive:General

Topic   "Quick" ways to bump up your credit score a few points

MightySlacker
400 Trade Quintuple Gold Good Trader Gold Global Trader (10) Has Written 5 Reviews
18-Dec-2011(#1)
Any pointers?

I am looking into getting a smaller sized business loan ($3k to $5k) for my catering business next year. I could probably cover it with my credit cards, but I'd be maxing out most of my available credit (70-80%), and I normally like my cards to be for emergencies and necessities. Also, my APR rates kinda suck (20%ish).

I looked into a couple of places like Prosper and Lending Club, as I've heard I could get a better rate considering this will be a very short term loan - worst case it's paid off mid-October, best case mid-July depending on how our schedule shakes out. I got denied at prosper, as you need a minimum 640 credit score and I'm sitting at 625. So I'm trying to figure out ways to bump up the score, either to get a loan that way, or to maybe get some of my card rates down.

When pulling my report, I only have one derogatory mark, which was a $129 unpaid cable bill. The bill should have been put in my old roommates name after I moved out, and I had proof I moved as well as a new directv bill in my name at my new address during the same time frame. I told the collection company this, but they didn't really seem to care and offered to settle for around $60, so I figured it's be worth the hassle and agreed, and told them I'd take it if they took it off my credit report. So I paid and got the letter as agreed, but they are refusing to honor the letter until I pay them another $50, which is ridiculous. Not sure what I can do here.

All of my accounts are current, no late payments in years, about 10% cc utilization.

My average account age is low due to opening a few new accounts in September. Would closing one of my newer accounts have a bump up on my average account age? Also, if I was added as an authorized user on a family members account (say, my grandmothers 35 year old sears card) would that have an effect?

I have some recent inquiries that wont go away for awhile, did a few when moving and looking for furniture and appliances and whatnot.

Just looking for some general advice. There is a local place I do business with that currently has some great prices on things I am looking for, but I'm not sure the savings of buying now would outweigh 4-5 months of interest I could avoid (I wouldnt need this stuff to be put to use until may). In addition to trying to save a few bucks, I like the idea of sites like prosper where my money is actually going to people and not a credit card company. I;ve borrowed from John and Duallies here a few times and I like to think my interest helps them cover some of the deadbeats that don't pay them back. I could also probably get the loan from the racetrack, but we've had some issues dealing with money in the past and this might be a complication.

Dave
Mitsuru

(abandoned)
19-Dec-2011(#2)
I'm in a similar situation as you. I went to my local bank and talked to a loan officer. Since it's a small loan, (5k) the loan officer said I needed to have collateral, (my business partner's truck is going to cover that). They also expressed they need an itemized list of all the expenses.

One other possibility is to present your business plan to SBA person. They'll guide you and help you find a bank and back your idea up. In a lot of cases, banks are more likely to give you that kind of loan because they do not have as high a perecent of liability.
Miranda
GameTZ Subscriber Quadruple Gold Good Trader
Has Written 1 Review This user is on the site NOW (5 minutes ago)
* 19-Dec-2011(#3)
For a loan of that size wouldn't you be better off getting a personal loan?

Every neg Little Boy Butt-Hurt gives me makes me so joyous. I'm thrilled to know that I bother him that much. Merry Christmas  * grin *
RickHarrison
Gold Good Trader Has Written 1 Review
19-Dec-2011(#4)
Go to a "credit repair" company, they'll dispute any issues, get a higher score temporarily, get loan, profit.
whitefire
GameTZ Subscriber 300 Trade Quintuple Gold Good Trader
Secret Santa
19-Dec-2011(#5)
I think you should open up a new card with a good balance transfer rate, use your current cards for what you need, and then transfer the balances over to the new card. You should be able to find one with either 6 or 12 mos low apr on balance transfers.


remember what ol' Jack Burton always says at a time like that: "Have ya paid your dues, Jack?" "Yessir, the check is in the mail."
whitefire
GameTZ Subscriber 300 Trade Quintuple Gold Good Trader
Secret Santa
19-Dec-2011(#6)
Yeah go with the one that shadow recommended if you can get approved, just do some research first and find out what kind of credit you need so you don't get too many inquiries.


remember what ol' Jack Burton always says at a time like that: "Have ya paid your dues, Jack?" "Yessir, the check is in the mail."
MightySlacker
400 Trade Quintuple Gold Good Trader Gold Global Trader (10) Has Written 5 Reviews
19-Dec-2011(#7)
625 isn't that good, and it won't get me the limit I need. Getting more hard checks on my account won't help much either, though if I could manage to get one with a higher limit that'd be a good idea.

Dave
John
So rad! GameTZ Gold Subscriber GameTZ Full Moderator
350 Trade Quintuple Gold Good Trader Gold Global Trader (13)
Secret Santa
19-Dec-2011(#8)
What does your letter say exactly that you got from the collection agency after you paid the $60? Does it say that it is paid off?

I think your best bet is to go ahead and file disputes at the credit card agency(s) regarding that bill. Write them a letter explaining that you came to a mutual agreement to settle for a specific amount, paid that amount, and that debt is now considered paid in full. Include a copy of that letter if it says anything to that effect.

Also, you might contact the cable company itself and see what THEY show as the status of that debt. See if they were at least notified by the collection agency that you made a payment. If they are unaware, then send them a copy of the canceled check that the collection agency cashed along with a letter explaining that you paid the debt as agreed to the collection agency and it appears that they collection agency did not inform them -- and that you would like this resolved immediately along with a letter back from them confirm that the debt has been paid. (Then, if you get that, do the same thing suggested above -- dispute the charge with the cable company and include a copy of that new letter.)

Dispute it at ALL THREE agencies. Send copies to all three making it clear that you consider the debt paid in full along with any documentation you can provide.  * yes *

- John...
image
RickHarrison
Gold Good Trader Has Written 1 Review
19-Dec-2011(#9)
Soooooooo...basically what I said.
John
So rad! GameTZ Gold Subscriber GameTZ Full Moderator
350 Trade Quintuple Gold Good Trader Gold Global Trader (13)
Secret Santa
* 19-Dec-2011(#10)
No, not at all. You said to pay one of those lame "credit repair" companies. I said to do it himself. Big difference. Those "repair" companies tend to dispute/contest everything -- hoping that there is no followup from the entity that filed the bad mark against you. They tend to not care about whether or not you actually have any proof that you followed through. They are generally used by people that do NOT follow through and do not pay off their debts -- and just hope that they can get their score raised by contesting everything and a few don't get verified (and therefore come off the report). What I suggested was very, very different from that.

- John...
image
Huh
GameTZ Gold Subscriber Triple Gold Good Trader
Global Trader - willing to trade internationally
20-Dec-2011(#11)
I know this is bad according to the urban myth however, opening up new lines of credit (Say a Macy's card at the mall) with a opening balance, paying off the card, then closing the account bumps your score up a few points as it shows a "paid off closed account in good standing" on your credit report (these type of actions account for roughly 10% of your credit score). I did this at Express, Macy's and Best Buy. Paid them all within a month. I have a 795 credit score.

Many people advise against it but that's due to misinformation.

image
MightySlacker
400 Trade Quintuple Gold Good Trader Gold Global Trader (10) Has Written 5 Reviews
20-Dec-2011(#12)
John wrote:
> What does your letter say exactly that you got from the collection
> agency after you paid the $60? Does it say that it is paid off?
>
> I think your best bet is to go ahead and file disputes at the credit
> card agency(s) regarding that bill. Write them a letter explaining
> that you came to a mutual agreement to settle for a specific amount,
> paid that amount, and that debt is now considered paid in full. Include
> a copy of that letter if it says anything to that effect.
>
> Also, you might contact the cable company itself and see what THEY
> show as the status of that debt. See if they were at least notified
> by the collection agency that you made a payment. If they are unaware,
> then send them a copy of the canceled check that the collection agency
> cashed along with a letter explaining that you paid the debt as agreed
> to the collection agency and it appears that they collection agency
> did not inform them -- and that you would like this resolved immediately
> along with a letter back from them confirm that the debt has been
> paid. (Then, if you get that, do the same thing suggested above --
> dispute the charge with the cable company and include a copy of that
> new letter.)
>
> Dispute it at ALL THREE agencies. Send copies to all three making
> it clear that you consider the debt paid in full along with any documentation
> you can provide.  * yes *
>
>

We agreed that they would remove the account from my credit report after I paid. I paid, and now they want $50 for a "proof of paid collection account settlement letter" due to various nonsense they've had to deal with in the 1 and 1/2 years they've had the account. Funny thing is they've never contacted me once, had no idea what this was until I tracked them down when I saw it on my report.

Time Warner says they have nothing to do with it now.

I did send a copy of the original settlement letter and proof of payment to the credit bureaus, just wasnt sure how long it takes.

Dave
John
So rad! GameTZ Gold Subscriber GameTZ Full Moderator
350 Trade Quintuple Gold Good Trader Gold Global Trader (13)
Secret Santa
20-Dec-2011(#13)
 * yes *

- John...
image

Topic   "Quick" ways to bump up your credit score a few points