how to rebuild your financial life

Delw · Apr 20, 2008

ok I just kicked some serious ass after 5.5 years, hump hump . now I have to try to get back up to were I was before 911 which includes rebuilding my credit to over a 700 number. I am assuming thats is a good number cause I am clueless on this stuff.
were do I start and how do I do it?
I have paid cash for everything for the last 5.5 years so I have no credit, the one acount that I do have is a dell account and the dont report from which I just found out.

what credit score do you get good interest rates at for large items like cnc machine 100+ k each? house loans? boat loan?
Got any idea's?

Larry Landgren · Apr 20, 2008

Seems like 700 is the magical score for great interest rates.

In order to get above 700 you will need some revolving accounts ( credit cards) with some nice limits and installment accounts ( loans) . Another thing your score is determined off of is the amount of history on your accounts. You need 2 -3 years of solid history to help boost your scores.

Del take a look at this cedit board. There is a ton of good info there and you can usually find any answer you want there
http://www.debt-consolidation-credit-repair-service.com/forums/index.php

Moosie · Apr 20, 2008

Rebuilding good credit takes some time Del. There is no secret hard fast rule to it but the 3 basics I tell people are :

1.Pay your bills on time
2.Don't use all the credit given to you
3.Keep long time Credit

#1 is easy. Pay the bils on time. Even if you pay in full but pay late it hurts your credit. If you are goni gto pay off the bill each month but know it's close to might being late, send in the Minimum payment early, then send the rest later.

#2 if you have a 6K limit credit card, don't ever use over 1/2 of it. Racking up over 50% of your credit seems to hurt scores. If you have a 10k limit, 6k limit and a 1k limit cards but use the 1k limit up to $900 each month and pay it off each month, It seems to lower your score more then jsut holding a $900 not paid off amount on the 6k or 10k card.

#3 Get a good card and keep it. I have several card I don't use but once a month t keep the credit active but have the cards for 10+ years. It shows up as good history with that card. Even if you are to carry a ballence then transfer the card to another card. Don't clsoe that asccount. Leave it open and jsut don'st use the crd. pay the other card off then cancel that one, leaving the origional one as a good history in the credit report. Having open credit might hurt too, but only if you have ALOT of it. Like several cards adding up over 100k.

Good rates on home ? Heck, depending your Score and amount financed, that can range. If you're 6% or under you're probably not sitting bad.

Car loans ? Depends on the car type. The best car loan rate is 0%, pay cash

In my time I've had actualy 0% rates as high as 10% rates. if you pay more for the car in the first place a 0% rate does no good.

No clue on the Equipment.

....Takethat for what it's worth. Congrats on Sticking it to those D|ckheads Delw !!!! Move on with your life now !!

Moosie · Apr 20, 2008

Larry Landgren said:
Seems like 700 is the magical score for great interest rates.

Actually, I would say 720 is more of the "MAGIC" number that most go off of.

680 in realestate is another bench mark.

People get homes financed still with 600 credit scores. FHA provides some good deals with people with low scores but have made ontime payments in the last 12 months.

Delw · Apr 20, 2008

Moosie said:
Rebuilding good credit takes some time Del. There is no secret hard fast rule to it but the 3 basics I tell people are :

1.Pay your bills on time
2.Don't use all the credit given to you
3.Keep long time Credit

#1 is easy. Pay the bils on time. Even if you pay in full but pay late it hurts your credit. If you are goni gto pay off the bill each month but know it's close to might being late, send in the Minimum payment early, then send the rest later.

#2 if you have a 6K limit credit card, don't ever use over 1/2 of it. Racking up over 50% of your credit seems to hurt scores. If you have a 10k limit, 6k limit and a 1k limit cards but use the 1k limit up to $900 each month and pay it off each month, It seems to lower your score more then jsut holding a $900 not paid off amount on the 6k or 10k card.

#3 Get a good card and keep it. I have several card I don't use but once a month t keep the credit active but have the cards for 10+ years. It shows up as good history with that card. Even if you are to carry a ballence then transfer the card to another card. Don't clsoe that asccount. Leave it open and jsut don'st use the crd. pay the other card off then cancel that one, leaving the origional one as a good history in the credit report. Having open credit might hurt too, but only if you have ALOT of it. Like several cards adding up over 100k.

Good rates on home ? Heck, depending your Score and amount financed, that can range. If you're 6% or under you're probably not sitting bad.

Car loans ? Depends on the car type. The best car loan rate is 0%, pay cash In my time I've had actualy 0% rates as high as 10% rates. if you pay more for the car in the first place a 0% rate does no good.

No clue on the Equipment.

....Takethat for what it's worth. Congrats on Sticking it to those D|ckheads Delw !!!! Move on with your life now !!

Thats my problem I dont have time. I just wasted 5.5 years of my life. even though I won it doesnt fix the problems it left behind and were created due to this, I could file a counter suits but I want dont want to spend another minute in court. I want it NOW lol seriously I want everything back the fastest way possible.
Oscar you know anyone that fix's these problems? or can put me on a path so to speak.
i dont trust all these places on the net, dont like giveng my ss out on the net either.

Moosie · Apr 20, 2008

There is a comany that goes back to look at credit that we went to a seminar to but it cost's some money. I'll go dig up their names for you.

You do have time. You're just starting today. instead of tomorrow

Larry Landgren · Apr 20, 2008

Moosie, Do you think having to many cards with low credit limits hurt your score ? When I say low I'm talking from $300 to $3k.

Also lets say you have a couple credit cards with $500-$750 limits and these cards you have the longest history with . Is it a smart move to fire the lower limit cards ? because I heard having low limit cards drags your score down ? Or is having history more important ?

Delw · Apr 21, 2008

I know someone that does financing and after an hour long discussion he explained a few things to me, I dont have any problems, should only take a few months to get me back to were I was, Just takes work.

Larry
heres the answer to your question.
lets say you have a 1000 card. kep it and use it only dont use anymore than 30% of it. if you use lets say 300 bucks 30% your cc report will show a 70% revoling credit forget the exact term. Thats what they look for IE how much available credit you have, I was told to go out and get some credit cards and run 20% on them every 3-4 months make sure you pay it off every month.
Now I need to get a few credit cards for the shop, that way I can pay for all my material and supplies. since I pay cash anyhow I can pay them off monthly ( I just dont want to use more than 20-30% on eac card) and have a good availble credit score.

Delw

IDHunters · Apr 21, 2008

720 is the magic number. Revolving available is another indicator. A guy with $500 in CC debt with total limits of $1000 (50% available) will have a LOWER score than a guy with $5000 in debt on total limit of $50,000 (90% available).

Pay your bills on time.

Too many inquiries will also dock your score.

Check to make sure all information is correct.

Only time will help. It won't happen overnight.

2fastnaz · Apr 25, 2008

I filed Bankruptcy almost 4 years ago due to medical bills. I'm back at a 640 last time I checked and that should go up cause I just paid off all my credit cards with my return. I supposed to close on my FHA house next week so we'll see what it is then.

Just pay on time and the score will come up pretty quick. Gas card and Sears card, and 3 VIsas is all I've done.

how to rebuild your financial life

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Delw

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