Ugh, Rant to fellow mazda peeps

[martispeed]

THIS ECONOMY SUCKS!!!!!

Hi all, Im currently 21 and trying to build credit... It is nearly impossible. I have a crappy capital one card with a $500 limit... WORTHLESS.

So I have been trying to get another credit card with a higher limit inorder to make a large purchase of some sort and have that on the books...

Well that hasnt worked out so well... I have a 740 score and for a 21 yr old I dont think 740 is all that bad. The problem is that I have 4000 in student loans and they say that between those and my bad cap one card i have too many lines of credit.

I truly feel like there is no way to move foward... in order to build credit you have to recieve some sort... but in order to recieve that credit you have to have good credit. If that makes sense.

I just dont see how i can do this!!!!!!!!! I would like to move out before im 40 ya know haha. This is just truly depressing that I dont see any way out.

Anyone got any ideas haha????


Thanks for any and all support!!!!

 

[P5SurchJunkE]

740 is a reasonable score and shouldn't cause you many problems. When I bought my house 5 years ago my score was 758. The lenders at the time were willing to give me a $500k loan which was absolute BS. Credit scores are over rated anyway. Do yourself a favor, pay off that $4k loan, throw the credit card in a shredder, save up some cash and get an apartment or something similar. Any apartment complex should rent to you with a 740 score and a job. A job is the #1 thing you need, not a better credit score!
Credit cards are the DEVIL!(laugh)

 

[warrier04]

you're 21 and you're having trouble getting a credit card? just go wander around a college campus for a few days and find a credit card recruiter; you'll probably get a free shirt or something out of it.

 

[jred321]

pay off your loan. that isn't much money and shouldn't take long to pay off. then worry about increasing your credit limit. at 21 what you are lacking is a credit history. you need to prove that you can pay off your debt before they loan you more money

alternatively you could have your parents cosign for a card

 

[i8urgti]

I too am 21 with a 730 or so credit score, with that piece of s*** capital one credit card lol. But I have paid off already my 8000 in college loans (never finished either) and have everything under my name. Including my car, but my older sister co-signed and she has a 780 and an extensive history. I have a 12 percent interest rate on my MS6 but I'm going to refinance after a year of payment.

Not sure what your job situation is but that's what matters really in my eyes. If your looking for work I suggest the health care field, people are always sick and dying. I work as an EMT and enjoy most of it.

 

[dmention7]

As others have said, you lack credit history. You won't necessarily improve your credit history by making a large purchase and paying it off. You'll do that by routinely making purchases on your current card, and paying off the balance each month. What you're trying to do is establish a history for yourself that shows you are capable of having lines of credit available to you, and managing them properly.

As long as you pay off the card each month, you're not paying any interest. Start using the card to buy gas or groceries or something else that adds up to a couple hundred or less per month. Then after maybe 6 months or so, call up capitol one and ask them for a credit line increase.

Another factor to keep in mind is that your credit history is also largely affected by your oldest open line of credit. So if this is your first credit card, closing the account is just going to make your credit history that much shorter.

Credit inquiries are also part of your credit report, so don't go around applying for every card you see in hopes of landing one with a big limit. You want a stable history: loans are paid on time, credit lines are not too high compared to your income, credit balances are not too high compared to the total credit lines, etc.

 

[martispeed]

Hey, thanks everyone for the replies!!!! For those student loans, I actually still have the money in my savings account hahaha... I got subsidized student loans, which the interest is payed until 6 months after I graduate.

I am currently in a transfer program to LTU for electrical engineering. So, I still have a couple years and a lot more $$$$$ in student loans...

 

[sephiroth]

Capital One sucks as a creditor.. iirc they actually have all their accounts frozen as far as credit limit increases go for the moment(and it's all controlled electronically, so you're screwed anyway even if you have a good score). Your bank would be the best place to start as far as a good credit card goes.

redit inquiries are also part of your credit report, so don't go around applying for every card you see in hopes of landing one with a big limit. You want a stable history: loans are paid on time, credit lines are not too high compared to your income, credit balances are not too high compared to the total credit lines, etc.

exactly.. the whole point is that you can demonstrate that you're capable of paying off your debt. Having balances at the end of each month is okay too, however the most important part is that you pay *on time*, even if it's just the minimum amount. That accounts for a *huge* part of your credit score determination.

 

[bafilio1]

If you already have to many lines of credit open then don't get another card lol! Why do you need higher credit. I once had a score above 750. But got in a mess which led to me loosing my job a few years ago which also led to 2 of my 3 cars and 1 bike to get repoed. I then dropped to upper 300s and am currently at 580. With 580 and my income I have 1 mortgage, student laons, 1 car loan and my wifes student loans which right now i believe we are at 65,000.

 

[martispeed]

Well the reason I wanted to get another card was because my cap one card SUCKS!!! haha

 

[mckraut]

It sounds to me like you're asking us to validate you need a credit card with a higher limit so you can go buy something expensive.

 

[martispeed]

HAHAHAH No, truly I spend very little of the money I make...

I have just been sooo worked up about all of this BS I had to rant on the forums!!

 

[mrwicked]

apply for a chase card.. I had a lower score cap one gave a 500 credit line then I applied for chase got one for 1500

 

[fatti03msp]

wish i only had 4k in student loans lol, got 20k in loans and that was only for an associates

 

[JC-MP5]

HAHAHAH No, truly I spend very little of the money I make

Then why do you need a higher limit card? There's no point if that's the case. Unless you're trying to get "baller status" with a high limit credit card...

I'm 20, I want stuff, but I stay away from credit cards. Their evil, evil things. I have my one, and I rarely use it.

 

[bafilio1]

Then why do you need a higher limit card? There's no point if that's the case. Unless you're trying to get "baller status" with a high limit credit card...

I'm 20, I want stuff, but I stay away from credit cards. Their evil, evil things. I have my one, and I rarely use it.

yes they are terrible... I had fallen into the credit circle in order to buy my house I had to sell on of my project cars to pay off a credit car to fix my debt to income ratio. More credit cards or a higher limit is a bad idea. the only time I consider a higher limit card is when your a home owner. for example before my house I left my credit cards at 1000.00, now that I have had it for one year I took the 10k upgrade offer from chase. and it came in handy tell you what home repairs (hand)

 

[HKPRO5]

Im actually recovering from some stupid mistakes that I made. I was down in the 300s now im up to 700. At the end of this year. Im only 23 but I have alot of credit history now. lol I had like 30k under my belt. (no student loans....) but now besides my car I have about 4k left to pay off. That will be done before I go and get a house. lol

like dmention7 said, its good to be consistent in paying off your bills but also spending. Thats how credit is made.

Good luck with everything!

 

[jred321]

Their evil, evil things.

untrue. an idiot with a credit card is a bad thing. i have never paid any interest on anything bought on a CC because i pay it off every month and i have a rewards card so every year i get a few hundred bucks for free in rewards. i put everything i can on my CC - phone bill, natural gas, internet, anything they'll let me. if i have to pay it anyways i might as well get the 1-3% back in rewards. credit cards aren't evil. they just give people the power to exercise their stupidity

 

[martispeed]

^^ True, my whole goal here is to BUILD credit... I have never had a late payment or anything negative for that matter. I has just become WAYYYY to difficult to get credit in this economy because so many people chose to get in way over their heads. Now after we the taxpayes bailed out the banks they are basically turning their backs on us.... I think its total bull s*** haha!!