Improving credit score for car loan

Submitted by Anonymous (not verified) on Wed, 09/01/2010 - 06:01
Forums

Hi,

I made a lot of mistakes when I was in college. However, I've settled and paid off my past debts and my credit score has finally crossed the 600 for the first time in years. I don't know what to do next, but I assume I should open another credit card.

My past negatives included one Student Credit Card from 6 years ago and another credit card. These did go bad after about a year of use, unemployment, loads of classes, etc.

What is a good next step? I have started cleaning up my credit to get a new car. So to improve my credit if I try to get a new card which one should I get? The negatives are still there on my credit report.

Hi Carisa,

I don't know what to do next, but I assume I should open another credit card.

Yes, you can get another card. You can get a secured card instead of the unsecured ones.

Check out the offers of different banks and check if the bank reports to all the three credit bureaus. Use the secured card to make purchases and then make on-time payments on the cad. After some time request the creditor to change the secured card to an unsecured one.

This will help you in improving the score.

Thanks,

Aaron

Wed, 09/01/2010 - 10:18 Permalink
Lola K (not verified)

Hi Carisa,

What about the old accounts? Are these still open or have you closed these accounts? If these accounts are still open are the negatives still there on your credit report?

Thanks,

Lola

Thu, 09/02/2010 - 12:05 Permalink