Need help

Never get any more credit cards

Do yourself a favor and get rid of them and never get any more credit cards. They are horrible burdens. I’m not sure what you could charge up with them that is worth the worry. I’ve tried to get rid of the rest of mine and it’s a nightmare! With such low credit limits, just pay them off and if you decide to keep them , if you buy something pay it off before you use it again and make payments on time, after making 3 to 4 “on time payments” try to renegotiate your interest rates.

with such small balances, i’d pay them off… specially your second one with the $6 processing fee!?! Defeinately if you can afford to. You might very well want to close them out too if you feel you’ll be tempted to get the balances back on there in the future. But part of your credit score does count towards the history of your cards so if you close them that may lower your scorre if i understand that correctly.

But closing the cards would be the better option if you feel you might be in the same boat later on dwon the line. CC debt is rough and it’s hard to get out of. I’m trying to do that myself!

Q: My parents declared bankruptcy several months ago and one collection agency is trying their scare tactics saying they represent a creditor (Sears and Western Auto) and that they would like my parents to acknowledge the debt and to allow them to “take back” all of their appliances that my parents originally bought using the store’s credit cards. Not of any loan.

Can a collection agency take appliances from one’s home based solely on a purchase made by credit cards? I never heard of such a thing.

I believe they are pressuring my elderly parents to voluntarily give up their washer and refrigerator but making it sound “official” like they have to. Even their letter head sounds like they are some official entity when in fact they are not.

Suggestions?

A: Credit is not hard to understand…

First you have 2 cards so you can start establishing a good payment record. A good record consist of 12-24 months of NO LATES!

Second is you need steady employment of 2 yrs or more in the same field.

Third and last is once you get credit keep the balances under 30% of credit line. Now this can be a bit confusing. Some cards do not report credit limits so on these you actually need to charge up to your limit to set a high balance and then keep that amount under 30%.

Your key here I think is the 24 months payment history and the high credit balances. I would suggest you pay down the balances to under 30% credit line or high credit balance (look on your credit report to see if they are reporting the limit or just the high balance). Then I would not apply for anything until you reach a 24 month GOOD payment record.

Patience is important because it does take time to build. Just wait it out and it will come….