Hit a 680 credit score after 18 months of work and finally qualified for an FHA loan

I was stuck at 580 for over a year doing the same tradeline stuff, but adding a secured card with a $500 limit and paying it down to 10% every month pushed me up 100 points quick - anyone else see big jumps from secured cards?

2 comments

2 Comments

wade_kelly777d ago

I live in Cleveland and used a secured card from Capital One with a $300 limit. Paid it down to like $30 every month for 8 months straight. My score went from 575 to 645. So I get the secured card thing helping, but I don't think it's a magic fix for everyone. Your 100 point jump is solid, but that's on a 500 dollar limit with really low utilization. Most people don't see that kind of jump unless they also have other good stuff happening like no late payments or old accounts. I had a friend do this exact same thing and only got like 40 points because he had two collections still hanging on his report from three years ago. The secured card helps more if your credit file is clean otherwise.

wade_kelly776d ago

A secured card is basically training wheels for your credit profile. It works if you don't have any major red flags like charge-offs or medical collections tanking your score. That 580 floor you were stuck at sounds like those hidden negatives were holding you back. Once those drop off or get settled, even a small secured card can push you over 600. But if you got multiple late payments from two years ago still visible, that card alone won't cut it. You gotta clean up the whole picture first.