Ok, I’m 19, but I already have a really bad credit score of 535. I don’t have very many items on my credit report other than a medical bill from a hospital that went to collections over two years ago. At the time, I wasn’t able to pay it, so it eventually closed. That is the only collection I have in my report. The only other negative things in the report are the 10 dozen inquiries I have when I tried to apply for store credit cards.
Now, looking on websites, I’ve seen that some good credit advice is to pay off any past debt so that creditors will see you are trying to make payments. What happens when the only negative factor in your report is unable to be paid off? Others have told me to get a secured credit card, but honestly, as a mother of two in this economy, I don’t really have that money. Is there any other way to raise my score?
Luke, I know it sounds as though I’m desperate for a little money and broke, but the reason I want to get an unsecured card is so that I just have a little help. I know now the importance of a good credit score which is why I want to have a credit card to show creditors I can be trusted to make payments. The only problem is that I don’t have $ 300-$ 400 to give a bank or company up front. I would like a card with a small limit so that I could spend a little each month and pay off in full like you said.
Right now, I’m paying off the balance on an account with the jeweler I bought my wedding ring from, and paying the phone bill for verizon wireless every month. Will these help me any? The verizon account is in my husband’s name, but I pay for it. If I was to transfer the account in my name, would it help my credit scores any by paying it every month like I already do?