I was an AIG card holder before. For 4 years i was not able to settle my unpaid accounts due to health reasons (thyroid gland/goiter operation. Last December 2005, I paid and settled all my pending debts with AIG and a certificate was issued to me for being cleared with AIG. Last year, i started applying credit cards but I have been denied for many times. Is there any chance for me have a credit card again?
2007-02-08 14:24:17 · 9 answers · asked by Ma. Alma P 1 in Business & Finance ➔ Credit
Yes, but it takes seven years for your credit rating to clear itself. Even though you might have eventually paid alll your debts off, you were still reported as a high credit risk on your credit report.
I suggest getting a copy of your credit report and seeing what is on there.
2007-02-08 14:28:47 · answer #1 · answered by Anonymous · 0⤊ 0⤋
I have been a mortgage broker for 7 years and I see this all the time. First off the only reason I recommend credit cards is to establish credit. The best credit report I have ever seen had not one credit card on it! You don’t need them they are useless in my opinion. But....
1) Go to your bank or credit union, bring your pay stubs and tax returns they may qualify you for an unsecured credit card based on your personal finances.
2) Save up a few hundred dollars and ask your bank to issue you a secured credit card using your money. Explain your situation and your need/desire to re establish your credit worthiness. The bank is now at no risk and you pay you’re self the interest.
Credit is a tricky thing sometimes. When a bank pulls your credit it is considered an inquire the FICO system factors the time since your last inquire, the amount of new credit in relation to your total outstanding credit, the % of available credit used on all your outstanding credit, the number of inquiries ect ...
If you applied for a bunch of credit cards at the same time the FICO system may have pegged you as high risk hence all your turndowns. The FICO system works on a time scale meaning you had a collection for a long time that eventually went stale no longer affecting your score more than it already has, when you paid your collection off it in a sense re-started the clock on an old dead trade line. By paying your old debt off you factored the collection back into the equation and may have actually lowered your credit score :(
If you leave your credit alone (no new inquiries) for a few months the scores will go back up. This is why I recommend going to the bank and qualifying
Ultimately if you want better credit you have to maintain it, I know stuff happens. I recommend a safety account $500 to $1000 stashed away in case of an emergence so you can pay your bill when bad things happen and save your credit. Good luck
2007-02-08 14:57:24 · answer #2 · answered by renzbenton 3 · 0⤊ 0⤋
2 things end up on your credit report: Collection Accounts that are past due - those will ruin your credit and Credit cards and bank loans that you are current on - those will raise your credit score. In your case only "bad" accounts are listed on your credit report and that is the reason why nobody wants to chance it and give you a credit card. Pay off your bills on time so they don't end up on your credit report as delinquent and eventually you will qualify for a credit card. You can also start with a secured card. Ask your bank about their secured card program and save up some money for collateral for such a card.
2016-05-23 23:35:17 · answer #3 · answered by Anonymous · 0⤊ 0⤋
First thing. Stop applying for cards. Inquires may be very negative for you. You need to pull your credit report, go to FTC.gov. You can get a free report. Review your report and try to clear up any outstanding issues. You won't have your credit score. If you wan that you will have to pay for getting that. It might be helpful as if your score is near 600 you might get some type of store cards.
It was good you settled, but the settlement probably has little immediate effect on your score.
Good luck.
2007-02-08 14:33:36 · answer #4 · answered by Gatsby216 7 · 0⤊ 0⤋
If you don't qualify for any credit cards, you can get a secured credit card. Such kind of cards is secured by your deposit account. You should deposit between 100% and 200% of credit. If you don't pay, credit company will take it out of your deposit. Secured credit cards is good for reestablishing credit history. It is clear you absolutely must pay your bills on time. I mean not only credit card bills but also you phone bills etc.
Establishing good credit habits will improve your credit worthiness. Of course rebuilding credit takes time, sometimes over 18 month. But i think you haven't another choice.
Good luck!
2007-02-08 22:58:19 · answer #5 · answered by Shirrwood 2 · 0⤊ 0⤋
There are pre-paid credit cards that help people their credit rating back. You might want to look into that.
There are lots of them out there. Do a Google search on:
prepaid credit card.
Good Luck
2007-02-08 14:34:18 · answer #6 · answered by istitch2 6 · 0⤊ 0⤋
Congratulations, the card companys no longer want you as a slaver to them.
visit daveramsey.com to learn what bankers pray you never ever learn or apply.
There is real life without credit slavery.
2007-02-08 15:06:37 · answer #7 · answered by Anonymous · 0⤊ 0⤋
best to consult someone who can review your credit report.
u probably are hi risk with a damaged FICO score.
Best way to rebuild is to hire a company that specializes in scrubbing derogatory remarks from your report.
Usually costs anywhere from 300-2000 dollars depending how much work it would take to fix up.
I know a company to refer you to... dont know if allowed to mention here so email if int'd.
2007-02-08 14:32:25 · answer #8 · answered by voodoo 2 · 0⤊ 0⤋
ask for a DEBIT Card!
2007-02-09 01:48:24 · answer #9 · answered by Stefan D K 3 · 0⤊ 0⤋