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I got scores in the low 600s. I have one open tradeline and the rest are all paid accounts. I need to get my scores higher and I'm looking for some help or tips. Is it possible to add about 100 points in 60 days? I want to buy a house and I'm self employed. I figure the higher my scores, the less money down.

2007-05-13 08:02:00 · 8 answers · asked by Running Man 1 in Business & Finance Credit

8 answers

http://www.myfico.com

You are right the higher your credit score, the LOWER INTEREST rate you'll qualify for. The amount of money put down is up to you and also may factor into that.

I don't know if 60 days is fast enough to raise it from the low 600's to the 700's. You score is also not necessarily based on current credit, but past credit, payment history, debt to credit ratio (ex if you have a CC with a $7000 limit, yet you owe $6000 on the card, that doesnt look good. Collections that have been reported come up as a negative.

you can get a free credit report from each of the bureaus at http://www.annualcreditreport.com One free report from each bureau once a year, its good to check to make sure there are no errors.

some of them for a small fee also offer a score with an anaylsis which will tell you why your score is what it is.

Read up on some of the credit bureau sites too for tips on improving your score.

Transunion, Experian & Equifax

2007-05-13 08:14:57 · answer #1 · answered by Ginger 4 · 0 0

Not sure you can do much in 60 days. Having only one tradeline is not helpful. If your paid accounts are not revolving accounts, that's not very helpful either.

Get a copy of your credit report from all three credit agencies (it's free) to make sure your score isn't low due to mistakes or incorrect information.

One of the best ways to improve you score is to open a couple of credit card accounts, gas company accounts, or department store accounts that have a high spending limit. Then use your card but pay off the balance each month, or keep the balance very low so that the difference between your limit and balance is high.

Don't set up new accounts all at the same time, however. All the lender inquiries coming into the credit agencies at the same will pull down your score. Spread them out.

Make sure you pay all your bills on time. One single late payment can pull down your score almost immediately, but pulling in back up again can take months, if not years.

2007-05-13 08:22:24 · answer #2 · answered by Anonymous · 0 0

I would say no. 100 points up in 60 days seems highly unlikely.
Sorry I have to chime in on the manual underwriting. I think that is line brokers tell people with bad credit to collect up front fees or higher fees a closings. That is also a marketing tool used by lenders.....we look a the person, not the score. Not true. All lending regulating agencies require lenders to use objective scoring methods. I guess it could be out there, but not really an option for most borrowers.

2007-05-13 08:40:24 · answer #3 · answered by Gatsby216 7 · 0 0

I agree with most of the posters and I also disagree with using a manual underwriter since going that route "is" expensive

You should never apply for credit within 6 months of applying for a mortgage.
Applying for credit dings your reports with the inquiries and if you do get approved, your scores will be dinged with a new account. Which is worse when you have a small or thin file.

If you can hold off on your home purchase then you might apply for credit and give the inquiries and new credit time to settle.

The only way to raise your scores in that short of time is if you know of anyone who can add you as an authorized user to their account(s) and have them add you. Just be sure that the account(s) are in good standing or you would be defeating the purpose - make sure there are no lates and the utilization is low.
Never be added as a joint user to anyones cards, only be added as an AU.

2007-05-13 10:31:59 · answer #4 · answered by echo 7 · 0 0

Its very difficult, likely impossible to raise your score that far in 60 days. The keys to raising your FICO score are very simple, remember, your FICO score is an analysis of your history of managing and using credit.

Step 1: Review your credit report from each of the three major credit bureaus. Check for any inaccuracies. If there are any items on your reports, write letters of dispute to the appropriate bureau and follow-up to make sure it is removed.

Step 2: Your credit score isnt horrible, its just not great. Your credit score is based on your credit management on a variety of credit types. You should open, or have open a couple of credit cards, preferably one or two major credit cards through your bank or another bank, and one store credit card. Another typeo f installment loan such as an auto loan is good. Most important, keep all balances as low as possible every month, use your cards for neccessary expenses you would pay anyway, and pay them off in full every month. Pay EVERYTHING on time all the time, on time payments and keeping low debt is the major factor in your credit score.

Step 3: Wait. If you do the above, maintain on-time payments, you will see a monthly increase in your credit score. If you pay everything ontime and dont have any outstanding collection account, you should be able to reach your credit score goal in 12 months.

I would wait that extra time to buy a home, the amount of money you will save in downpayment and interest rates will be huge. Spend that time socking some money away each month towards your downpayment and short-term savings


Best of Luck!

2007-05-13 08:23:05 · answer #5 · answered by Anonymous · 0 0

Use some of that buying power to build your credit. This is really not a quick process, but I am resourceful and capable of getting the job done. Let's set a realistic date of say 1 1/2 months. If your family has a lotta cash, ask them to assist with the down payment. We'll get to that later and deal with the credit now. Using your credit report contact all creditors-people you owe-and negotiate a pay off of outstanding expenses-debts. Sometimes you can pay $300 vs. $500 making the process less costly and faster. Not all creditors will negotiate, so ask for a payment plan that will allow you some time. But, you want a letter saying your account is up to date and being paid and current, directly after the first payment. As a matter of fact, attach all reciepts to your credit report of paid debts that were owed. Eventually you will get a new an approved credit report. After contacting creditors, paying off old accounts, setting up payment plans and collecting your letter, believe me your credit score is all ready improving. This could take up to 8 hours over the phone. Get the facts straight asap, by having the letter faxed to you if possible. Once you have crossed off and prearranged existing debt, order another 3 tier report that would give you an updated score. Send all three credit reporting bureaus Equifax, Experian, and TransUnion a letter requesting an updating credit report and attach copy of your paid receipts and letters from creditors. Keep all originals, since they will be used repeatedly. Visit your local First Time Homebuyers agencies for some assistance, such as grants and eligibility for CA residents. Fannie Mae is a good source. However much of this, especially the initial phase, can be done on your own. Here's a Recap-Credit report (listing creditors) research and contact creditors, arrange pay offs and payment plans, recieive letters faxed or in the mail within 7 days, write to credit bureau for updated report, attaching copies of letters from creditors and paid receipts, contact home buying agencies to reward your progress. Finally, ask your family for a gift donation towards your home purchase. A soft ask could be done over lunch, dinner party, or barbeque, etc. If you receive some help, be very grateful. Include others on your endeavor by evaluating what assistance they can provide. Otherwise, stay focused, disciplined, and prepared to go beyond No, when this is the response you get. This can be done in 1 1/2 months. Keep a working budget from here and ever after. Don't forget to use your buying power to convince home buying agencies that you are more than ready because you've prepared. Good luck!

2016-05-17 08:03:03 · answer #6 · answered by jackie 3 · 0 0

Look for a bank the does loans the old fashion way. Its called Manual underwriting. They dont use the fico score for a home mortgage and you can get the going interest rate too.

2007-05-13 08:32:33 · answer #7 · answered by heybulldog 5 · 0 0

When you have large available credit it will increase your score. the ratio of debt to available credit. So if you are maxed out or close to maxed out pay down the balance so you are around 50% or less.

2007-05-13 11:14:58 · answer #8 · answered by nanizm 3 · 0 0

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