bword Posted July 25, 2013 Report Share Posted July 25, 2013 I needed a new mattress and going threw Sleepys I wasnt good enough to use their regular financing but I was approved for their Progressive Financing. Basically long story short I had 3 months to pay it off with no interest and anything past that would be horrible interest rates. I had it auto debited every 2 weeks and tomorrow will be my last payment yay extra $350 a month for me lol. I asked her if it reflects on my credit because this loan never showed up on myFico or credit karma. I figured hey this should help my score go up, I called up the Progressive financing dept and they said after I make my last payment ill get a Paid In Full letter and I could submit this to the credit bureaus. Ive never heard of this but is it worth it to do..will it help or hurt my score? And how exactly is this done and how long you guys think it would take to show up? Thanks everyone for all your help Link to comment Share on other sites More sharing options...
shellieh98 Posted July 25, 2013 Report Share Posted July 25, 2013 you cant report yourself to the CRA's as far as I know. The only thing that letter would do is help you if you were trying to obtain financing from someone, and you brought it with you. Link to comment Share on other sites More sharing options...
bword Posted July 25, 2013 Author Report Share Posted July 25, 2013 you cant report yourself to the CRA's as far as I know. The only thing that letter would do is help you if you were trying to obtain financing from someone, and you brought it with you.The only thing I planned on financing down the road was a home. Link to comment Share on other sites More sharing options...
S. Louis Blisko Posted July 25, 2013 Report Share Posted July 25, 2013 The letter will not help as the bureaus only report data received from "paying" clients / creditors. Before you attempt to go for a mortgage down the road it would be a good idea to establish a score higher than 700 with all 3 bureaus. Otherwise you probably won't be approved and if you were the conditions would be aweful. Link to comment Share on other sites More sharing options...
admin Posted July 25, 2013 Report Share Posted July 25, 2013 @bword - you won't get an include on your credit report. If you want to build credit, I suggest a secured credit card or better yet, join a credit union. 1 Link to comment Share on other sites More sharing options...
bword Posted July 25, 2013 Author Report Share Posted July 25, 2013 The letter will not help as the bureaus only report data received from "paying" clients / creditors. Before you attempt to go for a mortgage down the road it would be a good idea to establish a score higher than 700 with all 3 bureaus. Otherwise you probably won't be approved and if you were the conditions would be aweful.Will do..I was reading in most places you would need a minimum of a 650 to be approved for a fixed rate loan. But im sure a 700 wouldnt take a ton more time to achieve either. Link to comment Share on other sites More sharing options...
bword Posted July 25, 2013 Author Report Share Posted July 25, 2013 @bword - you won't get an include on your credit report. If you want to build credit, I suggest a secured credit card or better yet, join a credit union. I have a single low limit credit card and I am a member of a credit union along with another local bank. Im thinking about once I zero off my balance on my current credit ill attempt to apply to get a 2nd one to help build credit. Link to comment Share on other sites More sharing options...
admin Posted July 25, 2013 Report Share Posted July 25, 2013 I have a single low limit credit card and I am a member of a credit union along with another local bank. Im thinking about once I zero off my balance on my current credit ill attempt to apply to get a 2nd one to help build credit. @bword - excellent strategy. Link to comment Share on other sites More sharing options...
CordusAdmin Posted July 25, 2013 Report Share Posted July 25, 2013 @bword - great plan! Link to comment Share on other sites More sharing options...
bword Posted July 26, 2013 Author Report Share Posted July 26, 2013 So I tried to get a credit card threw my credit union it was a Visa Platinum and it was most likely out of my league but I got denied. I dont wanna barrage credit card companies with applications until I find someone who will take me. I have currently a 1st premier card which I have to pay a small fee to have. Im wondering are there any credit cards that cater to people like with me with crappy credit? Link to comment Share on other sites More sharing options...
admin Posted July 26, 2013 Report Share Posted July 26, 2013 @bword - http://www.creditinfocenter.com/cards/secure-credit-cards.shtml Link to comment Share on other sites More sharing options...
bword Posted July 26, 2013 Author Report Share Posted July 26, 2013 @bword - http://www.creditinfocenter.com/cards/secure-credit-cards.shtmlI currently have one unsecured credit card but would having a secured card like these help my credit the same as a unsecured credit card? Thanks for the link! Link to comment Share on other sites More sharing options...
admin Posted July 26, 2013 Report Share Posted July 26, 2013 As long as they report to the credit bureaus AND not as a secured card, this will work. Does your credit union have any secured card programs? Link to comment Share on other sites More sharing options...
bword Posted July 26, 2013 Author Report Share Posted July 26, 2013 As long as they report to the credit bureaus AND not as a secured card, this will work. Does your credit union have any secured card programs?They do have this one https://online1.elancard.com/oad/begin?locationCode=20441 Looks like they need a minimum $300 to throw down..which I dont have right now. See let me see if I understand this correctly..with a secured card. You have to put down say the $300 to have the card. And anything beyond that you can spend so If I put in $450 I have $150 of useable money the rest I cant touch? And how would they have interest on a secured card its your money to begin with? Link to comment Share on other sites More sharing options...
admin Posted July 26, 2013 Report Share Posted July 26, 2013 They do have this one https://online1.elancard.com/oad/begin?locationCode=20441 Looks like they need a minimum $300 to throw down..which I dont have right now. See let me see if I understand this correctly..with a secured card. You have to put down say the $300 to have the card. And anything beyond that you can spend so If I put in $450 I have $150 of useable money the rest I cant touch? And how would they have interest on a secured card its your money to begin with?This is how it works: You open a savings account with a bank for $300. You get a line of credit in the form of a credit card for $300. If you open a savings account with $450, you get a card with a $450 credit line. If you default on the card, they take the money in your savings account. 1 Link to comment Share on other sites More sharing options...
CordusAdmin Posted July 26, 2013 Report Share Posted July 26, 2013 @bword - the way the banks make money on secured cards is by the fees. So, when you look for a secured card, make sure to check out the fees. There are some out there that charge very high fees. Also, make sure that eventually you can convert the secured card into an unsecured card after a year or so of on-time payments. 1 Link to comment Share on other sites More sharing options...
bword Posted July 26, 2013 Author Report Share Posted July 26, 2013 This is how it works: You open a savings account with a bank for $300. You get a line of credit in the form of a credit card for $300. If you open a savings account with $450, you get a card with a $450 credit line. If you default on the card, they take the money in your savings account. Do these cards require a minimum balance in your savings? Link to comment Share on other sites More sharing options...
admin Posted July 26, 2013 Report Share Posted July 26, 2013 @bword - yes. They'll only extend you credit of $300 for example if you have $300 in your savings account. Link to comment Share on other sites More sharing options...
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