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will my secured credit card continue to raise my credit score?

by lonnie_958_586 from Eagleville, Tennessee. Jul 4th 2012 Reply


Joel Lobb (kentuckyloan)
#3 ranked lender in Kentucky - 192 contributions

Yes it will. You will need to have open for 6 months and pay on it on time, and keep the balance low in relation to your credit limits.Read more http://www.mylouisvillekentuckymortgage.com/

Jul 4th 2012
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William J Acres (William_Acres)
#74 ranked lender in Arizona - 8,728 contributions

Your Secured credit card will affect your credit, but depending on your spending habits, it could be negative.. The fact that your credit card is "Secured" is a negative. The credit bureaus give lower value to secured cards vs. unsecured debt. Keep balances below 30%.. Even if you pay off the balance every month, you should never have more than 30% owed on your card at any given time. Don't pay off your balance completely.. $20 to $30 remainder is ok... I'm a Broker here in Scottsdale AZ and I only lend in Arizona. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. 480-287-5714 WilliamAcres.com

Jul 4th 2012
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DOUG CAPPS (DOUG CAPPS)
#1 ranked lender in Mississippi - 208 contributions

Hi Lonnie, Yes it will - assuming this credit card reports to the major credit bureaus. There are a few things you need to consider (#1) Make sure you make your monthly payments on time, (#2) Never "charge" anymore than 30% of your credit card limit, (#3) When you pay down the credit card, try to leave your balance "at or below 10%" of the credit card limit, and (#4) The age of the account will also play an important role, because the older this credit card becomes, the better it will help your credit score.There are other factors to overall credit growth and increasing your credit scores, but will a secured credit card help? Yes.

Jul 4th 2012
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Nancy J Releford (nancyreleford)
#4 ranked lender in Tennessee - 233 contributions

I agree with Doug. One thing you might want to keep in mind, several Investors/Banks want a track record of paying creditors, which usually require at least 3 trade lines showing a 12 & 24 month history. So even if you obtain high credit scores doesn't necessarily mean you will be approved for a loan.

Jul 4th 2012
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Linda Wintersteen (Linda123)
#63 ranked lender in Arizona - 1,256 contributions

You need to ask the credit card company .. A lot of the secured cards do not report to the credit reporting agencies...Also, keep in mind that underwriters know the companies of the credit card companies, and would question why you are using a secure card.... iS yours a credit card or a debit card???

Jul 4th 2012
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Michelle Curtis Loan Originator NMLS 401173 (MichelleCurtisLO)
#77 ranked lender in Florida - 2,245 contributions

Yes it will help you as long as you don't use over 30% of your allowed limit.

Jul 4th 2012
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Yes it will, assuming you use it correctly. I agree with everyone here regarding the leaving a small balance on it, month to month. Also neever exceed 30% of the limit. I recently had a client that had no scores from ay of the three major credit bureaus. Opened secured credit card, made one payment and now he has three credti scores.

Jul 5th 2012
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