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Subject:  Re-establishing Credit Date:  2/8/2001  6:23 PM
Author:  NoMoneyMoPrblms Number:  57344 of 312188

Hello everyone!

I just recently ran into this discussion board, and would very much appreciate some help with this question.

Background: In college (stop me if you've heard this before) :) I destroyed my credit. Had over $7K in credit card debt, past due dates of over 60 days...several times. Accounts were canceled and most of them were sold off. After graduation, I signed up with a non-profit CCA. Since then, I have made every payment (around 20 months) on time, without exception. I have finally paid off ALL CC debt. I have student loans, and have paid on-time for about 20 months as well.

Sitaution: I want to re-establish my credit. For the first time in years, I have receieved a few 'pre-approved' offers from Cap One.

Terms: 19.8% Variable
$72 Annual Fee (charged at $6 per month)

All I want to do is re-establish credit. I don't really care about the interest, as I will not carry a balance. I don't like the annual fee, but with my credit history, I don't know what choice I have.

Question: Is it a good idea to go for this card? Will this help re-establish credit, or is Cap One evil? Is this one of those cards extended to people desperate to fix their credit that actually looks bad on a credit report and reflects poorly on a credit score?

If this is not a good idea, what is the best way to go about re-establishing credit? Any suggestions on specific banks/cards?

Sorry for the long post. As a newbie to this board, I really appreciate any insight you all may have.

Thanks in advance!
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