I recently graduated college in December and got a good job in Atlanta this year. In midst of the excitement I decided I NEEDED a new car and proceeded to apply for credit at several banks and credit unions in a search for the best APR deal I could find. I got approved by most but in the end decided it would be smarter to live in "the real world" for a few months before making such a big financial decision. Lowe and behold, I apply for a credit card the next month and I was declined, their reason: Too many credit inquiries" in my report!!! I was not aware of this detail and inadvertently messed up my own credit report. My question is: How long do I have to wait for this to fall off and be able to apply for more credit, be it for a card or a loan? And also, is there any way of having this removed since I did not actually acquire any debt? Thanks for your help!
<<I recently graduated college in December and got a good job in Atlanta this year. In midst of the excitement I decided I NEEDED a new car and proceeded to apply for credit at several banks and credit unions in a search for the best APR deal I could find. I got approved by most but in the end decided it would be smarter to live in "the real world" for a few months before making such a big financial decision. >> Congratulations on your caution before diving into the consumer junk market! And congratulations on acquiring a good first job after completing school ---that's often a tough transition.It sounds like you are on a roll. My one suggestion would be to do some serious thinking about what you plan to do with the rest of your life. Most people wind up married, with children and with a lot of financial demands made upon their limited income. You presently are in a situation where you may be able to begin an intensive program of saving and investment which can pay off big time over the years, giving you financial security and personal freedom that many people, trapped in the rat race, can only dream about.Or, you can dive into the consumer junk market for whatever pleasures it might provide. You might want to consider reading through some of the posts on the Living Below Your Means and Early Retirement discussions boards for a view into an alternate universe from that of ardent consumerism. Good luck ---Seattle Pioneer
Give it a few more months. If you really don't need the car, give it even longer. Don't base your decision to get a loan or a CC on whether or not you CAN, but whether or not you SHOULD. Use your bank debit card for booking things (hotels, buying things on the internet, etc.), and forget about the CC as long as possible.While you are waiting to get a new car, save the same amount of money each month that your car payments will be. If the car payments are going to be $350, then save $350 a month until you buy that car. Then, put that money towards it. After you get your new car paid off, then save that $350 a month again, until you have the cash to pay for a new car. Or, if you can hold off that long, start saving that $350 a month now and keep saving it until 1) the car you have right now dies, or 2) if you don't have a car now, until you are in absolute need of one.Then, take all that money you've saved, and pay cash for a used car. Drive off the lot with no more consumer debt than you walked on with.impolite
impolite:>Don't base your decision to get a loan or a CC on whether or not you >CAN, but whether or not you SHOULD. Use your bank debit card for >booking things (hotels, buying things on the internet, etc.), and >forget about the CC as long as possible.I disagree. Using a credit card help build up your credit. And as long as you pay it off every month, you can treat it like a debit card. With some of the perk come with using a credit card(cash back, free gas, etc), it better than using a debit card.netobaron:If you still have student loan, you might want to pay that off first or at least a good portion of it before buying a new car. With student loan and car loan it might not leave you enough for anything for unexpected expenses or big ticket items you want to purchase.
Thank you for your advise, and I agree, besides helping you build up your credit history, some credit cards have some perks to them, like gas, cash back, and frequent flyer miles. If I get any credits cards it would be for this purpose not to pretend to live a life beyond my real means and in debt.However, since I have so many inquiries when I wanted to buy a car, I have been rejected! Is there any way of getting these inquiries off my record? Or do you know how long it would take for them not to affect me any more?Thnks
There is no way to get those inquiries off your record other than time. Wait about 3-6 months for it to go away. I would suggest you try your current bank for a credit first if you need a credit card right now. Do that in person so you can explain your problem to them, because it your bank they should be able to overlook the credit inquiries. You can try that on other credit card company. Call them, ask them question, they are there to help. Especially, tell them you are a recent grad, have a good job(might need your supervisors as reference) because they can never have enough new customer.
First, if you haven't already, get a copy of your credit report. Since you were denied credit, then you are entitled to a free copy of your credit report.Then about 60 days after the date of the credit report I would go to the Equifax site:https://www.econsumer.equifax.com/webapp/ConsumerProducts/PageFrameServlet?payloadName=pgScorePower.jsp&clickid=NONE&siteid=NONE&orderSource=WEB&bannerid=WEB&productGroup=CreditProfileScore&deliveryMethod=Onlineand order a new copy of my credit report and FICO score. It's only $12.95 and it doesn't count as any type of "ping" against your credit report or score.That's probably the only way you'll know if your score is going up. And I would just check on that about every 60 days to verify that your score is going up and nothing will prohibit you the next time you apply.Hope this helps!
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