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Personal Finances / Credit Cards and Consumer Debt


Subject:  Re: New here! Have questions! Date:  5/5/2013  2:54 PM
Author:  Jenmomof5 Number:  306955 of 312297

Thank you for your reply. I know why we have crappy cards. Our scores are in the low 600's. Medical bills and lack of income caused the BK. We now both have good paying, fulltime jobs with full benefits, so I think that problem is (for the moment) solved. We are wanting to pay off these cards entirely, put more money in savings, so we have at least 3mo. expenses saved, and at the same time, get better credit cards/rates. I guess that was my main question... how do we go about doing that? What do we look for? Are there websites that compare cards? Our credit scores are getting better, as we have paid off cards and made sure to pay on time each month, as well as the re-fi which is now reported to our credit profiles (the land contract was not on our credit reports). I know that time is required, we've spent two years carefully paying everything on time/paying off. Right now, we're trying to maximize our ability to increase our scores, through judicial use of the cards and/or cancelling "bad" cards. I just don't know enough about it to know whether or not to cancel the bad cards? Is it better to just have one card each, with decent rates? Or should we hold the credit cards we have and ride out the high fees for a while longer? I have read that closing accounts doesn't help your credit rating, because the remaining cards, if they have any balance at all, it shrinks your debt to credit ratio. Am I asking this in the wrong place? Is there something I should be reading instead?
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