Hey Marci, Just to start off, I wish to echo the comments of your other friends that have posted already. I have had a very close friend and my mother lose their jobs recently, so I have a pretty good idea what your going through. I just had one quick point. Depending on the balance left when you enter your ultra-frugal stage, you may want to use the card that charges the lowest % of balance to calculate the minimum payment. A difference between 2% and 3% is $30 a month with a $3000 balance. I'm also glad to see you mensioned Citi and other banks sensitivity towards minimum payments. Depending on other criteria, I might deside to leave the balance I the card that I would be most likely to close under different circumstances. The card that isn't the highest CL, etc. That way if your minimum payments make them unhappy, at least your really good cards/banks are still happy with you. If course hopefully that card would have a very low interest rate. Hopefully you get one of those "x.9% on balance transfers until paid off" type offers so your balance only having minimum payments made against it doesn't kill you with the interest. I totally agree with you statement concerning having a number of quailty, low interest rate, high CL limit cards. There are so many benefits as long as you have the self control not to go on spending sprees. It leaves credit options open to you even when you have what would look like high credit limits just having a few, low credit limit cards. I had a friend get himself in a bit of a jam having his credit limits reduced to "remove the temptation" of spending money and had loans declined because of his credit ratios. The only thing I've haven't noticed anyone post was getting declined due to too much available credit. That is what has kept me from applying for one or two more quality cards. I've wanted to apply for a BofA card and perhaps the CitiUSA HHonors or another low APR/high CL card. I sincerely hope that all this typing was a waste of time and you get that great job before any of this is necessary. I wish you all the best.
Re: I lost my job today (long) :- Marci, after reading all this great advice I can't think of anything to add except that I'm sorry to hear about the contract ending. With your education, experience, and intelligence, you'll ultimately be even better off of course, but I realize that doesn't negate the uncertainty you're probably feeling now. In any event, you've got lots of friends out here "on the net"; you know you can email me anytime. Doc
Citibank has Credit Protector and Creditshield. You might call them about the second one because it's an insurance for life and dismemberment, but also involuntary unemployment, if I'm not mistaken. Most creditors can also set up a payment arrangement until you get back on your feet. Citibank has a "Customer Assistance Unit" for your exact scenario...give them a call. Good Luck!
Hi Marci, Sorry about the job Onto your planning. It's smart of you to start planning now how to protect your credit. I agree that it's worth it to do whatever it takes to keep your credit perfect through this. Of course, we haven't even touched on the "borrow money from relatives and reduce your interest to 0, then once employed again pay them back"... so as to the cards: Of all your very prime cards, I only have Cap1. I am certain that, while Cap1 is sensitive to how much over the minimum you make for line increases, I've never seen them "retaliate" like some of the "prime" companies. I've never seen them jack rates because you're high on your ratios or because you're making mins for several months at a time. I don't know which card you have, but now would be the time to upgrade I'm guessing you have good terms. I would recommend making sure to have the 8.9 fixed rate, 0 annual fee, plat card. The percentage is 3 percent of the balance due. My thoughts are this: you have great credit. Talk to the Exec dept about getting their best Plat rates and terms... and a loc increase. They LOVE balance transfers (no fee . See if you can set this up before your situation changes. Then, you can later see if they'll approve a promo bt deal... but at least you can get 8.9 fixed. On 5k it's about 30 or so a month in interest, 150 a month payment. I've also never asked this of them before, but down the road you may ask if you can do 2 percent not 3 percent... you have that choice on the application but if you initially choose it your application score decreases... but it might be worth asking for later... I don't know what your rates are on the other cards or how much you have saved, but while you're still in a position of power, I'd try to renegotiate very low interest rates on all your cards. You might also want to go ahead and establish a bank line of credit or get an installment loan if the rates are favorable to you. I'm not necessarily advocating you get more actual debt now, but you certainly want access to a bit more "nonrevolving" debt as we all know ratios are key with revolving debt. On the Cap1 Plat card, they let you skip payments if you pay more than the minimum. Meaning: if my min is 100 and I pay 500, I'll have 0 as my minimum payment for the next 4 months. The first time it happened I panicked as I thought it was in error. Nope, just encouraging their customers with excellent pay histories to keep revolving more So as you can see, Cap1 may be very favorable to helping you ride out this job search time period. I'm still looking for a credit protection program. I don't see one online so you may need to call and ask them about it... anyway, you have a LOT of credit to work with so you can easily protect your credit, even if it means temporarily increasing your debt load slightly... with all the available credit you have, you can easily ride this out. good luck keep us informed as you go whose credit programs are good and which suck... it's a good lesson for us all.
Hi Roni and Randy - I appreciate the well wishes and prayers. I will need them in the next few weeks. Pinto - thanks for the suggestion but Citi Creditprotection/Shield is not available in my state. I am looking into Involuntary Unemployment coverage from my other CCs. American Express sent me an offer to sign up for their credit protection on the Hilton Optima card. It includes involuntary unemployment insurance which will pay the minimum for up to 12 months. It's 81 cents on the $100.00. I'm going to compare that to other cards offers and see which is the best. JASON: Thanks for your concern and great advice. The two cards of mine that I had intended to close eventually were the Chase and Bank of America cards, due to lack of stellar service. Both are at 18.99% purchase/bt apr and neither will budge. I know that BofA will give me a Prime for the life of the transfer, but I have to call retention directly to do it, and there is a transaction fee. Chase won't even try to play the retention game with me. Interestingly, yesterday Chase sent me 2.9% apr convenience checks good for 6 months. Maybe in September, they will give me a 2.9% apr BT for the life of the transfer, which I'd take and get the fee waived if possible. If Chase got upset with my paying the minimum - I would not be hurt by closing the account and moving on (but by then, prayerfully, the CC debt would be long paid off and this issue would be moot). MARIE: This is good to know. And, yes, I got the across the board 8.9% "no hassle" Platinum Visa in January. I'm due for a CL increase next month to $6100 on the card, but I have been secretly wondering what they will do when my card is up for renewal in July, since I opted out of arbitration. I hope they don't hold it against me. Now this is a nice benefit in a crunch, though the balance will ultimately be higher at the end of the crunch that it normally would be, due to accruing interest on a balance just sitting there. But - I bet it would raise my internal profitability score through the roof. Thanks - I didn't know Cap One did this. Cap One offered it to me on my Classic $200 card back in 1999 and I signed up. It is with JC Penney insurance and I kept it because the benefits are supposedly really good. But I'll need to read my original form that JC Penney sent me a lot closer to make sure. If you call 1-800-889-9939, they will give you the phone number to the Credit Life Protection dept (it's separate) and you can get details from them. My rewards cards are all at 12.75% variable apr - though that can't be helped as they are rewards cards with no annual fee. My AmEx Blue is at the lowest it will ever be - 9.99% apr. I'd love it if they sent me one of those nice 5.9% BT for the life offers that they match with a new credit line. But it seems they only send this out 2 years after card membership. My Generations is at 12.99% but ain't nuttin I can do about that until next March, when it will drop to 9.99% - their lowest. But, this is a possibility for a BT as the CC is hidden revolving, the credit line is huge, I've established a good installment payment history with them (my car), and they won't retaliate if I pay only the minimum. My Cap One is at the lowest it can be - 8.99% - but I like the skipped minimum payments. My Citi card is at 0% through November with hopefully a "go-to" of P+2.99%, which I'm still working on. I prefer to keep my balance with Citi, since I'll probably have the lowest apr of any card with them. Maybe it won't be so bad if Citi hates me for beginning to pay the minimum in October. When all is well, frankly, I plan to never revolve debt and only use my Citi USA Hilton and AmEx cards (paying in full monthly) for my purchases. Citi will be there just for the ratios. But I will hit Chase hard with negotiations closer to August/September and get a 2.9% for the life of the transfer if possible. I have a hidden AmEx loc but it is at 10.75 variable now. I may look into a Generations hidden loc and see if that is significantly cheaper than the Generations CC I have at 12.99%. Hmmmm, now that's an idea... Thanks for the EXCELLENT advice and, yes, I will keep the gang posted on what I find out re the various forms of credit potection out there. But, rest assured Dogman, I will do all that is humanly possible to avoid credit protection. Thanks again, everyone!
Marci, Sorry to hear of your misfortune,but great things come to those who wait(smile). Love & kisses, Sister Girl
marci My AmEx Blue is at the lowest it will ever be - 9.99% apr. I'd love it if they sent me one of those nice 5.9% BT for the life offers that they match with a new credit line. But it seems they only send this out 2 years after card membership. ...NOT IF YOUR "GEORGE"...
As of today...I still have 12.99%... ASSISTANT TO THE C.E.O. IS WORKING ON GETTING ME 9.99% FIXED WITH A 5.90% BT...
UPDATE 7-13-2002 Hi all, I felt obliged to give all who gave me the great advice and well wishes an update on how things have gone on the job front. After looking at research offers ranging from the study of how blood clots and scabs are formed, to how rats transport sodium, to how bacteria control their replication - lol - on Thursday I accepted a new position dealing with human cell cycle gene therapy. I'm going to try to grow human corneas on artificial matrices for transplantation (i.e. cataract replacement from the lab rather than from dead people) by genetically manipulating relevant stem cells. I'm also going to try gene therapy with a chromosome lenghthening gene to increase the life cycle of corneal cells in general (i.e. get your corneas replaced at age 140 rather than at age 75). The job starts well before my current one ends and includes a 6% pay raise. The initial grant lasts long enough to get me vested for retirement and long enough to prepare me for professional school (I hope). The Lord has been gracious to me... I have to reluctantly admit that living below my means has been more challenging than I would like. It's hard to break habits of convenience and differetiating between needs and wants. But I tried. I absolutely refused to buy the 2003 Toyota Corolla the salesperson forced me at gunpoint to drive around the lot. Seriously, this experience and the experiences of some of my friends looking for jobs has taught me humility. "There, but for the grace of God, go I...". I recommend to anyone repairing your credit on this board: 1. Get your reports clean. 2. Rebuild your credit history. 3. But don't mistake rebuilding as the need to buy everything at once. Revolving a $2.00 balance on a CC does just as much for rebuilding as revolving a $2000 balance. 4. Pay yourself first. Force yourself to contribute to a very healthy e-fund. Maybe this advice is self-evident to most people here and I don't mean to be preachy with it; however, to me it isn't and I have to fight every day to live sensibly so that I don't revisit the credit hell that introduced me to this board. Thanks again CreditNetters for all of your help, information, and support.
congratulations marci, I am glad you posted the update. you are right. I have been on a credit drought for so long, i though i would die, when my tu score hit 680.... i was desperately looking for a card. but i realized that in the big scheme of life, my husband and children are more important than any credit score... so i am busy figuring out how to build that e-fund and save more for college(etc). I am so glad everything worked out for you
I know you are going to get through this in no time. It seems like you are already ahead of the game with the possibly fruitful prospects that you have. Stay tough and persistent. You are in my prayers.
Hi Marci, I haven't been participating on the board very much this year and I missed this thread of yours about your job loss. Congrats on the new position !!! An aquaintance of mine was given two - 30 day lates - by Capital One when she lost her job and thought she was protected by their insurance plan. Don't trust any of these plans. The odds are that one (1) or more of them will make a mistake or not honor the plan and ruin your credit. On another subject, I presume that you have a graduate degree or are a grad. student at a University. Have you considered applying to Medical school? It is a grind but I enjoyed being a Physician until my injury. I entered teaching at the med school after the injury. I am even more satisfied with my current occupation. Sometimes when one door closes, another opens. Best regards, Jim
Thanks whyspers and drmgirl for the well wishes. ___________________ Uniondiva - I agree completely re lbym. Something really bothered me a couple of years ago when multiple "Bobby" types were slamming this board. One spammer said something to the effect that "all of you deadbeats trying to get new cards and get over on CC companies/CRAs will be in the same boat two years from now begging for a way out of your new mess". Of course, this guy got royally flamed and eventually banned. Now, I'm neither a deadbeat, nor am I a person who tries to get over on financial institutions but that post causes me to really ask myself "what am I learning from my credit repair process"? A recent post by another long time CreditNet member going through a new set of financial troubles resurrected this accusation in my mind. I don't want to have worked this hard to rebuild my credit only to keep the same irresponsible habits that got me here. Sometimes, I wish this board was more lbym oriented so that we could all prove the spammer wrong. :-/ _________________ Jim, I am seriously thinking med school or PA school, and my current position was chosen with that long term goal in mind. My current salary source is grant based and that doesn't leave much in the way for job security - particularly if one doesn't have a terminal degree (I learned this the hard way). I need to think through family issues before choosing which path to take - but I know that clinical work is always essential to society and, furthermore, for me it is spiritually rewarding. Thank you for your kind post in this thread and the nextcard one, as well.
