I now have too much credit available to me due to the credit unions. Before I proceed further to explain why - I have to stop and think of how this looks to other people here on the board. So let me say in advance, I realize that many credit unions are unprofessional. However, I have had good luck with them since my Chap 7 BK was discharged in Feb 1999. Early in '2000, I explained what happened regarding my injury and subsequent BK to two (2) of my credit unions. Because I could document what happened, I was granted 2 unsecured credit cards with respectively $3K and $2K limits. Along with the $2K card I also took out a $1K / 1 year secured loan that I paid back. Recently, I reported here on the board that my $3K card with the first CU was upgraded to $6K and made gold. The offer to upgrade came preapproved. No credit inquiry. More recently, I reported that I applied to upgrade the $2K card with the second CU to $6K. The credit union did a hard inquiry and I got the upgrade to gold and $6K. Today, I discovered that I actually got a new $6K gold card and that my original $2K card was upgraded to $6K from the second CU . So I have a combined total amount of credit available to me of $12K at very favorable fixed apr. etc. When I spoke to the CU rep, she told me that one of the reasons the CU was happy to extend me $12K in credit was that I had paid off that measly $1K secured installment loan on time. I had a good mix of credit history with the CU in her words. Next year, I plan to buy my first post BK home using credit union financing at favorable terms. My Providian visa, GM card and Nordstrom cards that I was lucky to get earlier in the year, will be closed at a later time as I now have too much credit. Nextcard may be closed also unless they improve their apr. Sticking to facts - I got lucky here because I had found the board nearly a year ago and learned a lot from the people posting here. For example, where I live Experian is pulled for almost all credit inquiries and I was able to delete 14 hard inquiries on EX via Creditexpert. I am really glad I developed a business relationship with the CU's. No bank would have moved me along my credit journey this quickly. Best regards, Jim
You are very fortunate to have a good credit union. Mine are a bunch of bastards!!!! I have tried several times to build a credit relationship (I only have a share savings account with them) and they have shot me down in a most cold & condescending way every time. Even going so far as to give me one reason, I prove the reason is false, so they change it to another reason and so on and so on...... I went ahead and took out a secured loan with them hoping if I use at least some sort of credit with them they will eventually give me a chance. Stories like yours give me hope.
Hi Maer! Actually I remembered your thread. You and a number of others here reported negative experiences. That was why I tried to paint an accurate picture about my experience. I live in California and the state government here has mandated that credit unions be more flexible in accepting members. Therefore, I belong to five CU's. You might look around for another CU to join. They may be more flexible. Also, a secured card might be to your advantage for a year. I had a hard inquiry with the second credit union back in 2000 when I got the "secured loan" and the credit card. It was worth the inquiry. My hope is that your CU experience will be as good as mine. Best regards, Jim
Hi Jim, I am also in CA.. recently I got a secured shared loan from Golden 1 for $1000. This is for 1 year.. I've heard they report to all 3 CRA's so I am hoping this will build my credit.. however, I had a question regarding whether it shows up on the CR's as secured? Also, which CU did you go to if you don't mind me asking and where did you get the credit cards?
Jim I had a hard inquiry with the second credit union back in 2000 when I got the "secured loan" and the credit card. It was worth the inquiry. ------------------------------------------------------------------------------------------ "HARD" for a securred? WHY?
A "HARD" for a secured account is as bad as a "HARD" to combine two existing accounts at the same bank!!!
I live in California as well. I figured I would have the best luck with the Credit Union that services the company I work for. I have worked here for nearly 11 years and thought that would count for something with them, but it didn't. It probably wouldn't be so hard to take but they are just so darn snotty about it all. Maybe I will try another credit union. There is another one close by.
I am in agreement with Jim on his perspective on Credit Unions. They are not always the best at customer follow-up, etc. I two experiences of my own with one of my CU's. When I could not get any answers, I sat down one night and wrote an e-mail to the CEO of the CU. I really didn't hold out much hope on a response, but to my surprise the next day I received a return e-mail and 4 phone calls. I opened a Share Savings, a draft checking, and a secured loan to establish a business and credit relationship. In response to my letter I now have a Visa debit card for my checking account and a secured Visa account at 15% APR. No it doesn't compare to a 9.9 card, but not to bad for being just a year out of a Chapt. 7 BK. In a year with good payments they will unsecure and the rate is 13%. I will also be able to re-finance my car in 3 months thanks to good payment history on my secured share loan. I also now have direct phone contacts to the CEO, loan manager, and member services manager. I definitely know I could not get this far in a bank. I learned all about credit unions from this board and decided to try them. I am fortunate in that through my research I found I am eligible to join 10 CU's in my area (including my employer's). So far I belong to 2. If you are not happy with your credit union, I would highly suggest writing a letter to the management. If that does not work or you do not want to do that, research CU's in your area. I learned much about the CU's in my area off the web. As for my secured share loan, my loan reports as secure. I think for the most part on secure installment loans that seems to be more the rule than the exception. Others may be lucky and it is not reporting as secure. If you want to rebuild your damaged credit, a CU is definitely worth looking into.
Hi Ender, Congrats on a good move!!!!!! My loan showed up as "secured" on all 3 CRA reports. It also showed up as "Paid/ Never late". Make no mistake about it - This is positive credit history that you are adding to your credit file. After you pay it off, the positive notation will be there for 10 years. However, don't pay it off early. There have been reports that the CRA's dont rate it as highly if you pay it off early. The important thing here is that you are building your relationship with the CU for more loans later. Orange County Teachers FCU and Boeing credit union are the lenders. I did not mind the questions at all. My credit is restored and I am only here to help others. Best regards, Jim
Hi GEORGE! GEORGE is right!!!! In May, 2000, when I was applying for CU credit, I did not know that I could negotiate with the CU to eliminate the "hard inquiry". Since then, others have posted that as a "secured loan" is risk free, the CU has not done an inquiry. May 2000 - life before the board. LOL Jim
Just an update. LOL I subscribe to Creditexpert (Experian). Today, Creditexpert recorded that my original credit union visa card increased from a $2K limit to $6K. The new $6K card is not showing yet. Simply too new. My Creditexpert score was 701 at the time of the credit pull. I found out from the CU that my credit score was actually 728. Today my Creditexpert score moved to 702. Yippeee!!! Up one point for an additional $4K in credit. I suspect my real 728 credit score moved up 1 or 1+ points. Oh well. I still like Creditexpert even if it is a generic credit score.
I received in the mail today an offer from my credit union for a 1% reduction in any new consumer loan good thru 2/01/02. I've used my cu for three car loans over the years after having shopped around elsewhere. They always came thru with the best terms. I expect to use them again next year for another new car.
Congratulations on all your success Jim. Good to hear that you are doing well! Perhaps I will look into Orange County Teachers and Boeing. I wonder if I can qualify at all. For now, the loan I have is for $3000 (I thought it was $1000, but actually $3k) and my payments are about $260/mo. I am doing auto payments from my checking account. I hope to do this for the full year. As I pay more, the $3000 secured in my savings account (share account) frees up little at a time.. My ultimate goal is to be able to purchase a house sometime next year.. around Oct-Dec 2002. By then I am hoping my credit is spotless and with enough positives to get a strong mortagage loan. Anyhow, thanks again for the info!
Hi Mist!! I had a number of credit union auto loans over the years. Great terms and no prepayment penalty. Around July, one of the credit unions I mentioned here sent me a preapproved $25K auto loan. No documentation was necessary - Not even a pay stub. The apr. was 7.5% or so. Definitely 7.something. Jim
Thanks for the comments Ender, I don't know what county in CA you live in but... You might try doing a key word search such as "County Name" credit union. For example, there is an Orange County credit union. It is open to anyone who lives in or works in or worships in Orange County, CA. I joined Boeing years ago when I had a summer job with them. I think they may be more difficult to join because they are Washington state based. Do check out the OCTFCU website - maybe you can find a reason to join. There are other teachers credit unions in CA. Good luck- Jim
