is 741 possible?

Question

I have a question.  So this past year I've really come around a long way with keeping up and mantaining my credit score. I'm kinda young and made a few mistakes with my credit cards.  Who doesn't?  So I had about 3 accounts that I've defaulted multiple times about 2 months  in a row late 30 days, the next one was 30,60,90 . 30, 60, 90 and another one just one late month.  That's pretty much all that is wrong I don't have any collection accounts or anything so would do you think it's possible to reach a 741 credit score and be eligle for those (excellent) credit people credit cards. I'm about a year from that whole situation. Will I be able to reach that if i stay consistant or will that not even be possilble till it falls off 7 years from now?

Caesar Valle · Answer

So it's been almost 2 years since I last posted and I thought I would give an update on my situation for others who might be in a similar situation. When I made this post I was at a 545 fico score and now it's 706. over the past year I've basically disputed everything that was hurting me. I was able to get all of my delinquint accounts made current except for 1 account that is showing 30 days late only on one bureau. So answering my own question yes it CAN be done.
-Caesar

Account Closed · Answer

I don't know how the credit repair companies work for short cuts. But I do know that if you keep your oldest credit card open to establish a longer credit history, and pay everything on time from now on, and keep your revolving credit line balances low, and don't open a lot of revolving lines of credit, you can have extremely great credit in about 5 to 7 years, higher than 741. More like 780 +

Andrew R · Answer

Thanks for the Update Caesar, Im actually starting out with my credit and plan to get a 760 so I can get a good credit card lol

S J · Answer

with all the credit card companies either raising their interest or cutting their lines, maintaining a good credit will be harder if you have balances outstanding. CASH IS KING. if you have it then pay your debt down and use your credit wisely. no late payments and your credit will start going up in 3 mo.

Frank Kriticos · Answer

You are all correct!  Theres looking at it from  the credit side to the whole picture financially.... both being great advise.

This forum is very valuable for anybody who does not look at credit reports everyday haha

Ali NA · Answer

I disagree. I don't just look at credit as leverage, I look at complete financial wellness. In order to truly maintain financial wellness, a good rule of thumb is that if you do not have the CASH to buy clothes, electronics, etc, then DO NOT BUY THEM. If you don't have the cash to buy something, then you CAN'T afford it. Be responsible with your credit. Open as few cards as possible but be responsible.

Financial wellness isn't just about credit, its about balance. its very easy for people to put everything on a credit card and not have any personal attachment to how much they are actually spending. That is why casinos give people chips instead of letting them bet with cash.

Buy consumer goods with cash. If you don't have the cash, don't buy it. And....save.....save for the things you can't afford. That's what people used to do.

Alina Nicol · Answer

If you can affoprd to buy clothes than yes get department store cards. If you decide you need to buy something use the card and pay it off right away. Keep your balance under 50% of the limit at all times, below 35% is even better. All REV accounts will help you if you follow those simple rules.. just remember that while the account is new it WILL neggativly affect your credit for the first year.

Ali NA · Answer

yes, I do know this subject. I do this for a living...
            
            Dept store cards typically have the highest rates, worst fees, worst penalties and if you can only use them at dept stores they tend to create situations where people buy items (clothes, shoes, electronics) that they cannot afford.
            
            If you can get a dept store card, you should be able to get a secured credit card. Many people start off rebuilding their credit using a secured credit card. I would never recommend getting a dept store card. There are many other ways for someone to rebuild good credit history without having to get a dept store card.
            
            If that is what you currently have, then paying on time will definitely help you. However I for someone looking to establish or rebuild credit that doesn't have any credit cards I would recommend many other options.
            
            fyi: I opened a Macy's card many years ago before I knew all the rules about credit. Its the only dept store card I own. I have rarely used it and when I have I have paid it on time if not in full each month. Even with an excellent credit score the interest is 25%. That is not a good deal!

Alina Nicol · Answer

Actually in a perfect credit world the magic number of REVOLVING accouts is 5 SEASONED Revolving accounts. Seasoned meaning not new.

Ali NA · Answer

Yes Caesar, you most definitely get that high credit score and you can do much faster than you think!!!
            
            Those late payments can be removed so don't worry so much about that. There are several additional factors that make up your credit score.

Pay your bills on time, don't apply for department store cards, don't apply for too many credit cards (3 is enough), try to keep your utilization under 50% and don't close accounts even if you do not use them.
            
            You can have the score you desire well within 12 months!!!
            
            Be proud of yourself for staying on top of your credit, educating yourself about it and being responsible with your credit going forward.