Personal Finance

Ask me about Credit Scores

  • Last Updated:
  • Apr 23rd, 2017 12:51 pm
Jr. Member
Mar 9, 2015
144 posts
44 upvotes
Aldergrove, BC
steez wrote:
Nov 13th, 2016 2:24 pm
how often do banks and credit card companies report payments to credit bureaus?
Monthly a couple days after your statement date
Member
Feb 26, 2008
269 posts
52 upvotes
Montreal
Hi guys,

I searched the old posts in this thread but couldn't get a definitive answer.

I'm trying to help out my GF and would like your input.

Current situation: She's a student at university. 1yr left on her engineering degree. She has a part-time job with a annual income in the 15-18K range. She currently has no active credit cards, only a checking account at BMO.

Without getting in much details, she had a few unfortunate events in 2012 and took out 2 CCs that later went into collections. She later made arrangements and paid them off. I pulled her credit report a couple months ago and we had to send some paperwork to EQ and TU to update the status of one of the cards since it wasn't reported as paid off. I pulled her report again yesterday. Her score is (unsurprisingly) at 571. The only active item in her report is her cellphone bill that is in good standing.

We want to improve her credit score and the first step would be to get her a credit card that she'd use to pay everyday expenses without carrying a balance.


Question 1: By looking at the dates and status of both cards that went into collections, can I expect them to disappear from her report around 2020 ? (DOLA + 7yrs ?)
Card 1:
Status: "Bad debt, collection account or unable to locate"
Date of Last Activity: 2013-01 / Date Reported: 2015-09
Comments: "Closed at consumer request" and "Account paid"

Card2:
Status: "Status: Bad debt, collection account or unable to locate"
Date of Last Activity: 2013-01 / Date Reported: 2016-10
Comments: "Settlement made" and "Monthly payments"


Question 2: Is there any chance she'd be able to get approved today for an unsecured card ? I was reading about it online and found the unsecured (w/ 7$ montly fee) Affirm MasterCard that seems to be geared toward people with bad credit. Any better options?

Thanks for the help!
Sr. Member
Jan 20, 2016
768 posts
188 upvotes
Burlington, ON
krusty50 wrote:
Nov 13th, 2016 3:03 pm
Hi guys,

I searched the old posts in this thread but couldn't get a definitive answer.

I'm trying to help out my GF and would like your input.

Current situation: She's a student at university. 1yr left on her engineering degree. She has a part-time job with a annual income in the 15-18K range. She currently has no active credit cards, only a checking account at BMO.

Without getting in much details, she had a few unfortunate events in 2012 and took out 2 CCs that later went into collections. She later made arrangements and paid them off. I pulled her credit report a couple months ago and we had to send some paperwork to EQ and TU to update the status of one of the cards since it wasn't reported as paid off. I pulled her report again yesterday. Her score is (unsurprisingly) at 571. The only active item in her report is her cellphone bill that is in good standing.

We want to improve her credit score and the first step would be to get her a credit card that she'd use to pay everyday expenses without carrying a balance.


Question 1: By looking at the dates and status of both cards that went into collections, can I expect them to disappear from her report around 2020 ? (DOLA + 7yrs ?)
Card 1:
Status: "Bad debt, collection account or unable to locate"
Date of Last Activity: 2013-01 / Date Reported: 2015-09
Comments: "Closed at consumer request" and "Account paid"

Card2:
Status: "Status: Bad debt, collection account or unable to locate"
Date of Last Activity: 2013-01 / Date Reported: 2016-10
Comments: "Settlement made" and "Monthly payments"


Question 2: Is there any chance she'd be able to get approved today for an unsecured card ? I was reading about it online and found the unsecured (w/ 7$ montly fee) Affirm MasterCard that seems to be geared toward people with bad credit. Any better options?

Thanks for the help!
I was told there is few cc you can get with troubled cs:
PC Mastercard, especially she had an income (just a hint - do not say either it stable or not). My wife was approved for it with cs in lower 600
Canadian Tire cc
Walmart cc

And most reliable one imo a cc from her bank with security deposit, almost guaranteed approve.
Newbie
Jul 30, 2008
28 posts
3 upvotes
Toronto
another question and your answers are greatly appreciated.

My situation is:

I had an account with CO last activity date was Nov.12.2010 "bad debt and went to collections". It disappeared from my TU report but still showing on my EF. CO gave me a new $2000 MC back in Feb of this year and i have an 11+ years old RBC Visa both on excellent standings.

Is my Old CO account still shows up on my EF report with last activity date Nov.12.2010 because of my new one, or is EF being lazy and the will eventually remove and how soon after 6 years from the last activity date should i expect it gone from my EF report?

Thanks in advance!
Deal Fanatic
User avatar
Aug 8, 2012
7280 posts
2508 upvotes
BC
steez wrote:
Nov 15th, 2016 5:03 pm
another question and your answers are greatly appreciated.

My situation is:

I had an account with CO last activity date was Nov.12.2010 "bad debt and went to collections". It disappeared from my TU report but still showing on my EF. CO gave me a new $2000 MC back in Feb of this year and i have an 11+ years old RBC Visa both on excellent standings.

Is my Old CO account still shows up on my EF report with last activity date Nov.12.2010 because of my new one, or is EF being lazy and the will eventually remove and how soon after 6 years from the last activity date should i expect it gone from my EF report?

Thanks in advance!
How soon after 6 years? I guess not 3 days soon :) Considering the 12th was a weekend, it hasn't even been 2 business days yet.
POLL: How many credit cards do you CARRY?
Plastiq: Pay any bill with credit card for 0-2.5% fee (help meet min spending and keep old cards active!)
Rewards program transfer times (e.g. SPG->Aeroplan, Marriott->SPG, Amex MR->SPG...)
Newbie
Jul 30, 2008
28 posts
3 upvotes
Toronto
ace604 wrote:
Nov 15th, 2016 8:12 pm
How soon after 6 years? I guess not 3 days soon :) Considering the 12th was a weekend, it hasn't even been 2 business days yet.
TU removed it over a month prior to it's full 6 years limit! It doesn't hurt to be a little hopeful Smiling Face With Sunglasses
Newbie
Mar 20, 2015
91 posts
22 upvotes
Toronto, ON
krusty50 wrote:
Nov 13th, 2016 3:03 pm
Hi guys,

I searched the old posts in this thread but couldn't get a definitive answer.

I'm trying to help out my GF and would like your input.

Current situation: She's a student at university. 1yr left on her engineering degree. She has a part-time job with a annual income in the 15-18K range. She currently has no active credit cards, only a checking account at BMO.

Without getting in much details, she had a few unfortunate events in 2012 and took out 2 CCs that later went into collections. She later made arrangements and paid them off. I pulled her credit report a couple months ago and we had to send some paperwork to EQ and TU to update the status of one of the cards since it wasn't reported as paid off. I pulled her report again yesterday. Her score is (unsurprisingly) at 571. The only active item in her report is her cellphone bill that is in good standing.

We want to improve her credit score and the first step would be to get her a credit card that she'd use to pay everyday expenses without carrying a balance.


Question 1: By looking at the dates and status of both cards that went into collections, can I expect them to disappear from her report around 2020 ? (DOLA + 7yrs ?)
Card 1:
Status: "Bad debt, collection account or unable to locate"
Date of Last Activity: 2013-01 / Date Reported: 2015-09
Comments: "Closed at consumer request" and "Account paid"

Card2:
Status: "Status: Bad debt, collection account or unable to locate"
Date of Last Activity: 2013-01 / Date Reported: 2016-10
Comments: "Settlement made" and "Monthly payments"


Question 2: Is there any chance she'd be able to get approved today for an unsecured card ? I was reading about it online and found the unsecured (w/ 7$ montly fee) Affirm MasterCard that seems to be geared toward people with bad credit. Any better options?

Thanks for the help!
Capital One Guaranteed credit card is her best bet, but her income might be problematic. Technically she is a student. I would combine her income with student loans when filling out the application. Capital One will approve her, she just may get stuck with the $300 limit - but she can get a CL increase in 6 months if uses the card correctly
Member
Feb 26, 2008
269 posts
52 upvotes
Montreal
Tay12345 wrote:
Nov 15th, 2016 9:20 pm
Capital One Guaranteed credit card is her best bet, but her income might be problematic. Technically she is a student. I would combine her income with student loans when filling out the application. Capital One will approve her, she just may get stuck with the $300 limit - but she can get a CL increase in 6 months if uses the card correctly
Thanks for your input. We actually went with the guaranteed Capital One card when I found out yesterday that the Affirm MC (and some other similar cards) isn't available in QC. She'll be able to start from there and work her way up!
Newbie
Jan 12, 2011
20 posts
1 upvote
Hi,

I would like to know if I call to decrease my credit limit, will it have an impact on my credit score?

I have been told that I will still get a soft credit hit... can anyone please confirm or give me more details about it?
In addition, I heard that it is better to keep my total credit limit high enough so my ratio gets lower? Is that true?

thank you!!!
Sr. Member
Oct 8, 2012
767 posts
155 upvotes
Vic
kayster wrote:
Nov 16th, 2016 11:03 pm
Hi,

I would like to know if I call to decrease my credit limit, will it have an impact on my credit score?

I have been told that I will still get a soft credit hit... can anyone please confirm or give me more details about it?
In addition, I heard that it is better to keep my total credit limit high enough so my ratio gets lower? Is that true?

thank you!!!
Yes don't lower your credit limit, it'll hurt your overall utilization ratio. Unless you can't control your CC spending, keep it as it is.
Newbie
Jul 30, 2008
28 posts
3 upvotes
Toronto
I found this account on my credit report which i don't remember having and to my surprise it's in good standings. It states opened since 10/99, would that count towards my credit history? I have other accounts with an RBC Visa since 10/2005 being the oldest to my knowledge, so when would be my credit history start point?

Reported: July XX, 2001
$0.00 Open

Overview

Balance$0.00
Highest reported balance$1,000.00
Account StatusOpen
Opened date Oct XX, 1999
Closed date—
Term0 months
Account Details

TypeInstallment Account
ResponsibilityIndividual
Newbie
Nov 26, 2016
1 posts
Does taking a first time home buyer loan on RRSP drops credit score ?. If so by how many points . How much credit score should be there to buy a house (minimum below that its difficult to get a loan) Thanks for the answer
Deal Fanatic
User avatar
Aug 8, 2012
7280 posts
2508 upvotes
BC
shivaram wrote:
Nov 27th, 2016 4:35 pm
Does taking a first time home buyer loan on RRSP drops credit score ?. If so by how many points . How much credit score should be there to buy a house (minimum below that its difficult to get a loan) Thanks for the answer
When you take money out of your own RRSP it isn't a "loan" that is reported to the credit bureau, the government is just letting you avoid paying taxes on the $25k(?) max withdrawal if you meet the criteria and agree to recontribute it. If you don't meet their timeline you are subject to taxes (/penalties?). There's no real loan here.
POLL: How many credit cards do you CARRY?
Plastiq: Pay any bill with credit card for 0-2.5% fee (help meet min spending and keep old cards active!)
Rewards program transfer times (e.g. SPG->Aeroplan, Marriott->SPG, Amex MR->SPG...)
Sr. Member
Jul 14, 2006
858 posts
93 upvotes
Any ideas why I can't get a TransUnion credit disclosure report online? It keeps telling me there is an authentication error, I have tried my current address (been here for 9 years) and previous one.
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