Anonymous
Anonymous asked in Business & FinanceCredit · 1 decade ago

Rebuild Credit Card?

if u have bad credit and u do not have a credit score and u open a credit card to to rebuild your credit. How long does it take to rebuild your score with a credit card>

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  • Carlii
    Lv 4
    1 decade ago
    Favorite Answer

    It can take as little as 6 months, but... in all honesty, the first few months you have a new account open, your score is automatically based on a more sympathetic calculation, so... no matter where you're at in your credit, your score will look a few points better in the first few months of having a new account open.

    One thing you should check before getting a credit card, though - make sure they DO report to the bureaus. Some gas credit cards and department store cards don't, so... if they don't report, you don't get a great score.

    You might want to think about getting a secured loan first - I do that every year with my tax return. It doesn't affect what kind of cash flow I have, I give my bank $1,000, they stick it in my savings account (I can't touch it there), and they give me $1,000. Every month on the due date, they take the payment amount out of my savings account, and I don't have to do a single thing. As long as your payments are for 6 months or longer, it builds credit.

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  • 1 decade ago

    Those credit rebuilding cards are bad. My husband has 2 of those cards. They charge almost 25% interest on any balance.

    We cut up the cards and are now paying off the balance. One card says that they will give you $250 in credit for a very bad credit score. What they are really giving you is around $75 in available credit. They charge $175 in fees just to open the account. They will bill you in a few weeks even if you haven't used the credit card. My advice is to check with agencies such as the Better Business Bureau and with your state's Attorney General's office of consumer protection before looking into getting a credit card such as these. One word of caution. If you fall behind on any of these types of cards they will charge you outrageous late and interest penalties. Congress changed the laws about what credit companies can charge once an account becomes deliquent. Some companies do offer a secured credit card which reports to the credit bureaus. You open a savings account with these banks, and if you fall behind on the bills they take money out of the savings account to pay the bill. Credit cards are nice but they can cause problems also. Be careful with credit.

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  • Anonymous
    1 decade ago

    Approximately 6 months. However if your going to try to rebuild with credit cards you should use a pre pay card (to save from high fees, or http://mycreditwealth.com/index_files/Page1087.htm

    as mentioned by Edward Jamison One of the leading credit experts.

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  • Anonymous
    1 decade ago

    about 6-9 months if you make your payments on time.

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