POST DMP Credit building

[moemeadors]

DMP is about over and to add to this new forum how I am obtaining new credit. See below for my scores. I have elected to not worry about the TU FICO score. Will worry about that when my last baddie comes off.

 

1) Signed up for truecredit and scorewatch

2) I have had a little used NFCU account that I am currently transitioning to be my CU/Bank of choice

3) Applied and received $1200 unsecured NFCU cash rewards visa.

4) Currently holding for 45 days (time to get card and one month report

 

What is next -

 

1) Secured loan from NFCU

2) two CD's From NFCU

3) Apply for NAVCHEK LOC and overdraft protection

4) Apply for NFCU mastercard

 

Hold 4-6 months. See where I am at.

 

 

Been developing a plan for a while, just implemented beginning steps recently. Thought it might help someone else coming out of DMP. Been there for three years, if you have any questions, please ask.

Edited August 2, 2009 by moemeadors

[radi8]

Excellent plan! Be sure to update us on changes to your scores (if you happen to check them) along the way.

[moemeadors]

My plan was to watch each movement on score watch and see what happens. I will post here.

 

Only thing so far is EQ lost 2 pts for application. New Card only reporting on TU and EX so far. Lost 4 FAKO points there.

[natesmommy]

I'm currently in a DMP with CCCS and have paid off half of what I owe in about 2.5 yrs time. I'm curious to ask you if your credit score came up while in the program or if it took paying it off completely before you saw an improvement. Long story short, my father died last fall, leaving me with his home to sell. I will get about 50K in cash at the end of October and need to know if I'd be better off paying off CCCS completely then, or whether to use that money to do the remodel on our home that desperately needs to be done. I am not sure I'll be able to get the credit immediately after paying off CCCS. What has your experience been?

[moemeadors]

I never tracked my scores until the last couple months. I would imagine over the last couple years they had to have gone up. I was supposedly (from the refi guy) in the 400's when I started. My FAKO's are in my sig, and that is how they are now. The striked ones are from the beginning of the repair process.

[CTSoxFan]

DMP is about over and to add to this new forum how I am obtaining new credit. See below for my scores. I have elected to not worry about the TU FICO score. Will worry about that when my last baddie comes off.

 

1) Signed up for truecredit and scorewatch

2) I have had a little used NFCU account that I am currently transitioning to be my CU/Bank of choice

3) Applied and received $1200 unsecured NFCU cash rewards visa.

4) Currently holding for 45 days (time to get card and one month report

 

What is next -

 

1) Secured loan from NFCU

2) two CD's From NFCU

3) Apply for NAVCHEK LOC and overdraft protection

4) Apply for NFCU mastercard

 

Hold 4-6 months. See where I am at.

 

 

Been developing a plan for a while, just implemented beginning steps recently. Thought it might help someone else coming out of DMP. Been there for three years, if you have any questions, please ask.

 

Congrats on your successes. My only concern on your plan is that you are putting all of your eggs in one basket with Navy. I understand they are great, but you may want to get a product from a second lender to diversify. Maybe see if you can get a secured loan from another CU, or a Secured CC (if they won't do unsecured)

[moemeadors]

I am former military...I think USAA is next and Bayport FCU after that. I have burnt a lot of bridges with some big companies in the past...CITI, GEMB, HSBC, capone, etc...got a while to go before I apply to them again. No hurry though. I do want a FICO mid of 700 by mid next year...

[natesmommy]

Thanks for the info Moe. I guess I'll just have to call CCCS and talk to them about this and see if they have any suggestions on what to do. I also found out by researching online that if you were to take on new debt, say your car dies and you have to finance another one, that some creditors will drop you from the program. I surely don't want that!!

[moemeadors]

Just trying to keep track of how my scores are going through my plan. Received a Scorewatch alert and my new EQ score is 623 an increase of 21 pts.

 

Truecredit shows old DMP account updated as Paid and NFCU showed up on EQ.

[Tomsey]

If you do a search on this website you will find that some who were in a DMP waited until their debt load was reduced enough through the plan that the balance was an amt that they were able to pay themselves-even if the cc companies went back up to their original "jacked" rate for the last couple of months. They then contacted the DMP company and withdrew their acct/accts and paid the last few months themselves. The DMP info dropped off of their reports prior to the balance being 0. I am not sure exactly the steps to take, however, there is information on this website. I am not quite there yet, but this is what I plan to do when I get there. I will do my own search at that time to get the details. Good luck to you.

[moemeadors]

Well, been hiding and thought an update was due.

 

 

From before:

 

What is next -

 

1) Secured loan from NFCU - Got the secured loan, but funny thing, never showed up on my credit report and no pulls.

2) two CD's From NFCU - Got one for 1k

3) Apply for NAVCHEK LOC and overdraft protection - After a week with the CD, applied and got 15K Navcheck

4) Apply for NFCU mastercard - Sometime around christmas.

 

High income - NO DEBT were contributing factors. FICO EQ 623.

 

With all the bad about DMP, remember, YOUR DEBTS ARE PAID OFF IN FULL AND THAT KICKS flowers>

[LillyAnn76]

Great job!

 

You have done well.

 

So the myths of post DMP is not as bad as it may seem then is it.

 

Your posting this info allows others such as myself to think hard about DMP. At first I was scared it would be a total nightmare to get new credit to get your scores moving again after DMP but now I am finding out from you and others that in time your scores will rise once again.

 

I appreciate the time you took to post the information.

 

Keep us posted as your information is very helpful to others.

 

Thank you

[simply1]

Thanks for the info Moe. I guess I'll just have to call CCCS and talk to them about this and see if they have any suggestions on what to do. I also found out by researching online that if you were to take on new debt, say your car dies and you have to finance another one, that some creditors will drop you from the program. I surely don't want that!!

I don't believe auto loans or mortgages will affect your standing, however any new unsecured debt can cause companies to drop you from their program if they see a new line added.