Jump to content

Please consider disabling your adblocker for CreditBoards if you have not already done so.  This site depends on advertising revenue to stay online.


Sign in to follow this  

Can't get a loan/unsecured credit card due to bad credit established as a teen. What can I do?

The last post in this topic was posted 2655 days ago. 

 

We strongly encourage you to start a new post instead of replying to this one.

Recommended Posts

Hello! Long time creeper, first time poster! :wave:

 

I'm starting to get really fed up, frustrated and embarrassed of my situation and have no idea how to fix it. Back when I first turned 18, I applied for a credit card ($500 limit) and was approved straight away. I lost my job about a year later and was unable to make even the minimum payment on my balance (it was completely maxed out because I was an salamander with spending) and it went into collections. This credit card that went to collections still pops up as an "active card" with every place I've applied to get a credit card (including my own bank, a different bank than my original credit card that was issued), even though it's been long cut up and gone about 3 years ago by order of my old branch. Naturally, this looks terrible on all my applications. I no longer have this credit card and it's currently in collections, so why is it still showing up on my applications? I feel like I'm missing something here.

 

I have a couple of other debts as well which are both with Telus. One is for a cable TV bill that went unpaid due to some falling outs with my old roommates (I was the only one making payments on it, everyone else lied about paying their share) so eventually it got racked up with late fees and additional charges. I was so upset about this situation that I moved out and made the mistake of leaving the bill open and without payment. Boom. Straight to collections, owing $750. The next was my cell phone bill, which I also couldn't afford to pay after losing my job. I called Telus to try and cancel my service and was told to pay $420 of money I did not have in order to cancel my contract. Naturally, it eventually went to collections as well. :(

 

The kicker and stupidest move on my part was taking out payday loans to get by after all this happened and I lost my job. Long story short, I owe a total of about $800 between 3 different loan companies dating about 2 years back from today. I went into a deep depression over personal and relationship issues so I was very apathetic about paying this money back at the time it was the most urgent and opportune. Now that I've picked myself up again, the thought of how much interest I've probably accrued from all of this scares me. I currently owe around $2600 as a rough estimate for my current debt (it is most likely more than this however). It could be far far far worse and is a fairly small amount, but the marks on the credit score are hurting me more than the actual money owing itself.

 

I am now 22 years old with a good paying job and far better financial habits. I never overdraft from my accounts, am never late on rent, pay my current cell phone bill on time every month in full and bought a car without the use of a loan (so there's no debt there). I feel useless when it comes to helping my boyfriend with financials however (we live together) because of my poor credit and not being able to take out anything in my name once the word "credit check" pops up. He says that it doesn't bother him and he knows and understands my situation (he feels it is "his job" to take care of me) but I feel terrible that everything has to be in his name due to my teenage mistakes. I would like to help him out and take some responsibility as well, despite the fact he feels it's unnecessary.

 

My credit and debt situation is just a big mess. I have no idea which agency has what balance so I don't even know where to begin getting in contact to fix this. Just recently my car has been having trouble and the amount to fix it is too great for me to afford. I can't get a car loan without a cosign, which I don't want anyone to have to do for me anyway. Even places that practically hand out credit cards won't approve me. All of the collections calls have mysteriously stopped for the past year or so, and this scares me too as I fear they may be starting to take further action. I really just need some advice on where to start fixing all of this before it gets worse and to get my life back. Can anyone help?

Share this post


Link to post
Share on other sites

First you should provide detailed information of what you want help with as far as type of debts. After that someone will read and assist. People here are great for advice!

Share this post


Link to post
Share on other sites

It's not hopeless, and congratulations for taking the beginning steps to good credit.

 

First thing, if you haven't done this yet, get your full reports (not your scores) from annualcreditreport.com. These are your annual free reports.

 

Second, start reading as much as you can here, especially the stickies and noobie threads, and get some basic understanding of your reports and scores. Be prepared to be totally confused in the beginning. Just remember, you didn't get into debt overnight, and it will take some time to get back on the right track.

 

Third, go over your reports and look for possible errors and things that don't make sense, then start asking specific questions.

Share this post


Link to post
Share on other sites
Sign in to follow this  

  • Similar Content

    • By BFee317
      I finally decided to attack my credit issue rather than pretend they don't exist. Here is the situation
       
      Here is my CreditKarma information...
       
      TransUnion and Equifax (both show the same items
      Credit Cards $0
      I have a $500 secured Discover IT card that I used for YouTube TV payment and that is it. Between 10% and 30% utilization opened May 2020.
      My mother added me as an authorized user to her Costco Capital One card that has perfect payment history, 8 years open and a $15,000 limit.
       
      Collections $5,317
      Armada Corp
      Total Accounts 6 (medical) Oldest age of account 2019
      $3,193 
       
      Puget Sound Collections 
      Total Accounts 2 (medical) Oldest age of account 2019
      $1,814
       
      Solverity
      Total Accounts 1 (medical) Oldest age of account 2019
      $310
       
       
      Student Loans
      $0
      Accounts Were Garnished from my paycheck and paid
      Closed Accounts 4
      Dept of Education/NELNET (Closed 4/2016) 
      Dept of Education/NELNET (Closed 4/2016)
      US Department of Education (Closed) Opened 09/2012
      US Department of Education (Closed) Opened 09/2012
       
      I have sent debt validation letters to all three credit bureaus and this is what was verified. Where do I go from here. I was added as an authorized user to my mothers credit card (Capital One Costco) about a month ago. I hope this helps my score improve but it hasn't reported yet. I saw a 25+ point boost from my secured discover card but it hasn't helped since then. Can anyone offer some guidance as to a path for a better credit score? 
       
      Thanks,
      BFee  
    • By BFee317
      Anyone have experience pulling medical collections back from the credit agency and start a payment plan with your HC provider? Or negotiating with a HC provider for items already in collections and paying the HC a negotiated monthly amount or a one time negotiated payment then doing WhyChats system if the items are not removed from collections? The reason I ask is I have over 9 open accounts with Armada Corp (CA) totally over $15,000 and I am looking for the most efficient way to get this removed from my credit report.
       
       
      Thanks,
      BFee
    • By maddox80
      Lovely Navient is posting 4, yes 4 charge-offs on my credit report.  I'm starting with Equifax.
       
      Round 1:  Disputed because there was still a past due balance showing on the charged off accounts (all of them).  One Navient Account deleted, the rest were "verified."  Equifax "updated" the "date of last payment" to literally June 2020 ... on charged off accounts.   They still show a past due balance, even though the debts were sold to a collection agency. 
      Round 2:  Sent a method of verification letter to Equifax.  Equifax responded with a "We don't have a credit file for you" letter.  Stall tactic?
      Round 3:  Sent a second method of verification request with copies of the "we don't have a credit file for you" letter, proof of identity, copies of their previously "verified" accounts/"investigation results" pointing out they reported payments on charged off accounts.  Interestingly, the "little boxes" that appear under the accounts which tell you if it's a timely payment, late, or a charge off still show a "late/charge off" for the months Equifax says they verified I made payments.  Result:  Investigation is PENDING.
       
      I signed up for MyFico and apparently, Navient is reporting these charge offs/lates, FRESH, on a monthly basis - even after they sold the debt.  Is this legal?  How can I be late on a debt that doesn't exist anymore since they sold it off? I had a charge off before for a credit card a long time ago and once it was charged off and sold (Navient sold the debt as well) it wasn't reported every.dang.month.  Is this legal or some sort of reporting violation?
       
      Am I doing this correctly?  Should I do a 609 and demand that they show me a copy of my MPN?  TIA!!!
       
       
    • By Hi-Tech
      I am in really bad need of some advice on what to do with two accounts showing up on all 3 credit reports. I realize I made a mistake and somehow I need to fix it but I don’t think I deserve what this place is doing. The two accounts are duplicate accounts and are the same credit card account, but it is not showing that way according to all 3 credit report agencies.
       
      In 2019, I was going to be away for 3 months for some important medical treatments and I knew that I would not be able to take care of my payments during this time, so I set up automatic payments from inside my checking account and paid them their payments that way.  I had always made my payments on time so I was surprised when they closed my account.  My bank said that the payments should have been delivered by the due date, but Merrick Bank said that they were late by two days all three months. So they charged me a late charge of $39, three months in a row and then closed my account by the time I could get a hold of them. 
       
      Once the account closed, they turned it into a collection agency right away. But now on all three credit reports, it is listed from the credit card company as well as the collection agency and makes it look like I owe $2444 between the two.  The card was not maxed out and they inflated the balance big time.
       
      What’s worse, is the collection agency somehow updates it as a late payment every month and I get an alert from my credit monitoring website saying that I have a new late payment.  The collection agency is also listed as 12 charge-offs.
       
      I realize that what is done is done and there’s not much I can do about it. I am planning on paying this off in the next 6-12 months, but in the meantime, I do not think it’s fair that it is listed in duplicate and that the collection agency continues to update it as late every month. It is hurting my credit score considerably because it is renewed as a new late payment every month, as well as two separate accounts.
       
      Are they allowed to do this or should it just be listed as one account instead of having it on there in duplication?  Can anyone please tell me how I can possibly go about fixing it so that only one account is listed on my report correctly? It seems like something like this should be illegal or be against FCRA rules. I am also surprised that they are able to list it as 12 charge-offs!  Unbelievable.
       
      Merrick Bank listed me for a bunch of late payments in 2019, but stopped then.  CWS/CW NEXUS has continued to list me as late every month and just listed a new late payment for August 2020.
       
      The info from the accounts is copied below. The first one is the credit card company, Merrick Bank. The second one is the collection agency, CWS/CW NEXUS.  Merrick Bank will not talk to me whatsoever on the phone and will transfer me to the CWS/CW NEXUS if I get through to a live person.  The collection agency called me once in the beginning, and the representative was as surprised as I was and I have never received any more calls from them since.
       
      My credit is otherwise very good and I have around 20 accounts all reporting good payment history except for this company reporting every month as late with 12 charge-offs.  I apologize in advance for the long read, but I wanted to make sure I had the correct information in the post.  Thanks for any help!
       
      Credit Card Company:
       
      MERRICK BANK CORP $1,262
      Closed
      1 charge-off
      Account Info
      Account status Closed
      Date opened Jun 02, 2015
      Account type Credit Card - Revolving Terms
      Balance on Jul 31, 2019 $1,262
      Credit Limit $950
      Payment Info
      Status Charge-off
      Status date Jul 2019
      Past due amount $427
      Highest balance -
      Monthly payment -
       
       
      Collection Agency:
       
      CWS/CW NEXUS $1,182
      Closed
      12 charge-offs
       
      Account Info
      Account status Closed
      Date opened Jun 02, 2015
      Account type Credit Card - Revolving Terms
      Balance on Aug 01, 2020  $1,182
      Credit Limit $950
      Payment Info
      Status Charge-off
      Status date Aug 2019
      Past due amount $1,182
      Balance on Aug 01, 2020 $1,182
      Credit Limit $950
       
       
       
    • By MaryK2020
      Trying to help a friend and not sure what to do. They were just served with paperwork from the Courts in Osceola County, Fl. It was filed by Raush Sturm on behalf of Sears for some appliances purchased almost 5 years ago. The account was interest free and when it came time to make the final payment it was offered to Sears to split the final payment within 7 days of each other to clear the account. They refused and final payment was not made. In the documents they included only 1 statement which shows a balance now due of $9027.70 as of 1/9/2019.  Currently she has 10 days to answer the court complaint and I have no idea what we need to document or request. The amount is beyond ridiculous and she is currently a full time student with an unemployed spouse. Is there a way to request validation of the debt with all statement copies and proof it was purchased individually and not a bundle purchase (meaning they have no documents to prove they rightfully own?)
       
      Any help or guidance is greatly appreciated. I have been reading on your boards about them being in the Hall of Fame for bad collectors. 
       
      Thanks !



  • Member Statistics

    • Total Members
      179,259
    • Most Online
      2,046

    Newest Member
    plan2succeed
    Joined

About Us

Since 2003, creditboards.com has helped thousands of people repair their credit, force abusive collection agents to follow the law, ensure proper reporting by credit reporting agencies, and provided financial education to help avoid the pitfalls that can lead to negative tradelines.
×
×
  • Create New...

Important Information

Guidelines