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Is it bad to apply for a credit card after being denied?
Your credit score is based on how much debt you have, how often you make late payments,
how much new credit you have and how many credit inquiries you get.
If I was declined for a card, I don’t have new credit.
The inquiry hurts you, lowering your score a little. But that won’t affect the big
factors that drove the rejection in the first place.
Why do you think I was rejected?
You didn’t pay your bills on time. You have as much debt relative to income as the federal
government, but you can’t print money.
ot legally anyway.
A lot of late payments will hurt you, whether it was due to poor money management or unemployment.
Bankruptcy can kill your credit, too.
Should I get a pre-paid credit card?
It won’t help your credit score much, though it might let you buy things online without
risking your bank account.
I need a credit card to build my credit.
Your credit is shot, so stop applying for cards.
How do I improve my credit?
Pay all your monthly bills on time and in full.
I usually do.
Pay at least the minimum on all your bills. If you missed a couple, whether it was a Visa
store card or your electric bill, the rates on all the cards go up.
And my credit is shot with anyone else. But I need to roll over my credit cards to new
loans with lower interest rates.
Well, that’s clearly not an option now. You should call up the credit card companies
and demand a lower interest rate, telling them you’re at risk of bankruptcy.
Is that bribery or blackmail?
If you can negotiate down from 30% to 10% interest, you can make more progress on the
debt with each payment.
Reverse debt collections. I like it.