Monday, January 08, 2001 - 06:32 pm I don't know much about credit reports so I have a few questions. When I was in college I got a few credit cards and stopped paying them in 1994. I owe about $5000 total. I am in my second year of medical school and up to know I haven't worried about my credit. I use a check card and my boyfriend put my name as a second card holder so I use his. I will finish medical school in two years and plan to get married and buy a house and a car when I'm done. I don't even know where to start. Should I just ignore the past bills until they are erased from my records? How do I find out if they have been erased. How do I begin re-establishing my record. I recieved offers for unsecured cards but with very hi fees. What should I do?
Monday, January 08, 2001 - 08:20 pm If you spend a few hours reading the posts on this board you will probably get a pretty good understanding of how the credit system works and how to best manage your situation. But if you just want quick advice then I suggest:
1. Get a copy of your credit report from all 3 of the major CRA's and make sure they are accurate. 2. Ignore your old debt until it drops off your report. 3. Start using credit again (make sure those credit lines being reported to the agencies). There is a recent topic here on secured credit cards that has some good suggestions as to which ones to get. 4. A 30 day (or more) late payment on your credit card stays on your report for 7 years so pay at least the minimum as soon as you get your bills. 5. After a year or so try to improve your credit mix by getting a department store credit card or two and a personal loan (for car or some other reason). Make sure they are reported to the CRAs. 6. I recommend joining a credit union if you are not in one.
Tuesday, January 09, 2001 - 04:42 am I recommend that you do nothing. If you stopped paying your cards in 1994 and don't plan to buy a house until two years from now (2003) that means your debts will be 8+ years old. Since negative information remains on your credit profile for 7 years you're home safe.
