How To Build LLC Credit?
Just started LLC and was wondering what would be the best route to build credit. Would anyone recommend just going to a bank and getting a credit card or small line of credit with a personal guarantee or trying to transfer a "paid for" vehicle into my LLC and then getting a secured loan or credit line based on the value of the vehicle? Or even go a step further and deed a couple of my rentals over to the LLC and then try and get a HELOC under my LLC? Please help.....kinda confused on the whole LLC thing.
any other suggestions????
One of the problems you are having is that as long as it has a balance it will have a much higher negative impact than if he showed "paid". I realize this is not great news but if you have a charge off and it has a zero balance lenders are much more lenient.
Is this is only negative credit rating? If yes, then I would make sure you put a statement in all reporting agencies (~100 words) to try to convince potential creditors it was a one time bad judgment.
Also, do you have a home? You might want to take out a second and pay this off to get it to a zero balance. It will still take a long time for your score to inch up but the low score is having a negative impact on interest rates you can obtain.
Or, do you have any credit cards with a lower interest rate than the car loan? If yes, move money from one of your credit cards. But, whatever you do, whenever you get ANY extra money, put it on the car loan. Even if it is an extra $100, put everything you have towards that balance and try to get to zero as soon as you can.
Good luck.