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Credit Card Applications » Questions » User Questions » Limited/Bad/Fair Credit » I had a perfect credit score and was approved for a credit card a few years ago, but I ...

I had a perfect credit score and was approved for a credit card a few years ago, but I haven’t used the card for the past two years. I was recently turned down for a loan and informed that I have no credit history. How could this be? What happened? My credit card account is still open.

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Leo Zhu

Ouch – that had to hurt. No one likes getting turned down for a loan, especially when you thought you had perfect credit. What went wrong?

Well, as you probably figured out by now, getting that credit card wasn’t all you had to do to maintain your flawless credit.Credit bureaus want to see you actually using the card – making charges and paying them off. That way they can see your pattern of good payments and financial responsibility.

If you don’t use your credit card for more than six months, the credit card lender is likely to report your account as inactive. This isn’t as bad as a closed account; if you start using your card, it will be reported as active again and you will still have those years of history to your advantage when potential lenders look at your credit report for length of credit history.

Start using your card for everyday purchases that you can easily pay off. After six months of making regular charges and on-time payments, you should see your credit score start to improve. Then you can try for that loan again. Good luck!

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