topic Re: Okay! so I applied for a credit card in Credit Cards

Okay! so I applied for a credit card

BearsAndTurtlesRtheBest — Mon, 03 Dec 2012 23:15:02 GMT

Applied got the leter and was not approved obviously. But wanted to give it a try. I applied for the buckle credit card issued by Comenity Bank. Okay so I received my letter and it says MY fraud risk score as of 11-25-12 is 595 range from 0-999? what!? My question is what is a fraud risk score dont like the sound of that one :|

most significant factors that affected my approval was

lack of revolving trades or at or above credit limit on new revolving trades

low level verification

lack of new credit activity

low level of validation

Re: Okay! so I applied for a credit card

Cageym — Mon, 03 Dec 2012 23:22:14 GMT

Is your signature right? 18 in high school with no income? Not trying to be nasty but did you really think they were going to give a credit card to someone with no income at all? I don't know exactly what they are calling a fraud risk score but I would think it's some internal scoring system they use.

Re: Okay! so I applied for a credit card

Shogun — Mon, 03 Dec 2012 23:28:33 GMT

+1 It's an internal proprietary score.

Re: Okay! so I applied for a credit card

BearsAndTurtlesRtheBest — Tue, 04 Dec 2012 01:57:44 GMT

@Cageym I really want to begin my credit, nd didnt really focus on the fact I don't have an annual income.Yea I'm aware that an annual income is needed but like I mentioned i wanted to give it a try. But now I saw that no annual income is a no go no matter what :)

Re: Okay! so I applied for a credit card

CotySinz — Tue, 04 Dec 2012 01:17:45 GMT

I was in your shoes 2 years ago. I'm currently 20 I'll be 21 in May. Obviously the income is the biggest issue but you lack public records such as address verification and so on so that is an issue as well. As much as you probably don't like to hear this but Cap One gave me my start, I was approved for an unsecured platinum visa with a $500 limit when I started my credit journey (albeit my income was $13,000) was in the steps program -- limit bumped to $750 and it's been that way almost 3 years now. But again, they gave me my start - now I'm in with Amex and Chase. Don't litter your credit report with inqs like I did when I was your age - apply for stuff you know you have a chance at such as a secured or unsecured builder card - don't waste HPs on store cards and prime cards as you will get denied every time - it took almost a year with Cap One before I started getting approved for store cards. I started my journey on my own, I wasn't an AU on anyones cards or anything and the temptation to max cards out when your young is a lot but you gotta resist - it's a pain if you do, believe me... I've been there.

Re: Okay! so I applied for a credit card

HiLine — Tue, 04 Dec 2012 01:19:37 GMT

BearsAndTurtlesRtheBest wrote:
I really want to begin my credit, nd didnt really focus on the fact I don't have an annual income.Yea I'm aware that an annual income is needed but like I mentioned i wanted to give it a try. But now I saw that no annual income is a no go no matter what :)

Nice to hear of a young person so curious about the credit world. Have you tried asking your family to add you to their credit accounts as an authorized user?

Re: Okay! so I applied for a credit card

BearsAndTurtlesRtheBest — Tue, 04 Dec 2012 01:39:42 GMT

@HiLine Thanks! Yes Ive tried but like @CotySinz said since I lack public records as to my address it automtically reports to my dads repot because we have the same name and live in the same address. So thats not possible.

Re: Okay! so I applied for a credit card

navigatethis12 — Tue, 04 Dec 2012 01:42:53 GMT

BearsAndTurtlesRtheBest wrote:
@HiLine Thanks! Yes Ive tried but like @CotySinz said since I lack public records as to my address it automtically reports to my dads repot because we have the same name and live in the same address. So thats not possible.

Do you each have Sr. and Jr. after your names? I get mixed up with my dad but not that frequently, because I always use Jr. and he Sr..

Re: Okay! so I applied for a credit card

distantarray — Tue, 04 Dec 2012 01:45:11 GMT

i think the best thing would be to try to get you an account of your own, and a couple AU's.

1. Get a job :P

2. if they'll add you as an AU see if they'll go joint with you. Macy's in person if you apply with the primary applicant listed on top they'll only pull their report if their score is above 720 and won't even pull yours and automatically get approved for 2 lines of credit. after you built your history it might be possible to remove a person off the account as long as it's PIF. (not sure about the removal part, but seems logical)

Re: Okay! so I applied for a credit card

BearsAndTurtlesRtheBest — Tue, 04 Dec 2012 01:47:15 GMT

@CotySinz WOW you have great cards! Yea your right about littering my credit report with credit inqs I will not do that. SO I will stop and try to get an income that I can include when applying for my next credit card which will not be until I have that job :) Hope to be in your shoes by the time I turn 20. thanks for your advice!

Re: Okay! so I applied for a credit card

CotySinz — Tue, 04 Dec 2012 01:58:25 GMT

@bears That would be the most advisable thing for you at this step in your credit building journey. It was fairly easy for me to get the cards I have, I just diligently pay on my cards even if I can't PIF, I've struggled with keeping util% down (all the child-ish intuition of wanting TVs, Xboxs and such) and have loaded my reports (16EX, 24EQ, 16TU) with inquiries so I do hope you take that advice and don't let the app itch get to you - because you could be much better off than I am now when you get to my age (AMEX BCP, Chase CSP so on)

Also: A mix of credit, once you get established, is dire to building to the point I am at. I have had 3 installment loans since I was 18, not including student loans so once you get some income and a card with some history go buy a cheap car with a signature or car loan from your local credit union - don't try big banks as they don't care what your story is and are less understand of short history, again be inquiry conservative don't waste them as they are much more valuable than people think.

As for income - you don't have to be making $30k/year (which I currently make) to get decent cards - Chase approved me for a $500 limit on my Freedom with income as $13,000 annually just had to call and verify my address and identity, so if you get a 7-10 day message don't get discouraged, called the back door and see what they have to say. :)

Re: Okay! so I applied for a credit card

BearsAndTurtlesRtheBest — Tue, 04 Dec 2012 01:59:28 GMT

@navigatethis12 Never though of that. If it has helped you guys then it should also help us. Ill do that next time thanks!

Re: Okay! so I applied for a credit card

BearsAndTurtlesRtheBest — Tue, 04 Dec 2012 02:04:20 GMT

@distantarray YES! those are the steps I have to follow in order to begin my journey! Once I get situated with a job my parents are willing to do a joint with me. Thanks distantarray!

Re: Okay! so I applied for a credit card

Tran92 — Tue, 04 Dec 2012 02:04:51 GMT

Since you are still in high school it will be hard to open a credit line especially with no source of income. I would either try your local CU or try a secured card. Capital one seem easy to get approved for.

Re: Okay! so I applied for a credit card

BearsAndTurtlesRtheBest — Tue, 04 Dec 2012 02:19:34 GMT

@CotySinz Thats good to know that I can still get a card like chase freedom with a small annual income. I do plan to also get a auto loan with my parents as a co-signer to also have a mix of credit. Thanks for these helpful tips CotySinz I now have to find a way to get an annual income and start there. It looks like you have success with credit looking at your TU fico 753 thats an excellent score to have in your 20s. I Will keep all of this in mind. Thanks again!!

Re: Okay! so I applied for a credit card

BearsAndTurtlesRtheBest — Tue, 04 Dec 2012 02:19:07 GMT

@Tran92 Yes you are right, but first I have to get a job :)

Re: Okay! so I applied for a credit card

BearsAndTurtlesRtheBest — Tue, 04 Dec 2012 02:18:45 GMT

Thank you ALL for your helpul advice you have guided me to the right direction!!

Re: Okay! so I applied for a credit card

CotySinz — Tue, 04 Dec 2012 02:21:11 GMT

I'm glad you plan to keep it in mind, it's just things I discovered on my journey thus far and am passing on to you since you have a fresh canvas to paint upon persay. One thing I will clue you on to though, I do have a 753 TU score but FICO scoring means little at our credit history. What I mean by that is we have a thin file, for me I have 2 years and 6 months history with AoAA at 1.6 years - these things mean more than a score, think of a score as a decent judge of your status but don't rely on it for 'approval gaurnteedness'.

Re: Okay! so I applied for a credit card

navigatethis12 — Tue, 04 Dec 2012 02:31:17 GMT

CotySinz wrote:

Also: A mix of credit, once you get established, is dire to building to the point I am at. I have had 3 installment loans since I was 18, not including student loans so once you get some income and a card with some history go buy a cheap car with a signature or car loan from your local credit union - don't try big banks as they don't care what your story is and are less understand of short history, again be inquiry conservative don't waste them as they are much more valuable than people think.

I do not advise this unless it is needed. I am also somewhat young (twenty-two) with two years and eight months of history and I have never had an installment loan. I have sixteen nice cards with varying decent limits to me (two at 10,000, second to that is 7500). The most important thing is to just pay on time and not keep cards maxed out. As long as you have low utilisation and nice payment history, in my experience, lenders will overlook the inquiries.

Re: Okay! so I applied for a credit card

Tran92 — Tue, 04 Dec 2012 04:00:52 GMT

CotySinz wrote:
I'm glad you plan to keep it in mind, it's just things I discovered on my journey thus far and am passing on to you since you have a fresh canvas to paint upon persay. One thing I will clue you on to though, I do have a 753 TU score but FICO scoring means little at our credit history. What I mean by that is we have a thin file, for me I have 2 years and 6 months history with AoAA at 1.6 years - these things mean more than a score, think of a score as a decent judge of your status but don't rely on it for 'approval gaurnteedness'.

+1. If you are able to get a credit card I'd recommend not applying for any other card until you let it grow for at least 6 months, but even then I would wait until finding a job. Part of having credit is being responsible. I am assuming your only source of income is from your parents. Treat your first credit card as a necessity that will eventually help you get into the prime cards you desire. Starting early is great because once you are done with college you will be ahead of some of your peers in credit. Then you will be able to get those low rates.