AAoA and Credit Applications

GoldenloveNY · ‎10-27-2012

Does your AAoA or Average Age of Open Accounts factor in into your approval or denial when applying for a credit card? Creditkarma is saying my Average Age of Open Account is 3 months. I have 1 secured card for nine months. Last month I app'd for AMEX ZYNC and Discover Student and both instantly approved. Two New Student Loans have been added to my credit reports as of yesterday. I was planning on applying for Citi Forward come December. My average age of open account will be five months. Will that affect my citi forward application? Only my EQ report has a closed student loan dated from 2008.

Citi Double Cash: $1,000
Capital One Secured: $500
Capital One Savor One: $1,650
Amex Gold- NPSL.
Amex Platinum- NPSL.
Amex Delta Gold: $1,000
Best Buy Store Credit Card: $2,000
Amazon Store Credit Card: $6,000
Verizon Visa Card: $2,000

Bj's Perks Elite Mastercard: $2,300

Merrick Credit Card: $1,400
First Savings Credit Card: $1,250

distantarray · ‎10-27-2012

yes it affects your AAOA and AAOA has a direct impact on your credit score (15%) but on the good news it won't matter much to you since Fico automatically factors in 1 year minimum of history. Apping for 2 cards previously would have a harder hit on your approval chances.

total credit limits $108,400 Credit scores Ex 728 EQ 738 TU 758

GoldenloveNY · ‎10-27-2012

Thank-you!

Citi Double Cash: $1,000
Capital One Secured: $500
Capital One Savor One: $1,650
Amex Gold- NPSL.
Amex Platinum- NPSL.
Amex Delta Gold: $1,000
Best Buy Store Credit Card: $2,000
Amazon Store Credit Card: $6,000
Verizon Visa Card: $2,000

Bj's Perks Elite Mastercard: $2,300

Merrick Credit Card: $1,400
First Savings Credit Card: $1,250

HiLine · ‎10-27-2012

@distantarray wrote:
yes it affects your AAOA and AAOA has a direct impact on your credit score (15%) but on the good news it won't matter much to you since Fico automatically factors in 1 year minimum of history. Apping for 2 cards previously would have a harder hit on your approval chances.

Do you mean FICO rounds up any AAoA smaller than 1 year?

---> HiLine's personal finance blog - Follow my journey!

distantarray · ‎10-27-2012

@HiLine wrote:
@distantarray wrote:
yes it affects your AAOA and AAOA has a direct impact on your credit score (15%) but on the good news it won't matter much to you since Fico automatically factors in 1 year minimum of history. Apping for 2 cards previously would have a harder hit on your approval chances.
Do you mean FICO rounds up any AAoA smaller than 1 year?

your AAOA if less than 1 year overall will report 1 year, doesn't factor each as 1 year. Just over all. So if you have 5 cards with AAOA of 9 months it'll still count as 1 year.

total credit limits $108,400 Credit scores Ex 728 EQ 738 TU 758

HiLine · ‎10-27-2012

@distantarray wrote:
@HiLine wrote:
@distantarray wrote:
yes it affects your AAOA and AAOA has a direct impact on your credit score (15%) but on the good news it won't matter much to you since Fico automatically factors in 1 year minimum of history. Apping for 2 cards previously would have a harder hit on your approval chances.
Do you mean FICO rounds up any AAoA smaller than 1 year?
your AAOA if less than 1 year overall will report 1 year, doesn't factor each as 1 year. Just over all. So if you have 5 cards with AAOA of 9 months it'll still count as 1 year.

By AAoA (Average Age of Accounts), I implied the overall average age. Thanks for the confirmation!

---> HiLine's personal finance blog - Follow my journey!