American Express SECURED card offer ! (Also, Amex now checking Teletrack reports).

[waqaszm1]

** just a quick edit ** we just got the paper response as to why her app was rejected; it states, "Information reflected in a report obtained from Teletrack consumer reporting agency."

My wife had recently received a "Pre-Selected" offer for an American Express Premier Rewards gold card. She applied and was denied. Yesterday, she received a call from American Express 1-866-929-5161 offering her the same card if she was willing to put $10,000 in a CD with American Express Centurion bank for a period of 1 year. She was told that her card would function exactly like a charge card, where she would pay back the charges in full each month, have the same rewards etc., but have a hard limit of $10,000 secured by her CD. After one year, Amex would review the account to unsecure tha card.

Well, i guess its official - Amex does have SECURED cards !!!

[Tazman81]

Yep, at one point, i was offered the same thing.  But they did not give me a stipulation of 1 year or anything like that.  And if I recall, the interest rate was not good on the CD.  They also would not accept anything less than $10k.

[Wolf3]

$10K CD for a year, that is out of reach for many people.   I think, I'll wait a year.

Invitation only, I guess.   I can't find anything on their website.

[Tazman81]

Yep, nothing on their website.  I was told they do not advertise it as it's a fairly new program.

but if anyone takes advantage of it, you will have to let us know how it goes and how it reports on your credit.

[Creditaddict]

WOW, I would take it! (if you can)

[Datx]

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@Wolf3 wrote:

$10K CD for a year, that is out of reach for many people.   I think, I'll wait a year.

Invitation only, I guess.   I can't find anything on their website.

---

Very true. I definitely do not have 10K just sitting around, lol.

[Anonymous]

What is the CD rate?

[waqaszm1]

Not sure on the CD rate - she didnt hear it or maybe the rep did not mention it; but one thing is for sure, i think she will be able to avoid any FR's by amex. We might do it, but we will check on the cd rate first-

[waqaszm1]

Just wanted to update a little here; we just got a hard copy reply for the initial denial, it states that it was based on information reflected on a report obtained from Teletrack consumer reporting agency. I guess Amex is looking at Teletrack, and perhaps Chexsystems too when approving new accounts ....

[MattH]

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@Wolf3 wrote:

$10K CD for a year, that is out of reach for many people.   I think, I'll wait a year.

Invitation only, I guess.   I can't find anything on their website.

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Interesting, I had not known AMEX was offering any species of secured card, but this one is a doozy.  I wonder how many people could tie up $10K for a year but would not qualify for unsecured credit?  I would guess most folks able to come up with the $10K wouldn't need a secured card.

Also, I had not heard of Teletrack before. According to http://www.teletrack.com/faq.html

How does Teletrack get its information? Teletrack businesses supply the information in our database. Teletrack customers include payday advance businesses, rent-to-own businesses, furniture stores that offer financing, auto finance companies, high-risk consumer finance businesses, non-prime mortgage businesses, non-prime credit card issuers, credit unions, and cable/telecom companies.

...

Why does this information appear on my Teletrack Report and not my Credit Report from another major Credit Bureau? Companies that utilize our service report the information that appears on your consumer report. Many of these businesses do not report to the major credit bureaus. Therefore, the information on your CoreLogic Teletrack Consumer Report may not appear on your credit report from another credit bureau.