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Amex’s Financial review

Valued Member

Re: Amex’s Financial review

Talking from recent experience.  I am a new Amex holder (Zync) - 1 1/2 months to be extact and have been FR.  After speaking with the representative of what caused this - I just bought a new vechicle and had inquires.  Now I knew about this practice thanks to the forum, I still do not like the way it is handled.  Charging is suspended.  What happens if I was on a cruise and this was the only card I took to use for vacation!  Sending in the documentation is not that bad...they tell you what to fill out (you do only have 5 days to comply).  I did not have to pay any fees to the IRS and never heard back from them until they sent an email stating they put a $3000.00 spending limit on my card and that this will be reviewed at a later date to see if it will be lifted.    The process itself was painless....but it did take 3 weeks to complete.  Did I think it was invasive...not really, credit card companies always ask for your income..Amex just calls you out on it.  I was concerned as last years income was about less than what I stated (new income from new job).  I was not asked to explain this or provide current paystubs which I was willing to do.  Only thing I learned from this -  I will ALWAYS carry a back up card.Smiley Tongue

Message 11 of 21
Frequent Contributor

Re: Amex’s Financial review

+1 on that.  AMEX is just doing it's due diligence to protect itself.  However, I always carry a back up card in the event an FR is triggered.  I used to use my AMEX PRG heavily and have dropped off spending signifigantly on it and pushing on using my Chase SP instead due to this remote possiblity.  If they were to FR me, I'd comply but I'd be a bit miffed.  I PIF and have never missed a single payment and an FR would be a kick in the pants.


AmEx PRG (NPSL) | AmEx Costco ($8.2K) | AmEx Delta Gold ($19.3K) | AmEx BCE ($5K) | Chase United Explorer ($10K) | Chase Sapphire Preferred ($7.5K) | Chase Freedom ($8.2K) | Discover it ($3K) | Capital One Quicksilver ($2.5K) | PayPal Extras ($2.5K) | Lowes ($3.3K) | Walmart ($4.3K) | Amazon ($2.5K) | Restoration Hardware ($8.8K) | Crate & Barrel ($8.3K)
--
Homeowner since 05/29/13
Message 12 of 21
Moderator

Re: Amex’s Financial review


navigatethis12 wrote:

I was finacially reviewed after spending $2000 on a new card. The income I put down was 35000, although they had it as 42000 somehow. So charging 6% of your income is somehow risky to them? The first charge I did with PNC was 4 or 5000, I cannot remember. They did block it at first because of the large amount, but when I confirmed it was me they let it go through. To date I have spent more than stated income with them and they have not said anything. With Chase and FIA I charged up to the limits on all of the cards I have with them multiple times and not a peep came out of them. FIA never even blocked the large purchases. I know every lender is different, but a financial review when others do not even care is a bit odd.

 


Technically speaking taking that $35000 number, while that's roughly 6% of your annual gross income, that's not the way Amex likely factors it.  They almost certainly divide your estimate of post-tax income by 12 from eons ago as charge cards are all term one month (probably applies to their revolvers too but that's just a pure swag).  Ballparking that's what $5K tax burden assuming single / nothing fancy?

 

So by napkin math, $30000/12 = $2500, and as such you spent 80% of your monthly income.   I can see Amex's potentially raising a flag on that one.

 

CS: this sort of example is what I meant by my probably screwing up somewhere: if my expenditures outstrip my reported income or come close to it in a given month, Amex may have an issue with it expecially as I don't have any history with them to date.  Going to have to see frankly, but hopefully I don't blow it this month, even though I'm of the opinion it's not a big deal, I'm a little on edge that I'll trigger it even with $2500 spend at a monthly post-tax income of roughly $6800 reported.  

 

Should've pushed that bedding purchase till next reporting statement.... this forum does wonky things to my head sometimes Smiley Happy.

Starting Score: EQ 5 561, TU 98 567, EX 2 599 (12/30/11)
Current Score: EQ 5 771, TU 4 741, EX 2 776, EQ 8 809, TU 8 774, EX 8 822 (1/1/18)
Goal Score:    EQ 5 771, TU 4 750, EX 2 776, EQ 8 809, TU 8 774, EX 8 822 (01/01/19)


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Message 13 of 21
Valued Contributor

Re: Amex’s Financial review

Some people spend a certain amount on a brand new card cuz they wanna "SHOW" they could be good costumers for the ccc. I know you can run all expenses and bill thru that card to show high spendings, specially on a charge card maybe to have get your NPSL raised
Amex BCE (2500) / Amex SPG (4000) / Amex GoldPR / Merrill+ Visa siggy (5000) / BofA Amex (6000) / Bofa cash rewards (5000) / BofA Privileges Cash Rewards (5000) / Citi Forward (4400) / Citi DP (2000) / Chase Freedom (4000) / Chase CSP (5000) / Chase Hyatt (5000) / Discover IT (1700) / FNBO AMEX (3600) / NFCU cashRewards Visa signature (15000) / NFCU Flagship Visa signature (12500) / NFCU Navcheck (5000) / Nordstrom (500) / MetroCU Visa Elite (5000) / Walmart (4500) / Kays Jewerels (6600) / Kohls (300) / Macys Platinum (2500) / DCU platinum Visa (17500) / Citizens bank cash back (1100) / Bill Me Later (1631) / PayPal Smart connect (2200) / BestBuy store card (2000)
Message 14 of 21
Valued Contributor

Re: Amex’s Financial review

Damn phone!.
Anyways i meant higher but i think you should take it easy for the first months.
Amex BCE (2500) / Amex SPG (4000) / Amex GoldPR / Merrill+ Visa siggy (5000) / BofA Amex (6000) / Bofa cash rewards (5000) / BofA Privileges Cash Rewards (5000) / Citi Forward (4400) / Citi DP (2000) / Chase Freedom (4000) / Chase CSP (5000) / Chase Hyatt (5000) / Discover IT (1700) / FNBO AMEX (3600) / NFCU cashRewards Visa signature (15000) / NFCU Flagship Visa signature (12500) / NFCU Navcheck (5000) / Nordstrom (500) / MetroCU Visa Elite (5000) / Walmart (4500) / Kays Jewerels (6600) / Kohls (300) / Macys Platinum (2500) / DCU platinum Visa (17500) / Citizens bank cash back (1100) / Bill Me Later (1631) / PayPal Smart connect (2200) / BestBuy store card (2000)
Message 15 of 21
Established Contributor

Re: Amex’s Financial review

For what it's worth, not everyone even gets the possibility of a financial review.

 

In my "first marriage" to AmEx as it were (we have a very off-again on-again relationship Smiley Very Happy), they closed my card with 11 months of perfect payment history and offered no chance of financial review.  At the time I had no new baddies on my report in those 11 months, so whatever they saw I didn't see it. I specifically asked them if I could voluntarily have them review my finances....and they said no dice.

 

Their loss in the end, since a month later my first annual fee would have come due.

 

So far, the "second marriage" has come with no FR and zero hassle. But if they were to want to FR me, I'd probably comply. The quality of their customer service and card benefits is sufficiently high that I regard the relationship with them as one well worth working to maintain.

 

If I got the same shenanigans from the likes of Credit One, Capital One, or even BofA, I'd kick them to the curb and find another lender. The quality just isn't there, and I'm not going to work for it.

Starting: EQ 622 (myFICO 7/7/12), EX 696 (TU FAKO 8/14/12), TU 621 (CK TransRisk 7/24/12), Total CL $1k on 2 TLs
Current: EQ 709 (CCT 2/4/15), EX 704 (CCT 2/4/15) , TU 702 (CCT 2/4/15), Total CL $110.3k on 14 TLs Goal: 740+ x3
My Wallet: Amex BCP $30k, Chase United Explorer $16k, Amex SPG $13.5k, Barclaycard Ring MC $12.5k, Chase CSP VS $12.2k, Discover it $10.5k, C1 Venture VS $6.5k, Chase Slate $3.5k, Amex Hilton Surpass $2k, Barclaycard Apple V $2k, Chase Freedom V $1100, BoA Cash Rewards V $500, Citi BestBuy $500
My Loans: Prosper $25k/36mo, Prosper $17k/36mo
My Business: Chase Ink VS $5k, Amex BRG NPSL (> 10k),
Message 16 of 21
Epic Contributor

Re: Amex’s Financial review

I thought we had pretty much got confirmation from Amex long ago that FR's are random by system kind of like Bankruptcy in United States... Only what 3% I think is what was said after Housewife NJ people got audited.... did we really ever hear before that of someone getting audited and then almost arrested for it? no... without reading on this forum I don't think most of us would think any differently about an Amex FR

Message 17 of 21
Valued Contributor

Re: Amex’s Financial review

Has anyone been through one just to go through it again years later?

Starting Score: EQ 717 EX 724 TU 736
Current Score: EQ 832 EX 783 TU 816
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Message 18 of 21
Established Contributor

Re: Amex’s Financial review

we were on number 4 before sara called and closed the cards and told them to shove it! every 6-7 months it would happen, the wanted hers, mine, ours. her's again etc.... always some complaint from their end.! chase has never jacked with us the way amex did

"As long as the music is playing, you've got to get up and dance," he said. "We're still dancing."---Prince CEO Citi Bank

"Money isn't the most important thing in life, but it's reasonably close to oxygen on the "gotta have it" scale". ~Zig Ziglar
Message 19 of 21
Valued Member

Re: Amex’s Financial review

Every 6-7 months??!!  Aren't they just requesting the same information from the IRS then?  That seems redundant if they already requested the transcripts to keep requesting the same information...no matter how many times they get them the information would be the sameSmiley Frustrated  I ws hoping that once I went through it I wouldn't have to for awhile (if ever again).  Anyone else been FR'ed more than once??

Message 20 of 21