Reply
Valued Contributor
Dustink
Posts: 2,980
Registered: ‎10-02-2012

Re: Annual Fees on cards!!


nickn86 wrote:

Dustink wrote:

nickn86 wrote:

FWIW, I took the route you suggest when my whole credit report was a student loan that had been opened for less than a year.  I had banked with Chase for awhile so I went into a branch and asked to apply for a credit card and ended up being approved for probably the most obscure Chase card out there (Chase +1 with a $300 limit).  It's actually a pretty cool looking card though -- http://www.dollarbanker.com/credit-cards/wp-content/uploads/2010/03/chase-plus-1-student-cc.jpg -- I told people it was my "black card."  :smileyvery-happy:


Haha, that is awesome. 

 

I also started with a $300 limit. I had no credit (no tradelines of any kind). Limit went to $2500 after 6 months, hopefully you have good luck with Chase. I was with US Bank.


Yeah, I never tried to up the limit with Chase and I haven't used the card in 6 or so months since the only rewards it has are based on paying your bill on time.  I should probably use it a couple of times before I apply for other Chase cards.


Are you looking at the CSP next?

Too many INQs & low AAoA so I'm off to tend the Garden.     Age:21    


     $14k          $8.5K          $7.5k          $7.5k         $6.5k             $6k             $5k            $5k             $5k              $5k           NPSL       @ 0%
Valued Contributor
CreditScholar
Posts: 2,300
Registered: ‎01-22-2012

Re: Annual Fees on cards!!


Dustink wrote:

CreditScholar wrote:

Dustink wrote:

I have earned 90,000 points ($1800) on my flexperks card since I opened it in June. I find that worth the $49 AF that is waived with $2k monthly spend.

 

I also find the $450 AF on the AMEX plat worth it with the 100k MR point bonus, lounge access, and $200 incidental credit.

 

Generally, I find AF's on starter cards a bad idea. Most of the time somebody can find a way around that if they build a relationship with a bank. Although, the AeroMexico secured card from US Bank seems worthly of its terms for somebody with no/bad credit and no relationship with a bank.


The question now is: are you going to keep the Amex plat after the 1st year when there's no 100k signup bonus anymore?


Not likely, unless I find that I can't live without lounge access. Although, that is unlikely because I am always up for going to a USO instead. 


If you travel with any regularity, once you have lounge access it's difficult to go without. It's like trying to go back to dialup once you're used to broadband.

FICOs: EX: 826, EQ: 817, TU: 810
Bank of America Privileges with Travel Rewards Visa Signature - $23,200 CL
Chase Sapphire Preferred Visa Signature - $12,700 CL
Chase United MileagePlus Club World Elite MasterCard - $26,500 CL
Citibank American Airlines Executive World Elite MasterCard - $22,500 CL
J.P. Morgan Ritz Carlton Visa Signature - $23,500 CL
Contributor
nickn86
Posts: 130
Registered: ‎11-26-2012

Re: Annual Fees on cards!!

[ Edited ]

I sort of want to get all three of the UR family cards (hency my topic about business cards).  But the recent Amex app was unexpected due to the bonus so I should probably take a break

Chase Sapphire Preferred - 5.6k (3/13) | Amex Premier Rewards Gold - NPSL (1/13) | Chase United MileagePlus Explorer Visa Signature - 9k (1/13) | Amex Delta Gold - 6k (9/12) | Citi Forward Visa - 10k (10/12) | Discover It - 2k (2/12) | Chase +1 Visa - $300 (2/11)
Moderator
Revelate
Posts: 8,334
Registered: ‎12-30-2011

Re: Annual Fees on cards!!


Dustink wrote:

Revelate wrote:

Dustink wrote:

 

Generally, I find AF's on starter cards a bad idea. Most of the time somebody can find a way around that if they build a relationship with a bank. Although, the AeroMexico secured card from US Bank seems worthly of its terms for somebody with no/bad credit and no relationship with a bank.


Think I justified my BOFA secured AF in the first month after I added the rewards package.

 

That said, you're buying a tradeline and there aren't many $0 AF options if you're in the secured / deep subprime bracket, we're talking where I started at a FICO of 560ish.  I do suppose it's based on one's own finances; however, I know I and pretty much everybody else wastes more money on far less important things than a positive tradeline: the ROI dwarfs anything I could do otherwise with the money.

 

Admittedly, I'm not a proponent for chasing store cards as I think that delays relationship and credit report (occasionally discounted vis a vis Chase) building rather than enhancing it, and this does color my opinion in being in favor of sucking up an AF to get a tradeline from a recognized national bank or CU.


I am all for secured rewards cards. Just not the First Premier type stuff.


Occasionally FP is all someone can get; even with my 561 I was nowhere close to the bottom of the range as far as credit reports go.

 

Everyone has to start somewhere, and FP is a massive step upward from the Payday lending space any way you cut it even with their fee structure.  Admittedly most people that find this forum have other options than FP, and I certainly stayed away from them; however, they do serve a valid purpose as far as serving a deep subprime (or perhaps deep, deep subprime?) market which even Cap One doesn't play ball in.

 

Starting Score: EQ 561, TU 567, EX 599* (12/30/11, EX lender pull 12/29/11)
Current Score: EQ 04 679, EQ 8 708, TU 711, EX 702* (07/14/14, EX older)
Goal Score: 700 on EQ '04 (01/01/15)


Take the myFICO Fitness Challenge
Valued Contributor
Dustink
Posts: 2,980
Registered: ‎10-02-2012

Re: Annual Fees on cards!!

I hope to PC my citi card to a no AF world elite MC with lounge access. That likely won't happen due to my lack of charges on that card. I can only wish though.

Too many INQs & low AAoA so I'm off to tend the Garden.     Age:21    


     $14k          $8.5K          $7.5k          $7.5k         $6.5k             $6k             $5k            $5k             $5k              $5k           NPSL       @ 0%
Valued Contributor
Dustink
Posts: 2,980
Registered: ‎10-02-2012

Re: Annual Fees on cards!!


nickn86 wrote:

I sort of want to get all three of the UR family cards (hency my topic about business cards).  But the recent Amex app was unexpected due to the bonus so I should probably take a break


Got a plan for your bonus points?

Too many INQs & low AAoA so I'm off to tend the Garden.     Age:21    


     $14k          $8.5K          $7.5k          $7.5k         $6.5k             $6k             $5k            $5k             $5k              $5k           NPSL       @ 0%
Valued Contributor
Dustink
Posts: 2,980
Registered: ‎10-02-2012

Re: Annual Fees on cards!!

Occasionally FP is all someone can get; even with my 561 I was nowhere close to the bottom of the range as far as credit reports go.

 

Everyone has to start somewhere, and FP is a massive step upward from the Payday lending space any way you cut it even with their fee structure.  Admittedly most people that find this forum have other options than FP, and I certainly stayed away from them; however, they do serve a valid purpose as far as serving a deep subprime (or perhaps deep, deep subprime?) market which even Cap One doesn't play ball in.

 


I think a secured card is just as easy to obtain as a FP card. If one can get a FP card, they can get a crap1 secured card.

 

Although, I think it is much better to get a secured card from your primary bank. If one of those can't be obtained. The credit file needs some repair before obtaining any new credit. They need to pay off creditors and work on rebuilding techinques for a little while, GW, PFD, ect. 

 

I do not mean to argue, I just don't ever see a value in a high AF non-rewards card. Just feeding scumbag lenders that shouldn't be allowed to feed off people in dire situations.

Too many INQs & low AAoA so I'm off to tend the Garden.     Age:21    


     $14k          $8.5K          $7.5k          $7.5k         $6.5k             $6k             $5k            $5k             $5k              $5k           NPSL       @ 0%
Moderator
Revelate
Posts: 8,334
Registered: ‎12-30-2011

Re: Annual Fees on cards!!

[ Edited ]

Dustink wrote:

Occasionally FP is all someone can get; even with my 561 I was nowhere close to the bottom of the range as far as credit reports go.

 

Everyone has to start somewhere, and FP is a massive step upward from the Payday lending space any way you cut it even with their fee structure.  Admittedly most people that find this forum have other options than FP, and I certainly stayed away from them; however, they do serve a valid purpose as far as serving a deep subprime (or perhaps deep, deep subprime?) market which even Cap One doesn't play ball in.

 


I think a secured card is just as easy to obtain as a FP card. If one can get a FP card, they can get a crap1 secured card.

 

Although, I think it is much better to get a secured card from your primary bank. If one of those can't be obtained. The credit file needs some repair before obtaining any new credit. They need to pay off creditors and work on rebuilding techinques for a little while, GW, PFD, ect. 

 

I do not mean to argue, I just don't ever see a value in a high AF non-rewards card. Just feeding scumbag lenders that shouldn't be allowed to feed off people in dire situations.


Nah, there's no problem in a rational discussion, ever :smileyhappy:.

 

Anyway, I don't agree that one should wait to resolve negative information: that's just leaving positive payment history on the ground since everything in the FICO algorithm is time dependent.

 

It can take months if not longer to resolve negative information to where one can be approved for a secured card from a national bank (BOFA for example), during which time you're not making any positive history progress.  Rebuilding in my estimation really should be approached from two angles, resolving negative history, but also building positive history.  The time to do that second part is immediately once you decide you want to improve your credit report.

 

Being subprime (I am, emphatically) sucks enough as it is; I don't see any reason to prolong that at all, and having worked in the deep, deep subprime lending world in the past, I can assure you FP has a place in the universe and it's a good option for probably 5-10% of America even.

 

Unfortunately with the way the modern lending market is built, I and others get stuck paying for expensive money, and then working our way up through various strata to the cheap money which comes from having a gold-plated report; however, there's no instant gratification in this process and I'm stuck grinding it out the hard way over the next half decade.

Starting Score: EQ 561, TU 567, EX 599* (12/30/11, EX lender pull 12/29/11)
Current Score: EQ 04 679, EQ 8 708, TU 711, EX 702* (07/14/14, EX older)
Goal Score: 700 on EQ '04 (01/01/15)


Take the myFICO Fitness Challenge
Valued Contributor
Dustink
Posts: 2,980
Registered: ‎10-02-2012

Re: Annual Fees on cards!!


It can take months if not longer to resolve negative information to where one can be approved for a secured card from a national bank (BOFA for example), during which time you're not making any positive history progress.  Rebuilding in my estimation really should be approached from two angles, resolving negative history, but also building positive history.  The time to do that second part is immediately once you decide you want to improve your credit report.

 

Being subprime (I am, emphatically) sucks enough as it is; I don't see any reason to prolong that at all, and having worked in the deep, deep subprime lending world in the past, I can assure you FP has a place in the universe and it's a good option for probably 5-10% of America even.

 

Unfortunately with the way the modern lending market is built, I and others get stuck paying for expensive money, and then working our way up through various strata to the cheap money which comes from having a gold-plated report; however, there's no instant gratification in this process and I'm stuck grinding it out the hard way over the next half decade.


So you feel a First Premier card is always easier to obtain than a secured card?

Too many INQs & low AAoA so I'm off to tend the Garden.     Age:21    


     $14k          $8.5K          $7.5k          $7.5k         $6.5k             $6k             $5k            $5k             $5k              $5k           NPSL       @ 0%
Moderator
Revelate
Posts: 8,334
Registered: ‎12-30-2011

Re: Annual Fees on cards!!

[ Edited ]

Dustink wrote:

It can take months if not longer to resolve negative information to where one can be approved for a secured card from a national bank (BOFA for example), during which time you're not making any positive history progress.  Rebuilding in my estimation really should be approached from two angles, resolving negative history, but also building positive history.  The time to do that second part is immediately once you decide you want to improve your credit report.

 

Being subprime (I am, emphatically) sucks enough as it is; I don't see any reason to prolong that at all, and having worked in the deep, deep subprime lending world in the past, I can assure you FP has a place in the universe and it's a good option for probably 5-10% of America even.

 

Unfortunately with the way the modern lending market is built, I and others get stuck paying for expensive money, and then working our way up through various strata to the cheap money which comes from having a gold-plated report; however, there's no instant gratification in this process and I'm stuck grinding it out the hard way over the next half decade.


So you feel a First Premier card is always easier to obtain than a secured card?


Not always (Opensky and similar), but I think more so than BOFA, US Bank, or even Cap One.

 

I may have not been clear before, not everyone can come up with the roughly $300 deposit (or even $99 for Cap One).  Where FP shines is roughly $175 net-30 money for the utterly unbanked and those who are living week to week in the PDL space.  I'm not certain we've ever heard of a legitimate app to FP being denied?  FP plays down in the Cashcall and Springleaf space. Cap One isn't there and certainly no national bank is (at least publically through them directly).

 

For folks that can come up with a deposit and don't have glaring secured card denial flags such as open judgements on their reports, they do have other, and better options.  Most of the people which stumble across this forum fall into that demographic, but there's a non-trivial portion of the population which are substantially worse off than they are.

Starting Score: EQ 561, TU 567, EX 599* (12/30/11, EX lender pull 12/29/11)
Current Score: EQ 04 679, EQ 8 708, TU 711, EX 702* (07/14/14, EX older)
Goal Score: 700 on EQ '04 (01/01/15)


Take the myFICO Fitness Challenge

myFICO is the consumer division of FICO. Since its introduction 20 years ago, the FICO® Score has become a global standard for measuring credit risk in the banking, mortgage, credit card, auto and retail industries. 90 of the top 100 largest U.S. financial institutions use the FICO Score to make consumer credit decisions.

>> About myFICO
FICO Score - The Score that matters
Fair Isaac Corporation is a BBB Accredited Financial Service in San Rafael, CA
FOLLOW US Social Media Facebook Twitter Pinterest Google+