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Contributor
VirusCredit13
Posts: 163
Registered: ‎02-20-2013
0

Applying with high utilization on a card

Few questions.

 

For credit scores, and when manual reviews for CC apps, in regards to utilization, they look at total untilization and utlization on every card right?

 

For instance I have 29600 credit limit over all my cards. And a blance of about 2200 all on just two cards, BCP and Discover seeing as they have 0% apr.

about 1400 of that is on the Amex, which has a CL of 2000, so my utilization for that specific card is very high. but my over total untilization is just over 10%, will be under by time next statements role out, but amex will still be ~%45 utilization.

 

I'm asking because I was considering applying to the Amex everyday card next month, but Amex denied me both times I tried CLI after I got the BCP. Had close to zero balance first time I applied, maybe 20% utilization(on amex) last time I did, and now I'm waiting until I can pay down that card specifically before I try again.

 

Reason balance on those cards are so high compared to others is because 8000 of my credit limit is on a card with 24% apr, and 15k is on my parents credit card that I was made an authorized user when I was a kid, but don't use anymore(unless emergency) now that I have own cards. And then like I said before the 0% apr on these cards.

 

 

TLDR:

How much of an negative effect will having high utilization on 1 card but low overall utilization on new credit card apps. 1400/2000 balance on BCP right now, will be about 1000/2000 by time I apply. Am I okay to apply like this or should I wait until I can pay off more. Everyday is card I am going for, but probably will try for 3-4 cards when I start applying. Freedom for sure(denied once before), haven't decided on others.

 

Scores EQ: 723(myfico)

              TU: 720(Discover)

Not many Inquires overall on reports, Only 2 in last 6 months

 

Cards:

Amex BCP 2k 

BanaRep 7.6k

Amazon Visa 2.7k

Discover 2k

AU on Bofa visa 15k

 

Valued Contributor
navigatethis12
Posts: 1,954
Registered: ‎01-24-2012
0

Re: Applying with high utilization on a card

I have a lot more available credit than you, but I have one card at about 5500/10,000 and another at about 3300/5350. These cards have a long 0% interest period, so I'm not worried about them being near the limit. I've not had problems obtaining more cards with high limits and only Chase asked me about them and accepted the 0% reason as a good reason.

Community Leader
Valued Contributor
improvingmycredit
Posts: 1,402
Registered: ‎07-12-2011
0

Re: Applying with high utilization on a card


VirusCredit13 wrote:

Few questions.

 

For credit scores, and when manual reviews for CC apps, in regards to utilization, they look at total untilization and utlization on every card right?

 

For instance I have 29600 credit limit over all my cards. And a blance of about 2200 all on just two cards, BCP and Discover seeing as they have 0% apr.

about 1400 of that is on the Amex, which has a CL of 2000, so my utilization for that specific card is very high. but my over total untilization is just over 10%, will be under by time next statements role out, but amex will still be ~%45 utilization.

 

I'm asking because I was considering applying to the Amex everyday card next month, but Amex denied me both times I tried CLI after I got the BCP. Had close to zero balance first time I applied, maybe 20% utilization(on amex) last time I did, and now I'm waiting until I can pay down that card specifically before I try again.

 

Reason balance on those cards are so high compared to others is because 8000 of my credit limit is on a card with 24% apr, and 15k is on my parents credit card that I was made an authorized user when I was a kid, but don't use anymore(unless emergency) now that I have own cards. And then like I said before the 0% apr on these cards.

 

 

TLDR:

How much of an negative effect will having high utilization on 1 card but low overall utilization on new credit card apps. 1400/2000 balance on BCP right now, will be about 1000/2000 by time I apply. Am I okay to apply like this or should I wait until I can pay off more. Everyday is card I am going for, but probably will try for 3-4 cards when I start applying. Freedom for sure(denied once before), haven't decided on others.

 

Scores EQ: 723(myfico)

              TU: 720(Discover)

Not many Inquires overall on reports, Only 2 in last 6 months

 

Cards:

Amex BCP 2k 

BanaRep 7.6k

Amazon Visa 2.7k

Discover 2k

AU on Bofa visa 15k

 


Hey VirusCredit13!

Yes, FICO does take into account both overall and individual utilization.  Having high on either is a ding but you're paying on time and your profile looks good.  It's always best to apply when your profile looks the best so if the possiblity is there to pay down you balances, you should do so before you apply.  Any time you apply for a subsequent Amex product after being a member, it's a SP so I wouldn't be so worried about the new app affecting your credit profile but more whether you will be approved for the new line of credit with Amex.  A couple of questions:  how long have you had your BCP?  when you applied for your 61day CLI, had you just come off a app spree?  how many cards have you added after getting the BCP?  how long ago did you apply for the CLI with Amex?

Thanks for your answers.  I'm trying to ascertain your new approval odds if you apply for this ED card.  :smileyhappy:


Starting Score: 642
Current Score: EQ 773, EX 780, TU 777 (All FICO)
Goal Score: 800+

Cards: NFCU Flagship 50K, DC 30K, BCP 28.6K, Arrival+ 25K, Citi DP 22.8K, CSP 20.5K, TotalRewards 20.5K, QuickSilver 20K

Regular Contributor
Lin55
Posts: 248
Registered: ‎08-14-2013
0

Re: Applying with high utilization on a card


improvingmycredit wrote: if you apply for this ED card.  :smileyhappy:

That just sounds funny to me. Maybe because im in the medical profession. lol

New Contributor
Mannymal
Posts: 54
Registered: ‎12-23-2013
0

Re: Applying with high utilization on a card

I have a Barclay Apple card with a high balance because I am taking advantage of a 0% interest purchase. It made Chase skittiish to give me a Freedom to the point I had to recon to get approved. They asked about it. And they refused to CLI my Chase Amazon up from $500, a ridiculous CL on a card that I actually use a lot and need high limits on. 

AMEX BCE: $3000, CHASE Freedom: $4000, Discover IT: $2,500, Barclay Apple: $1700, Barclay Arrival: $3,000, GE Amazon Store: $6000, Amazon CHASE Visa: $500, American Airlines Federal Credit Union: $6000, Macy's: $600. GARDENING 01/15/15

Starting Score: TU FICO: 630
Current Score: TU FICO: 734 EX FICO: 704
Goal Score: 760+


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Senior Contributor
B335is
Posts: 4,670
Registered: ‎09-22-2012
0

Re: Applying with high utilization on a card

Some creditors are sensitive to high available credit, like RBS. But ive never been flat out denied for high utilization. 50% on one card was the highest ive ever gone though.
Community Leader
Valued Contributor
improvingmycredit
Posts: 1,402
Registered: ‎07-12-2011
0

Re: Applying with high utilization on a card


Lin55 wrote:

improvingmycredit wrote: if you apply for this ED card.  :smileyhappy:

That just sounds funny to me. Maybe because im in the medical profession. lol


LOL!  Your post really made me laugh.  haha.  This is def a card "ED" that I don't want.  Haha


Starting Score: 642
Current Score: EQ 773, EX 780, TU 777 (All FICO)
Goal Score: 800+

Cards: NFCU Flagship 50K, DC 30K, BCP 28.6K, Arrival+ 25K, Citi DP 22.8K, CSP 20.5K, TotalRewards 20.5K, QuickSilver 20K

Contributor
VirusCredit13
Posts: 163
Registered: ‎02-20-2013
0

Re: Applying with high utilization on a card

[ Edited ]

@improvingmycredit

All my cards that I listed I got in Feb of last year, with the exception of the Discover card which was in September. Bofa I don't even remember when I was made AU but was before any my own personal cards.

 

The 61 day CLI request was basically 2 month after that app spree(4 cards, although don't think Jcrew used HP). All approved

 

I did another CLI request around end of October(6months after first). Discover was applied for in September along with Freedom and Penfed, only Discover approved.

 

Community Leader
Valued Contributor
improvingmycredit
Posts: 1,402
Registered: ‎07-12-2011
0

Re: Applying with high utilization on a card


VirusCredit13 wrote:

@improvingmycredit

All my cards that I listed I got in Feb of last year, with the exception of the Discover card which was in September. Bofa I don't even remember when I was made AU but was before any my own personal cards.

 

The 61 day CLI request was basically 2 month after that app spree(4 cards, although don't think Jcrew used HP). All approved

 

I did another CLI request around end of October(6months after first). Discover was applied for in September along with Freedom and Penfed, only Discover approved.

 


Hummm- What were the reason for denials from PenFed and Chase for their Freedom card?  With everything you've stated, length between apps, time with Amex, no recent derogs and current FICO, I'd think you'd be approved with Amex for the ED card.  Income good?  


Starting Score: 642
Current Score: EQ 773, EX 780, TU 777 (All FICO)
Goal Score: 800+

Cards: NFCU Flagship 50K, DC 30K, BCP 28.6K, Arrival+ 25K, Citi DP 22.8K, CSP 20.5K, TotalRewards 20.5K, QuickSilver 20K

Contributor
VirusCredit13
Posts: 163
Registered: ‎02-20-2013
0

Re: Applying with high utilization on a card


improvingmycredit wrote:

Hummm- What were the reason for denials from PenFed and Chase for their Freedom card?  With everything you've stated, length between apps, time with Amex, no recent derogs and current FICO, I'd think you'd be approved with Amex for the ED card.  Income good?  


Reason for denials was to low income with PenFed, I think was same with Chase, although I don't remember for sure. I've been looking for a new job with higher salary, and will reapply for PenFed and Freedom along with BestBuy once that happens.

 

Thanks for your input. I'll wait until I pay off a few hundred dollars on Amex on the 1st, then after new statement arrives and CR updated, I'll go ahead and and try for AMEX ED. 


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