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Senior Contributor
Open123
Posts: 4,155
Registered: ‎02-23-2011
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Re: At what score to dump subprime cards?

[ Edited ]

In my estimation, the decision on when to shed the "sub prime" cards should be predicated on cards you have and not on score alone.

 

For instance, when you have two "no annual" fee cards from any national bank (i.e. Chase, Citi, BofA, Amex Discover, etc...many more) with a CL that accords you enough space to fit your normal spending, then I'd say you're ready to shed your high fee, high interest, no rewards and low limit cards.  Don't even wait until the next annual fee date, just purge them asap. 

 

Your credit file will look much more appealing to the potential lenders without the toy limit First Premier ilk on your CR. 

 

PS - It remains on your report, but on manual review "closed at consumer's request" will at least imply to a manually reviewer you're making progress on your rebuilding process.

Frequent Contributor
iMacDrew
Posts: 350
Registered: ‎07-13-2012
0

Re: At what score to dump subprime cards?


Open123 wrote:

In my estimation, the decision on when to shed the "sub prime" cards should be predicated on cards you have and not on score alone.

 

For instance, when you have two "no annual" fee cards from any national bank (i.e. Chase, Citi, BofA, Amex Discover, etc...many more) with a CL that accords you enough space to fit your normal spending, then I'd say you're ready to shed your high fee, high interest, no rewards and low limit cards.  Don't even wait until the next annual fee date, just purge them asap. 

 

Your credit file will look much more appealing to the potential lenders without the toy limit First Premier ilk on your CR. 

 

PS - It remains on your report, but on manual review "closed at consumer's request" will at least imply to a manually reviewer you're making progress on your rebuilding process.


+1 othe. Factors to consider are credit limits on cards that you are going to keep. I wouldn't drop them till your score is high enough for you to drop 15 points and still. Be content. 

Lender pulled 10-10-13
EQ Fico 715 | EX Fico 714 | TU Fico 703
Moderator
Revelate
Posts: 9,484
Registered: ‎12-30-2011
0

Re: At what score to dump subprime cards?


Open123 wrote:

In my estimation, the decision on when to shed the "sub prime" cards should be predicated on cards you have and not on score alone.

 


This 100%.  

 

Scores are only one part of the equation, and by their definition alone a Freedom is throughly sub-prime since we're now seeing approvals at 630 for it, regardless of how good a card it is by any other definition; however, it's only one piece of the approval puzzle when it comes to credit cards.  Ergo, don't factor it on scores, do it on what's in the rest of your credit card portfolio as Open most excellently suggests.

 

Starting Score: EQ 561, TU 567, EX 599* (12/30/11, EX lender pull 12/29/11)
Current Score: EQ 04 673, EQ 8 707, TU 720, EX 702* (09/02/14, EX older)
Goal Score: 700 on EQ '04 (01/01/15)


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Valued Contributor
jamesdwi
Posts: 1,894
Registered: ‎09-16-2011
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Re: At what score to dump subprime cards?

When you can no longer justify the cost of the cards CL + Rewards. vs its AF

 

I have a CapOne sub-prime card that has a 2k CL but no AF and 0% BT and 11.9% APR It will continue to live on my report untill they close it. Doesn't matter if its sub-prime or not it has features that make it worth while to keep open. 

 

On the other hand my CapOne rewards card with its 750 CL + $39 AF is on its last year, it will close it when its AF posts. I kept it this year because I closed two other MC's (best buy reward zone & Sears MC) and didn't want to be without a MC based rewards card. The empty slot may make room for a CapOne prime card if I decide to take the tri HP for it. 

 

 

 

 


Cards: Chase Southwest 20k & CSP 10k & Freedom 6.6k & Amtrak 4.6k, FNBO DISC 14.9k Oregon Duck 5k, & AMEX BCP 15k & Hilton Surpass 7.5k & Zync NPSL, Sams Club MC 10k, Paypal Extras MC 6k, CapOne QS 2.5k, QS 750, Amazon 3.9k, Walmart 4.5k, Citi Simplicity 7k, HHonors Gold 1k (moved 5k CL to Simplicity), Discover IT 6.5k and a nice stack of store cards.
Last APP 4/26//2014 no plans for new credit I think I have enough.
Established Contributor
compassion101
Posts: 624
Registered: ‎06-06-2012
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Re: At what score to dump subprime cards?

Agree with the several posts above. Base your decision to dump sub-prime cards on the cards you have. If you have a good score that you think can attain prime cards, then go get the prime cards and dump the subprimes after that, not vice-versa.

Established Contributor
rtw
Posts: 797
Registered: ‎05-01-2012
0

Re: At what score to dump subprime cards?

Thanks for sharing. This post inspired me to dump my Credit One card. I tried to close it but they agreed to wave my annual fee for the next 6 months. I'll try again in February.


Starting Score: EX: 575 (PSECU 5/2/12) TU: 582 (3/6/12) EQ: 664 (4/27/12)
Current Score: EX: 699 (PSECU 06/04/14) 702 (my FICO 08/05/14) TU: 699 (08/01/14) EQ: 675 (07/08/14)
Goal Score: 720
20K PSECU 7/12 | 12K USAA 9/12 | 11K BOA 1-2-3 9/12 | 9K Citi HHonors 9/12 | 8.5K Citi AAdvantage 5/08 | 5K Chase Sapphire Pref. 9/12 | 3.8K Barclays USAir 7/12 | 6K Walmart Dis. 11/12 | 1K Amex SPG 11/12 | 2K Amex BCP 1/13
Senior Contributor
Open123
Posts: 4,155
Registered: ‎02-23-2011
0

Re: At what score to dump subprime cards?

[ Edited ]

jamesdwi wrote:

 

I have a CapOne sub-prime card that has a 2k CL but no AF and 0% BT and 11.9% APR It will continue to live on my report untill they close it. Doesn't matter if its sub-prime or not it has features that make it worth while to keep open. 

 


In my view, this is the very definition of "prime" card.

 

The terms work for you, no fee, low apr, and the CL accords you enough room for whatever spending you allocate to the card.  To me, that it's CapOne, CapTwo, or CreditOne isn't relevant.

 

If First Premier came up with a better SPG card, I'd apply for it and cancel Amex. 

 

PS - It's only relevant when the views of others matter.  In business, sometimes image does matter, but not in one's personal life, at least not in my estimation.

Contributor
tboy1977
Posts: 221
Registered: ‎07-11-2012
0

Re: At what score to dump subprime cards?

That CapOne card is SWEET!!  That is prime.  $2k limit and 11.9% APR.  Nice.  If a card is empty and has no AF, it can't hurt you.............

Starting scores: EQ 420, EX 421, TU 405 (Jan 2011)
Bk Ch 7 Discharged Mar 2011
Current scores: EQ 456, EX 534, TU 411 (Aug 2012) FICO (8/2012 -- EQ 564, EX 584 (from BofA) TU 551)
Goal scores: EQ 700+, EX 700+, TU 700+

Credit accounts: 30% APR auto loan (Jan 2012), Secured [CapOne (3K), PNC (1300), NFCU (1K), Coke (2500)] and Target (200)
Established Contributor
migliogiorni
Posts: 657
Registered: ‎06-27-2012
0

Re: At what score to dump subprime cards?

Got my first prime around 680.  If your sub prime is your highest AAOA keep it mine has an AF going to see if they will wave it next time if not I will drop it.

 

BOA: 8.9k
CSP: 5k
Discover: 5k
Citi TY Preferd: 5k
Wally: 5k
JCP: 4.9k
citiForward: 4.7k
ChaseFreedom: 4.5k
DFS: 2k
Frequent Contributor
JPersat
Posts: 299
Registered: ‎05-28-2012
0

Re: At what score to dump subprime cards?


HenryJumbo wrote:

JPersat wrote:
I've seen some FICO scores not much higher than mine with prime cards, but have also seen 700s not able to get prime cards..so at what score level is it realistic to close rebuilders/builders?


If your score is really around 610 as indicated in your sig I don't know if that's primeville.

 


 

 

I don't really care if we're in "primeville" right now - I have no intention of doing anything with my/our credit cards for at least 9-12 months, so they can just peacefully garden until then. Simply curious, since I've seen several different numbers thrown around like 640, 680, 720, 780 and so on.


Starting Score: 492 02/12
Current Score: TU: 668 (FICO), EQ: 668 (FICO). EX: 651(lender pull 9/27/12)
Goal Score: 660




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