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Senior Contributor
score_building
Posts: 3,554
Registered: ‎01-10-2008
0

Re: CareCredit CLI

no doubt you would have good use for the CL...however, anything more than 12k seems to be quite rare from ge/carecredit due to their relatively conservative CLI guide lines overall...even with high income and taking into account the expensive nature of medical/dental procedures.

 

do you know if it's possible to update income with them... or would one have to reapply?  how do the two compare-- chase, and carecredit-- in your experience is one better than the other?

FICOS:
06/13 EX 765 (PSECU) EQ 771 (DCU) TU 779 (Barclays)
Moderator Emeritus
beamMEup
Posts: 4,473
Registered: ‎12-31-2008
0

Re: CareCredit CLI

I would never knowingly open a consumer finance account - they just don't build a strong credit history and are negative hits on your credit reports.  There are other options.

 

We've started putting dental on a rewards card to take advantage of those lovely rewards, pay a little interest, usually PIF but will have to carry some balance for a few months, and keep only positive accounts open for a strong future credit history.

 

I also like the security of knowing that if there is a financial emergency, I'm not at risk of paying the horrendous interest rate on CareCredit if it's not paid 100% before the end of the interest free timeframe.  They're off my list.

 

Looking ahead, I can't wait until these horrendous dental bills are done.  They are absolute killers - I'm glad we can do these things but the cost is really astronomical - I'll be glad when that much cash can go into our retirement funds or paying down our mortgage.

 

Keep smiling and show those pearly whites - no matter how you're financing them :smileywink:.

Just puttin' syrup on something, don't make it pancakes.
Senior Contributor
score_building
Posts: 3,554
Registered: ‎01-10-2008
0

Re: CareCredit CLI

not sure about the chase product txjohn referenced but carecredit reports as a charge acct not a CFL.

FICOS:
06/13 EX 765 (PSECU) EQ 771 (DCU) TU 779 (Barclays)
Senior Contributor
txjohn
Posts: 4,214
Registered: ‎09-12-2008
0

Re: CareCredit CLI


score_building wrote:

no doubt you would have good use for the CL...however, anything more than 12k seems to be quite rare from ge/carecredit due to their relatively conservative CLI guide lines overall...even with high income and taking into account the expensive nature of medical/dental procedures.

 

do you know if it's possible to update income with them... or would one have to reapply?  how do the two compare-- chase, and carecredit-- in your experience is one better than the other?


The initial CL granted to me was $12,500.  I called in next day and asked for $1500 CLI....which they approved without question.

 

When I called in this time, the Credit Specialist asked for "household income" so yes you do have an opportunity to update that, if changed.

 

 

Credit Scoring 101 - Tuscani   *  Guide to Common Abbreviations
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09/03/2009 TU: 777, EQ: 776 ($8 balance on an account dropped me out of 780's)
03/28/2009 TU: 814, EQ: 810, EX: 781 (02/12/2009)
05/18/2005 TU: 563, EQ: 580, EX: 549
Senior Contributor
txjohn
Posts: 4,214
Registered: ‎09-12-2008
0

Re: CareCredit CLI


beamMEup wrote:

I would never knowingly open a consumer finance account - they just don't build a strong credit history and are negative hits on your credit reports.  There are other options.

 

We've started putting dental on a rewards card to take advantage of those lovely rewards, pay a little interest, usually PIF but will have to carry some balance for a few months, and keep only positive accounts open for a strong future credit history.

 

I also like the security of knowing that if there is a financial emergency, I'm not at risk of paying the horrendous interest rate on CareCredit if it's not paid 100% before the end of the interest free timeframe.  They're off my list.

 

Looking ahead, I can't wait until these horrendous dental bills are done.  They are absolute killers - I'm glad we can do these things but the cost is really astronomical - I'll be glad when that much cash can go into our retirement funds or paying down our mortgage.

 

Keep smiling and show those pearly whites - no matter how you're financing them :smileywink:.


 

I have to respectfully disagree.  Consumer Finance are "installment loans" not revolving lines of credit/credit cards.  You can verify that with Hauling (mod).

 

Also, the "take a hit" is subjective, because ANY debt or balances tends to have some FICO consequence.  While the "reasons" given in the codes may state that "consumer finance" has had a negative consequence....I don't believe it is any more negative than having multiple CC balances, high utilization or high balances or multiple new accounts and inquiries.

 

To me, credit that is useful and financially practical is good credit.  My FICO's are currently ranging from 750 to 770 for scores....but as important to my scores is the fact that it is pristine (no derogs), perfect record and very good mix portfolio.  Additionally, my DTI and utilizations are all in good ranges...so I'm not worried about a possible minor FICO effect due to a particular "category." 

 

However, again, GEMB revolving/CC accounts are not consumer finance.  Consumer finance are installment loans, usually high interest and given to people desparate at times.  CitiFinancial and others like this that will loan up to $15,000 at high interest, sometimes "collateralized" by personal property are red flags because they show financial distress or need.

 

In reference to CareCredit and Chase Health.  I am able to use, just like a store card, a dedicated line of credit interest FREE for 2 years.  Why would I want to pay interest to a CC when I don't have to?  Plus, this doesn't tie up my cash credit lines that I may want to use for other types of purchases.

 

I think it unwise to run up an elective procedure medical credit account that one cannot afford.  But when one needs to have necessary dental/vision and needs an opportunity to make payments and can do it interest free...this makes a ton of sense to me, especially when these accounts tend to offer CL's that the major CC would not potentially.

 

As always....this is strictly IMO IME   :smileywink:

 

 

Credit Scoring 101 - Tuscani   *  Guide to Common Abbreviations
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09/03/2009 TU: 777, EQ: 776 ($8 balance on an account dropped me out of 780's)
03/28/2009 TU: 814, EQ: 810, EX: 781 (02/12/2009)
05/18/2005 TU: 563, EQ: 580, EX: 549
Moderator Emeritus
beamMEup
Posts: 4,473
Registered: ‎12-31-2008
0

Re: CareCredit CLI

Thanks TX.  I am not in the habit of disagreeing with any of our mods.  The mods are FICO gods.  Mod gods.

 

I am only reporting what is clearly stated on my mortgage pull.  GEMB Care Credit came in as Consumer Finance Co. on both of DH's two mortgage pulls; GEMB JCPenney and GEMB Walmart came in as Consumer Finance Co. on my one mortgage pull.  They are all reported identically on CCT, which confirms the mortgage pull - that's nice to know because I'm not in the habit of frequent mortgage pulls - so it's good to know there's another source. 

 

Debating it either way doesn't change what's published on my record - and I think it's only fair that information is shared on this forum.  I know that it raises a little ire, but I hope it's not directed at me.

 

Plus, I'm happy to know that closing the accounts is the first step in reducing the damage.

 

How do payday loans report on credit reports?  Revolving and Consumer Finance?  Or non-revolving and Consumer Finance?

 

I think people will be surprised to learn that they have Consumer Finance Accounts on the CR's and are unaware of it.  It's hard to track.  When we do have a reliable source (i.e. mortgage pull with KOB information) we should take a good luck at it and be thankful for the window to such hard to find information.  I'm also thankful for FICO experts that help point this out to people, including me.

 

Moderator Tuscany offered some good insights into these issues on this thread: 

http://ficoforums.myfico.com/fico/board/message?board.id=ficoscoring&thread.id=1722&view=by_date_asc...

 

Best wishes to you, no matter what cards you like to keep open or closed, and no matter how you choose to handle dental and medical expenses.  We are all on the same highway, going in the same direction, just driving in our own particular ways.

 

 
Just puttin' syrup on something, don't make it pancakes.
Senior Contributor
BungalowMo
Posts: 4,237
Registered: ‎05-01-2008
0

Re: CareCredit CLI

My Care Credit acct shows as a revolving acct on all 3 of my reports.

 

Interesting how not everyone has the same info  ...  hmmmmm  :smileyindifferent:



Starting Score: 07/2011 TU 732 - EQ 717 - EX 702
Current Score: 06/2014 TU 739 - EQ '08 709 - EX 721
Goal Score: 850

Bury me in the garden...last app 06.18.14

Senior Contributor
txjohn
Posts: 4,214
Registered: ‎09-12-2008
0

Re: CareCredit CLI


beamMEup wrote:

Thanks TX.  I am not in the habit of disagreeing with any of our mods.  The mods are FICO gods.  Mod gods.

 

I am only reporting what is clearly stated on my mortgage pull.  GEMB Care Credit came in as Consumer Finance Co. on both of DH's two mortgage pulls; GEMB JCPenney and GEMB Walmart came in as Consumer Finance Co. on my one mortgage pull.  They are all reported identically on CCT, which confirms the mortgage pull - that's nice to know because I'm not in the habit of frequent mortgage pulls - so it's good to know there's another source. 

 

Debating it either way doesn't change what's published on my record - and I think it's only fair that information is shared on this forum.  I know that it raises a little ire, but I hope it's not directed at me.

 

Plus, I'm happy to know that closing the accounts is the first step in reducing the damage.

 

How do payday loans report on credit reports?  Revolving and Consumer Finance?  Or non-revolving and Consumer Finance?

 

I think people will be surprised to learn that they have Consumer Finance Accounts on the CR's and are unaware of it.  It's hard to track.  When we do have a reliable source (i.e. mortgage pull with KOB information) we should take a good luck at it and be thankful for the window to such hard to find information.  I'm also thankful for FICO experts that help point this out to people, including me.

 

Moderator Tuscany offered some good insights into these issues on this thread: 

http://ficoforums.myfico.com/fico/board/message?board.id=ficoscoring&thread.id=1722&view=by_date_asc...

 

Best wishes to you, no matter what cards you like to keep open or closed, and no matter how you choose to handle dental and medical expenses.  We are all on the same highway, going in the same direction, just driving in our own particular ways.

 

 

 

I hope you don't think I had any ire toward you.  I do not in any way!  :smileywink:

 

I just like to present a perception I have:  that sometimes IMO people become a little obsessive about an inquiry or possibly something getting coded as "consumer finance."

 

Unless your mortgage company specifically cited this as a reason you were declined, or that you did not qualify for a rate due to it.....then what harm has their been?  You need a 620 middle score to qualify...and a 720 to 740 for the best rates.  After that, as long as down payment, appraisal, income, DTI and employment checkout...you're golden.

 

Also, it is possible that somehow an account has been coded incorrectly, thus providing a "false positive" for the code: "consumer finance."

 

CareCredit is a prevelent enough account type, and GEMB is a big enough "main stream" lender backing everything from CareCredit to Gas Cards, to Visa cards, to other store cards....that I don't think (IMO) that it will make anyone even blink.....unless it has any derogs reported against it (lates), or is extremely new...or has a large balance pushing util or DTI.

 

Credit is not about FICO, IMO....it is about practical and useful benefits.  If the rates and terms are good.  If you have the income to justify.  If you aren't creating a circumstance that will preclude something more important (like home loan declined cause too many new accounts recently)...then I think that modest credit use is a good thing.

 

Well....just my $0.02 worth (no actual cash value :smileywink: )

 

 

Credit Scoring 101 - Tuscani   *  Guide to Common Abbreviations
Frequently Requested Threads * FICO High Achievers  *  FICO Score Estimator


09/03/2009 TU: 777, EQ: 776 ($8 balance on an account dropped me out of 780's)
03/28/2009 TU: 814, EQ: 810, EX: 781 (02/12/2009)
05/18/2005 TU: 563, EQ: 580, EX: 549
Epic Contributor
Creditaddict
Posts: 21,004
Registered: ‎10-23-2007
0

Re: CareCredit CLI

you nailed it TX, I don't see the big deal about how an account is coded.
Fico Scores: EQ- 682 DCU, TU 696 Walmart, EX 686 Prosper(10-30-14)
You will have to put up Electric Fence to keep me in the garden!
Highest Limit: Navy Federal Cash Sigi Visa $50k (AU)
Lowest Limit: Target $200
63 Cards and Counting :smileytongue:
Moderator Emeritus
beamMEup
Posts: 4,473
Registered: ‎12-31-2008
0

Re: CareCredit CLI


BungalowMo wrote:

My Care Credit acct shows as a revolving acct on all 3 of my reports.

 

Interesting how not everyone has the same info  ...  hmmmmm  :smileyindifferent:


Yes, his Care Credit is a revolving on all 3 accounts as well.

Just puttin' syrup on something, don't make it pancakes.

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