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Did you donate/join before you app'd for the credit card?
No, i didn't .
I didn't think order was important.
The lady said if i was approved then i would be receiving a packet in the mail and also an envelope to send in the donation.
according to the article in Money-Magazine it said the donation requirement is $5.00 dollars... the lady on the phone said its $10.00 dollars. ( i wouldn't mind donating $50.00 dollars to ALS if it meant getting approved)
I love my CU and they have approved me for two cars and a $7500 CC with less than 700 credit score. However, I tried a closer CU to my house and they have denied me for everything so I pulled my money and said Go F yourself. I will keep my money at my current CU forever.
@Oppenheimer wrote:
What is the point of having an extremely high FICO score if it does nothing for you? Is it just a pretty number that I should frame and hang next to my college degree? Ive been upset about this all day long. I thought credit unions had a higher approval rate than regular banks.
Underwriting criteria are rarely based solely on credit score but underwriting criteria do vary by creditor. As you indicated, you have a thin file which means you don't have enough accounts to make them confident in approving you. Number of accounts gives a creditor an idea of how "trusted" you are. Some creditors are much more conservative with approvals than others so don't rely on generalizations alone such as "credit unions are more likely to approve". PenFed's another example of a creditor that is very conservative with their card appovals and some with high scores have been denied with them as well.
A high score isn't pointless but, as always, you have to consider your entire credit picture and not just a single factor.
@Oppenheimer wrote:
but it would seem weird that she suggested i take out a loan and pay it back.... wouldn't my request for a loan ALSO get rejected? or maybe i should take out a small loan in the amount of $3,000 dollars and pay it back? i just REALLY REALLY want that credit card with a 6.25% APR. because i hate paying intrest when/if i do carry a balance. i feel like im stuck in a catch 22 situation.
Not necessarily. The loan underwriting crtieria may be a bit more lax but we can't say for certain. A secured loan should be easier to get an approval since there is collateral involved. What you'll probably have to do is make getting this particular card a longer term goal and set short term goals for building your credit -- such as getting and maintaining card(s) that are easier for you to get approved.
well since you asked that question, i looked at my credit report and im showing 3 tradelines. #1 Care-Credit, #2 Express (the clothing store), #3 Capital One.
Also since its been a few days, i have since recieved an offical letter from Lake Michigan listing the reason for the denied application as: "Limited Credit Experience".
How many tradelines do i have to have in order to NOT be labeled as: "Limited Credit Experience"?
well according to the report from myfico.com it says the following: "Average age of your accounts 6 years"
is 6 years not enough?
@Oppenheimer wrote:well according to the report from myfico.com it says the following: "Average age of your accounts 6 years"
is 6 years not enough?
Sometimes denials can come from "limited revolving history"
Though you AAoA is 6 years, how old is your oldest credit card account?
@Oppenheimer wrote:well since you asked that question, i looked at my credit report and im showing 3 tradelines. #1 Care-Credit, #2 Express (the clothing store), #3 Capital One.
Also since its been a few days, i have since recieved an offical letter from Lake Michigan listing the reason for the denied application as: "Limited Credit Experience".
How many tradelines do i have to have in order to NOT be labeled as: "Limited Credit Experience"?
Different lenders have different underwriting requirements and the limited credit experience is one of those catchall reasons that can never be proven false... since they're required to give you some on a denial, there's a few like that one which they'll give even if you have 20 years of revolving history and for whatever reason they just don't like you.
Will say judging from your lineup:
- Carecredit: speciality card
- Express: store card
- Cap One: possibly subprime-strata card
This particular CU may have wanted to see better quality tradelines, or maybe there was something else which they didn't like on your application; it's hard to know and your'e unlikely to get more than the stock answer already given unfortunately. Personally I'd just move on, no CU is worth losing sleep over: there's plenty of other good ones out there, but it does sound like you should be upgrading some tradelines in the near future depending what your revolving history happens to be as someone else suggested.