Electronic Credit Card Applications

[creditwherecreditisdue]

I would rather app through a website and all my app's in recent memory have been web app's. The only one it is unwise to app online with that I know of is Macy's.

[hazzmat1021]

Lynette

 That sounds good, but due to the fact that I do have past negatives, it probably wouldn't be worth trying to explain. If all my negatives were washed away, and I were in my current credit status of 0 debt-to-credit ratio, decent scores, 100% credit avail....i'd probably have a case.

[haulingthescoreup]

The way that these instant approvals/ denials work is that your app goes through a computer program. If there are any negatives that the lender doesn't like, you're going to get an instant denial, or the 7-10 day deal. The computer programs are typically more rigid than the actual lender policy. This is why it's often worth reconning your app.

One example: if you've recently gone car shopping, and you didn't secure your loan ahead of time through your local CU or bank, and you let the car dealer find you a loan, you can easily wind up with a half dozen or more inquiries. For FICO scoring, these inqs are "de-duped" if they're within a certain time frame, and they only count as one inq. But the computer analyzing your app sees 6 inqs and denies you for "too many inquiries." That's when you have to talk to a human, aka a CSR, and have them take a look. Even then, many CSR's don't grasp how 6 inqs are for one car loan, not six, and you may have to do some educating, explaining that the dealer shopped you around.

At any rate, if you have any baddies, high util, and so forth, it's more likely that you'll be declined on one of these instant approvals, because there isn't an element of individual judgment being applied.

[creditwherecreditisdue]

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@hazzmat1021 wrote:
I have a retail card. It's neither Visa nor MC. My CL on this retail card started with $3k, and now I'm at $6300. I have no other credit card than OB. I've applied for a cc thru USAA, and I applied for a an upgraded version of my retail card, except if offers MC priviledges. I was denied both. It seems that my current scores, my available credit, and  debt-to-credit ratio wasn't a factor. USAA splt second denial stated...your application may have been denied for all, or one of the following...past delenquincies, past collections, past public record (as I stated earlier, all of these are settled, and waiting for their 7yr hiking papers). I applied for a motorycycle loan 8 months ago thru my CU, and was approved based on what I've done up to this point. I've paid that loan off in 8 months vs. 36 months as was intended. I've worked hard to keep a clean 2yr track record and just dont comprehend the reasoning behind denying someone who has obvisuiously shown signs of maturing in the use of credit. Yet, my mailbox can be cluttered with pre-approved crap at 20% APR, and up.

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You're wondering why you have problems with your credit app's:

1) Short satisfactory credit history. (Not enough elapsed time from baddies.)

2) Thin credit file.

3) Marginal scores.

When you have this type of credit file sometimes it is better not to accelerate the repayment of installment debt (the motorcycle loan). You may show signs of maturing but perhaps not enough. You'll have a better shot and at prime card approvals once your scores reach 690 to 700 and that will take two things: 1) application of effort to have the remaining negative information removed from your CBR's (GW if already paid - GW/PFD if not) and 2) the passage of time. Many (if not most) of us have to bide our time while waiting for our CBR's/FICO's to improve/recover so we can pursue better credit alternatives. You're just not there yet.