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Established Member
BreakingBad_Credit
Posts: 16
Registered: ‎03-11-2013
0

Re: Irritated with Discover


VirusCredit13 wrote:

youngandcreditwrthy wrote:
So Discover likes balance carrying? Good thing Ive been using the heck out of it lately! Lol

Non-charge card issuers in general like that, so long as you aren't carrying close to your limit. They aren't making any money on cards that are kept at zero balance and they are paying 5% cashback on purchases. If during your 0% intro APR you are carrying a balance they will assume(hope) you will follow those habits when real APR kicks in. If your keeping at 0 balance, they will assume you will follow that. 

 

If you don't have a AF and it isn't a charge card, they want you to carry a balance.


Actually, CCCs make money off of every dollar you spend.  There are transaction fees that the vendor must pay to them when you charge something.  Not sure the exact figure, but I believe it's below 3%.  As such, CCCs DO have an incentive for you to spend using their card versus another card.  However, if they find that the risk of you defaulting is high, that little bit of extra revenue to them will not be worth it and they'll decline your requests for CLI.

 

What I think people miss in these forums sometimes is that your behavior as it shows on your credit reports isn't necessarily the behavior that the credit card companies want from you.  Your score is a good predictor of your likelihood of paying as you're supposed to, but having 0-10% on ONE card (as is often suggested in these forums) does in fact mean your other cards that are carrying zero balance.  Depending on the company and the product, this may or may not be what they want.  Card companies will match rewards/benefits or compete for your business with other cards because that's the nature of economics.  As you become a better candidate for credit, you'll have better offers and they'll want to make sure you still choose to use their card when that time comes.

Senior Contributor
youngandcreditwrthy
Posts: 6,242
Registered: ‎08-16-2012
0

Re: Irritated with Discover

Lol they must hate me! Haha Barclay's continued to send me bt offers even when I was close to my limit!
I have never once been dinged with a normal APR of "accrued interest" from not pif'ing before a promo offer expires.
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Established Contributor
Leadberry
Posts: 625
Registered: ‎01-31-2013
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Re: Irritated with Discover


VirusCredit13 wrote:

It really isn't a reason to be irritated with them. They have no reason to give you a CLI. Just because other companies throw them around like nothing, or other people get CLI with card doesn't mean they are obligated to give you one. If you want them to give you CLI your going to have to pay for it. Leave a small balance there always. 

 

If you aren't spending close to your current limit, or you aren't paying any interest on your statements  every month, financially you don't even need the CLI, it only is for you to improve your credit score. They as a company have no real reason to give it to you other than to "make you happy". While some CSR or anaylst might do that, others won't. If you have 15 cards, and you have zero balance on their card, they don't see any need for you to have more credit line. 

 

Telling them that you opened new accounts recently and the inquires are because your trying to build credit, does explain/justify why you did so, but it also is going to make them infer the only reason you want the CLI is the same reason. 


CCC's don't offer CLI's to help you improve your credit score, nor to make you happy.  They're there to help you spend more money.  As such, they could possibly gain a very real financial benefit by extending one to you.  Most people don't even know CLI's exist, or they turn them down because they don't realize/care that they could be a credit score boost.

   
   
Contributor
VirusCredit13
Posts: 163
Registered: ‎02-20-2013
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Re: Irritated with Discover


Leadberry wrote:

VirusCredit13 wrote:

It really isn't a reason to be irritated with them. They have no reason to give you a CLI. Just because other companies throw them around like nothing, or other people get CLI with card doesn't mean they are obligated to give you one. If you want them to give you CLI your going to have to pay for it. Leave a small balance there always. 

 

If you aren't spending close to your current limit, or you aren't paying any interest on your statements  every month, financially you don't even need the CLI, it only is for you to improve your credit score. They as a company have no real reason to give it to you other than to "make you happy". While some CSR or anaylst might do that, others won't. If you have 15 cards, and you have zero balance on their card, they don't see any need for you to have more credit line. 

 

Telling them that you opened new accounts recently and the inquires are because your trying to build credit, does explain/justify why you did so, but it also is going to make them infer the only reason you want the CLI is the same reason. 


CCC's don't offer CLI's to help you improve your credit score, nor to make you happy.  They're there to help you spend more money.  As such, they could possibly gain a very real financial benefit by extending one to you.  Most people don't even know CLI's exist, or they turn them down because they don't realize/care that they could be a credit score boost.


We are saying same thing.

Member
snozberries
Posts: 6
Registered: ‎01-04-2012
0

Re: Irritated with Discover


youngandcreditwrthy wrote:
So Discover likes balance carrying? Good thing Ive been using the heck out of it lately! Lol

My experience was a bit different. I was approved for $1500 in January '12 and used the card heavily for six months. At six months I attempted a CLI and was told over the phone that the minimum for a CLI was 1 year. While I suspected and confirmed that this wasn't correct, rather than take a HP trying to get a Discover CLI, I instead decided to app for a Freedom and take a break from Discover for a while. I was approved for a $4000 CL Freedom in July and basically stopped using my Discover, except for a few 5% purchases, but always PIF'ing to $0 balance.

 

The online system was still requiring a HP for even a $500 CLI as recently as late February, then, out of the blue, they CLI'd me to match my Freedom's $4k CL a few days ago. While I think many give sound advice on how to maximize your chances for an auto CLI, from a CCC's standpoint, the decision making process about where more risk (aka higher CL) may be appropriate given an expected return comes down to demographics and modelling that are probably beyond a forum's capability to understand, given the small sample size we have to work with. Even a great user with a good score can find themselves outside a CCC's parameters for increased risk, making the CLI game very much YMMV. That said, maybe try ignoring them like I did for a few months... who knows, it might work.

Valued Contributor
RyVision
Posts: 1,346
Registered: ‎04-15-2011
0

Re: Irritated with Discover


snozberries wrote:

youngandcreditwrthy wrote:
So Discover likes balance carrying? Good thing Ive been using the heck out of it lately! Lol

My experience was a bit different. I was approved for $1500 in January '12 and used the card heavily for six months. At six months I attempted a CLI and was told over the phone that the minimum for a CLI was 1 year. While I suspected and confirmed that this wasn't correct, rather than take a HP trying to get a Discover CLI, I instead decided to app for a Freedom and take a break from Discover for a while. I was approved for a $4000 CL Freedom in July and basically stopped using my Discover, except for a few 5% purchases, but always PIF'ing to $0 balance.

 

The online system was still requiring a HP for even a $500 CLI as recently as late February, then, out of the blue, they CLI'd me to match my Freedom's $4k CL a few days ago. While I think many give sound advice on how to maximize your chances for an auto CLI, from a CCC's standpoint, the decision making process about where more risk (aka higher CL) may be appropriate given an expected return comes down to demographics and modelling that are probably beyond a forum's capability to understand, given the small sample size we have to work with. Even a great user with a good score can find themselves outside a CCC's parameters for increased risk, making the CLI game very much YMMV. That said, maybe try ignoring them like I did for a few months... who knows, it might work.


 

Some time ago I posted that it should be obvious that Discover is kind of chasing AMEX's and Chase's clients.  You just experienced that.  Their CLIs (along with other lenders CLIs) are in a way, recognition given to a good or valued customer.  They are competing for your business after all.  So who would you be more likely to keep and use? The lender who recognized you as a good customer by giving you a CLI or the one who basically ignored you (at least in the world of credit).

 

Discover is marketing their customer service as being better than most others, part of that is recognition at least equal to that given by other lenders.

Established Contributor
snowkitty
Posts: 985
Registered: ‎09-10-2012
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Re: Irritated with Discover

I'm not irritated that they did not give me an increase, I'm irritated at the csr for telling me that I am not using their card. She obviously did not look at my account very good because I have used that card since I got it. In fact, I had just charged 3 things to it last week. I have also been running a balance with them since October of last year when I started Christmas shopping. My limit is 1500 and I never let the balance go over 750.00 because that would be 50% ulility. My point of wanting an increase with them was to put a 1100.00 purchase on it without going near my limit but since she said no, I just put it on another card....no big deal.
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Contributor
VirusCredit13
Posts: 163
Registered: ‎02-20-2013
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Re: Irritated with Discover


snowkitty wrote:
I'm not irritated that they did not give me an increase, I'm irritated at the csr for telling me that I am not using their card. She obviously did not look at my account very good because I have used that card since I got it. In fact, I had just charged 3 things to it last week. I have also been running a balance with them since October of last year when I started Christmas shopping. My limit is 1500 and I never let the balance go over 750.00 because that would be 50% ulility. My point of wanting an increase with them was to put a 1100.00 purchase on it without going near my limit but since she said no, I just put it on another card....no big deal.

That could be attributed to what she was looking at, and they might just have a system that is flawed. The CSR might just input you into the computer and it SPs your credit report and the balance at the time was zero on your Discover. Credit report wouldn't have what you do on a day by day basis. Discover should probably look at your personal account, but they may just do a look at your credit report initially, if that is the first thing she told you "not using card".

 


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