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zan987
Posts: 55
Registered: ‎09-27-2011
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Re: New Program for those with BK: Chase Freedom approval

Patiently waiting for an update......  Hope the rumors are true.

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sjt
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Re: New Program for those with BK: Chase Freedom approval

[ Edited ]

Revelate wrote:

BJL85 wrote:

Good afternoon all,

I recently heard from my friend's finance who is a Chase personal banker that within the past few weeks Chase launched a new program that helps those with BK get approved for their Chase Freedom card. I received an email from the Chase employee saying to come in and they have  a new credit rebuilder program that will approve me for a Chase Freedom card with the override approval code provided from Chase corp. I know she wouldn't lie or exaggerate this (standing up in the wedding) to me but I've never heard of such a thing. I tried doing some research on Google but can't find anything on this new program. Can anyone shed some light? Seems to good to be true as I have done backflips so far to get a descent unsecured card so far.


Got no real details, but 3-6 months ago there was a rumor (from some decent paygrade internal source) that Chase was looking into subprime market... which doesn't surprise me as there's tons of money to be made there; however, we didn't see anything so far in new products or anything else.  This is possibly one of the outgrowths of that, and is a pretty smart plan in my opinion.

 

All the lenders seem to be going sort of for this:

- BOFA sticking rewards on their secured card if you ask for them

- Chase possibly opening up a more subprime / BK friendly underwriting standards for their bread-and-butter card.

- Cap1 offering to stick a 2% CB offer on a former subprime Orchard customer's card

 

And this is all within the last 2-3 weeks from reports on the forums, there are probably others too.  I sort of figured that this was going to occur with how people's personal finances tanked over the past few years which would decimate the pretty FICO people pool that the prime lenders kept squabbling over.

 

I'll definitely be watching this thread with interest, and would greatly appreciate knowing any information you find out... I don't have a BK, but I have an ugly tax lien from seven years ago that I figured ruled me out from a Freedom anytime in the near future.

 


I probably read the same article as well. Also read an article that Chase was going to focus on the Mass Affluent Market, hence launching of the Private Client Program.

 

It makes sense to expand their lending since the "prime" market is so small and the fight for that market may not end up being fruitful. So a strategic move to expand their lending would make sense and it would benefit many.

 

I hope this new program is more then a rumor.

 

 

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psychoinhell
Posts: 565
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Re: New Program for those with BK: Chase Freedom approval

I thought this was a private program just for JPM, since they lost $2B+ recently


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Revelate
Posts: 9,648
Registered: ‎12-30-2011
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Re: New Program for those with BK: Chase Freedom approval


psychoinhell wrote:

I thought this was a private program just for JPM, since they lost $2B+ recently


JPM and Chase are one and the same AFAIK, regardless of what it says on their branches.  Chase has wide-spread brand recognition, JPM really doesn't nationwide except for financial types.

 

Ignore the $2B loss, it doesn't even rate when it comes to whether they decide to enter the subprime market.  They're in the business of making money, and will evaluate that on future performance, not on prior losses.

 

I'm really hoping there's some additional light coming in the darkness of subprime, I was on a three year plan anyway, but if I can shortcut that somewhat by getting a good tradeline (Freedom) after year one, I'm so there.

 

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annielorie
Posts: 1,206
Registered: ‎02-19-2012
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Re: New Program for those with BK: Chase Freedom approval


Revelate wrote:

psychoinhell wrote:

I thought this was a private program just for JPM, since they lost $2B+ recently


 

 

Ignore the $2B loss, it doesn't even rate when it comes to whether they decide to enter the subprime market.  They're in the business of making money, and will evaluate that on future performance, not on prior losses.

.

 

Right think about it. They are in the business of making money.  When the fed cracked down on what they could charge business for debit and charge purchases they started coming up with new fees to recoup the loss. Dont really be naive and think they wont find a way to get that 2 billion back. The buck didnt stop with Jamie it stops with us the consumer. Just sayin':smileyfrustrated:

 


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Revelate
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Re: New Program for those with BK: Chase Freedom approval


annielorie wrote:

Revelate wrote:

psychoinhell wrote:

I thought this was a private program just for JPM, since they lost $2B+ recently


 

 

Ignore the $2B loss, it doesn't even rate when it comes to whether they decide to enter the subprime market.  They're in the business of making money, and will evaluate that on future performance, not on prior losses.

.

 

Right think about it. They are in the business of making money.  When the fed cracked down on what they could charge business for debit and charge purchases they started coming up with new fees to recoup the loss. Dont really be naive and think they wont find a way to get that 2 billion back. The buck didnt stop with Jamie it stops with us the consumer. Just sayin':smileyfrustrated:

 


It's not naive, it's the way financial institutions operate.  Whatever their current portfolio is, they will make changes in order to maximize profit in the future.  The past is the past, and other than reporting to shareholders, it's done and the future awaits.  Plain and simple, and it works from everything from subprime lenders, to national banks, to Wall Street in that regard.  With the exception of potentially a few heads rolling over said 2B loss in Chase's example.

 

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bribro
Posts: 1,367
Registered: ‎04-20-2012
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Re: New Program for those with BK: Chase Freedom approval

That $2B loss in the JPM CIO will have little to no effect on their credit card business; they are entirely seperate business lines. To put things into perspective, that $2B loss represents less than 0.1% of JPMC's total assets. As a company, they will still turn a profit this *quarter*, even with that $2B trading loss.

 

"JPM and Chase are one and the same AFAIK, regardless of what it says on their branches.  Chase has wide-spread brand recognition, JPM really doesn't nationwide except for financial types."

 

They are all part of the same company: J.P. Morgan Chase & Co. Most people are more familiar with Chase because it is the brand used for their retail and credit card operations. The JPM brand is used for investment management, commerical banking, private banking, investment banking, etc.

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sjt
Posts: 721
Registered: ‎05-05-2010
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Re: New Program for those with BK: Chase Freedom approval

I called a Chase Personal Banker, Chase Card Department, and tweeted Chase and asked them about a rebuilder program and the guarantee approval program. None of the people I spoke with did not know anything about these programs.

 

 

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Revelate
Posts: 9,648
Registered: ‎12-30-2011
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Re: New Program for those with BK: Chase Freedom approval

[ Edited ]

sjt wrote:

I called a Chase Personal Banker, Chase Card Department, and tweeted Chase and asked them about a rebuilder program and the guarantee approval program. None of the people I spoke with did not know anything about these programs.

 

 



Unless you talked to someone in the underwriting department, many of them know about as much as we do.

 

Either there's something changing, or people are having fun with us: there was someone in a thread here in this forum who was approved for a Freedom on recon when they sent him what was supposedly an EQ FICO of 597.  Sub 600, for a Freedom, seriously?

 

It may be that it wasn't a FICO and was instead some internal model or other scoring system on a different scale; however, even from here the Beacon 5.0 score was around a 635... which is still under Freedom's traditional entry-level prime approvals based on anecdotal evidence.

 

 

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sjt
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Re: New Program for those with BK: Chase Freedom approval


Revelate wrote:

sjt wrote:

I called a Chase Personal Banker, Chase Card Department, and tweeted Chase and asked them about a rebuilder program and the guarantee approval program. None of the people I spoke with did not know anything about these programs.

 

 



Unless you talked to someone in the underwriting department, many of them know about as much as we do.

 

Either there's something changing, or people are having fun with us: there was someone in a thread here in this forum who was approved for a Freedom on recon when they sent him what was supposedly an EQ FICO of 597.  Sub 600, for a Freedom, seriously?

 

It may be that it wasn't a FICO and was instead some internal model or other scoring system on a different scale; however, even from here the Beacon 5.0 score was around a 635... which is still under Freedom's traditional entry-level prime approvals based on anecdotal evidence.

 

 


I just called the recon department and they didnt know anything about the program. It could be in the pilot stages and not ready to give out any information out yet.

 

 


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