PenFed Credit Union - APP results and FICO SURVEY

[Anonymous]

I would be very skeptical of an email that claimed it was due to you posting on the forum about PenFed.  Call CS and ask them about it....when in doubt, assume it is phishing email scam.

[Anonymous]

First, I have guided my brother to establish a great credit base. This is his penfed CC application.

- What did you App for (CC, Auto...)? Visa Classic (secured)

- Approved or Declined? Pending (GUARANTOR required)

- Date of app? 04/07/08

- EQ FICO at app? 724

- # of Inquiries at app? 1

- Any Derogs at app: 0

- Oldest Account Age? 7 months

- Newest Account Age? 7 months = two new accounts if Penfed Approves. Alliant CC Approved

- AAoA at app? 7 months - Highest CL at app? 500

- EQ Utilization Percentage? 1 %

- Requested CL? 500 = deposited 250 for secured limit.

- Instant Approval, LO Review or Decline? Pending GUARANTOR - Me

- Income Verification Required? No

- Any Counter Offer from PenFed? No

- If declined, reason given? Pending

- Any comments you think helpful?

Pulled bros Equifax when My Fico & Equifax was giving free FICO score. Irecommended him to app at Penfed so he can establish a relationship, for future products. Then why not use inital inquiry for a secure cc.

Brothers total CC's, 1 BoA fully secured 500cl (7 months), 1 Citi CC fully secured 500cl (7months), Alliant CC approved (4/7/08 after Penfed) 2500 cl unsecured, A great starting base, now I am jealous.

Message Edited by jjmite on 04-09-2009 01:28 AM

[Anonymous]

I had a preapproval for their card show up online right after they pulled EQ for a car loan. I accepted the offer and they pulled TU as well. When I got the check for the car loan I cancelled the loan and sent the check back to them. I now have a paid in full car loan on my report for the next 10 years.

Many people who have no debt showing on their report get a denial reason of "pyramiding debt". In these cases it means "pyramiding credit" and you have too many new accounts. For those that think available credit isn't debt, Penfed thinks it is. 

Message Edited by hobojon on 04-09-2009 01:31 AM

[score_building]

so even though you cancelled the loan it reports as a pif loan?

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@Anonymous wrote:
I had a preapproval for their card show up online right after they pulled EQ for a car loan. I accepted the offer and they pulled TU as well. When I got the check for the car loan I cancelled the loan and sent the check back to them. I now have a paid in full car loan on my report for the next 10 years.

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[Anonymous]

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@score_building wrote:

so even though you cancelled the loan it reports as a pif loan?

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@Anonymous wrote:
I had a preapproval for their card show up online right after they pulled EQ for a car loan. I accepted the offer and they pulled TU as well. When I got the check for the car loan I cancelled the loan and sent the check back to them. I now have a paid in full car loan on my report for the next 10 years.

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 Yes, it reports as paid in full, closed, which is accurate. They gave me the loan and I paid it off. My last new car loan through NFCU 10 years ago I did the same thing although it wasn't on purpose. I got the check from them and went to the dealer with it. They had sold the vehicle I was going to buy so I returned the check and that loan was reported as paid in full, closed, and has been for 10 years. It just fell off of EQ and I expect it to fall off the other two shortly.

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Message Edited by hobojon on 04-09-2009 01:40 AM

[Anonymous]

Wow.  That's pretty interesting!

How does this affect AAofA?  I'm not sure I understand how AAofA is calculated - is it how long each OPEN account has remained active?  Or how long EVERY account remained active?

[Anonymous]

AAoA is merely the "average" age of ALL accounts reported on your CR, whether open, closed, current or derog.

When an account drops or is deleted, it is removed from the average, which is add the age of all accounts, then divide by the number of accounts.  The result is your AAoA.  The higher AAoA, the better. 

From a FICO standpoint, often when a derog is removed or falls off, it may actually hurt your FICO because the AAoA is lowered.

Message Edited by txjohn on 04-09-2009 06:05 AM

[Anonymous]

Thanks tx.  So immediately paying off a car loan will show an account with a 1 month history as long as it reports?  And it can have an impact on your AAofA for that 10 years?

[Anonymous]

1 month on the first month.  5 years from now it will be 5 years.  10 years from now it will fall off.

You probably can get this account removed if you ask the CU, stating that you did not actually cash the check, thus did not take the funds.  They may GW remove it.

[dizzier]

I don't know if you have noticed this, but when you buy your scores there is an option to received promotional emails about products you may qualify for. Is it possible that you agreed to received these emails? That might explain it.

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@Anonymous wrote:
Slightly off topic, but I had posted here at myfico on some PenFed threads when I was wondering whether to apply or not. I ended up going with Alliant instead, but before I did I got an e-mail to the account that my myfico account is registered to promoting their Visa products. Anyone else post here regarding PenFed and then get promotional e-mails? Thought it was strange, since I have an entirely different account where I recieve junk mail but this was to the e-mail I've kept fairly unknown.

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