PenFed Product Change!!

Anonymous · ‎01-18-2016

Just got off the phone with PenFed who just issued me on January 13th a PenFed Promise Card ($3000). I wanted to PC to a Platinum Cash Rewards Visa Card. Spoke to the CSR who in turn went to the loan officer and explained I wasn't wanting a new card, just a change. He cancelled my Promise Card, which is in the mail already, and approved a Platinum Cash Rewards Visa Card ($3000). Said to destroy the Promise Card when it arrives and the PCRC will be right behind it.

Much better card for me.

H14 · ‎01-18-2016

It sounds like they just cancelled the first account and opened a brand new one. Typically with a product change the account number stays the same, so it shouldn't matter what you do with the first card. I know with big banks you can continue using the old one until the new one arrives. Check your reports for new inquiries though to make sure.

Anonymous · ‎01-18-2016

@H14 wrote:
It sounds like they just cancelled the first account and opened a brand new one. Typically with a product change the account number stays the same, so it shouldn't matter what you do with the first card. I know with big banks you can continue using the old one until the new one arrives. Check your reports for new inquiries though to make sure.

Not sure what PenFed did. But, Discover did just as you said. I just yesterday made my Discover It Card a Chrome 2% Card. I never shop at Amazon or 99% of the 5% categories they ever have, with the exception of gas this quarter. But, Chase has the same gas 5% category this quarter so I use that. Discover said just keep using my card I have now and they'll mail me the terms changes in the mail.

The Promise Card says PROMISE right in it, so maybe that's why they sent a new card?? Not sure at all.

Anonymous · ‎01-18-2016

PENFED, as far as I know, does not change products. They closed promised and moved the credit line to cash rewards. Unfortunately, you will have promise also reported to CRAs as closed. No big deal, just a hit on AAoA and the count of new accounts go up. On the bright side, you will get better use out of the CR. I use it for gas and groceries after using up spending limit of SM.

Anonymous · ‎01-18-2016

@Anonymous wrote:
PENFED, as far as I know, does not change products. They closed promised and moved the credit line to cash rewards. Unfortunately, you will have promise also reported to CRAs as closed. No big deal, just a hit on AAoA and the count of new accounts go up. On the bright side, you will get better use out of the CR. I use it for gas and groceries after using up spending limit of SM.

PenFed does do PC's. The CSR and the Loan Officer said they do it all the time. My understanding from what the CSR said was that the loan officer "cancelled" the Promise Card, which tonight shows a $0 Available Credit, which used to show $3000, and said that they "changed" the card to a Cash Rewards, and it will show tomorrow in my account. Also, as mentioned they said the card will be sent right behind the Promise Card.

Either way, as you mention, not too big of a deal since I won't be apping for quite a while now. The history will build and things will level out. I will, though, keep an eye out and see if they closed it or not.

Thx.

Loquat · ‎01-18-2016

Nice that they moved it to a card that you'll actually benefit from.

core · ‎01-18-2016

@Loquat wrote:
Nice that they moved it to a card that you'll actually benefit from.

Indeed. Shame on Penfed for sneakily trying to send the OP a Promise card that he doesn't even want.

Anonymous · ‎01-18-2016

@core wrote:
@Loquat wrote:
Nice that they moved it to a card that you'll actually benefit from.
Indeed. Shame on Penfed for sneakily trying to send the OP a Promise card that he doesn't even want.

Indeed! That's funny.... I felt bad telling them that I wanted to change cards knowing that they approved me. I should have done my due diligence of checking out all cards. I have to say that they were completely so friendly and told me "don't worry it happens all the time", and that they would get the loan officer and get a PC done. It took her (CSR) about 1/2hr to call me back, and said the loan officer took care of it and I'd be getting the Platinum Cash Rewards Card.

This was my fault 100%, and I thanked them for understanding. What a great place to be a part of.

Laughing because you are so right!!

core · ‎01-18-2016

It's a great card for gas @ 5%; you'll like it. Other companies try to pass off 3% as gas rewards cards? C'mon. You did sign up for the money market fund or already have another qualifying product, I'm assuming. My higher cash back didn't kick in until 3 months after I had the card, then they sent me a lump sum amount to make up the difference from the previous months.

I will say it's not as good as the Fort Knox card, because the Penfed is at-the-pump only. But after all the fuss I went through to get approved by Penfed (tax returns and you name it), I sure wasn't going to sock drawer the Penfed. I cannot see being put through all that Penfed scrutiny just for a silly Promise card that gives you $nothing.

Loquat · ‎01-18-2016

I've tossed a glance at the PenFed Cash Rewards but I'm still holding out for the Sam's Club 5-3-1 MasterCard...