Penfed defined their Pyramiding debt response

[Anonymous]

They sent me a letter which says:

"Pyramiding debts -presently have maximum open-ended credit."

"Utilization of 0% of open ended credit lines."

"Increase utilization or reduce open ended credit"

[Anonymous]

lol too funny.. I never even got anything in the mail about my denial.. just online denial..

[score_building]

"increase uti or reduce open ended credit"

so they're instructing you to show more debt or kill some accts.?  pen fed speak, wow i'm confuzzled.

hobojon wrote:

They sent me a letter which says:

"Pyramiding debts -presently have maximum open-ended credit."

"Utilization of 0% of open ended credit lines."

"Increase utilization or reduce open ended credit"

[Anonymous]

Since the credit pull is good for 60 days (or 90 depending on which CSR you get). Maybe I should reapply every day for the next two months and lower my requested credit limit by $100.00 each time.

[haulingthescoreup]

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hobojon wrote:

They sent me a letter which says:

"Pyramiding debts -presently have maximum open-ended credit."

"Utilization of 0% of open ended credit lines."

"Increase utilization or reduce open ended credit"

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So it sounds like they're saying that in their opinion, you already have plenty of credit, and you don't need any more.

Sort of an inverted pyramid!

Interesting --before, it has meant that people had lots of open accounts, especially new accounts, but not reducing their debt.

[ocheosa]

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@Anonymous wrote:

They sent me a letter which says:

"Pyramiding debts -presently have maximum open-ended credit."

"Utilization of 0% of open ended credit lines."

"Increase utilization or reduce open ended credit"

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Thanks for posting the info...what a bunch of malarky (sp?). Pyramiding is basically a catchall reason for them to deny an application. But it does prove what some of us were saying, they view open (available) credit as a negative. Simply ridiculous! Oh well, guess thats one cash rewards card I'll never carry.

[Anonymous]

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@haulingthescoreup wrote:

Interesting --before, it has meant that people had lots of open accounts, especially new accounts, but not reducing their debt.

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As far as Penfed is concerned I don't believe it has ever meant that. Penfed has always believed available credit is future debt.

I used to think that account age was a factor. Not any longer.

[pattycake]

Wow, that "definition" doesn't make a lot of sense.  In that case, I may never apply with them.  

[Anonymous]

that cash rewards card is pretty aweosme though.. What out there is better?

[smallfry]

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@haulingthescoreup wrote:

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@Anonymous wrote:

They sent me a letter which says:

"Pyramiding debts -presently have maximum open-ended credit."

"Utilization of 0% of open ended credit lines."

"Increase utilization or reduce open ended credit"

---

So it sounds like they're saying that in their opinion, you already have plenty of credit, and you don't need any more.

Sort of an inverted pyramid!

Interesting --before, it has meant that people had lots of open accounts, especially new accounts, but not reducing their debt.

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A couple of years ago you might have been able to secure a card if you stayed under the radar for 6 months or so but now nope. I am glad I got in when I did.