Pre-Approved Orchard mastercard, should i accept?

alex65 · ‎10-01-2009

Hi Folks,

I just recieved one offer in my mail from Orchard Bank . It is a pre-approved master card from them.

Does anyone has any idea, if i accept the offer how much credit line they offer.

Well, i am very new to US credit system, so trying not to overlook any opportunit.

Just wondering if someone having experience with Orchard card could enlighten me by giving me a general overview of this card, is this a good card, will it help me in building my credit history, will it report to all the 3 major CRAs?

I am sure, I might've found these answers in someof the threads else where, but in this every changing world i do not want to take risk deducting things from the old threads. so please dont mind me starting this new thread.

Please guide me Guru's!

Thanks much!

EQ: ~ 675

TU: ~ 670

TCHL ~ 10 months

(Total Credit History Length)

Oldest Account ~ 10 months old card loan

4 credit cards with ~ 250,500,750,1000 as CL

oldest being 5 months old, the newest being 1 week old

alex65 · ‎10-01-2009

was wondering how to edit my post.

after sending it i realized how many mistakes i've committed.

Hi Folks,

I just recieved one offer in my mail from Orchard Bank . It is a pre-approved master card from them.

Does anyone has any idea, if i accept the offer how much credit line they offer.

Well, i am very new to US credit system, so trying not to overlook any opportunit.

Just wondering if someone having experience with Orchard card could enlighten me by giving me a general overview of this card, is this a good card? will it help me in building my credit history?will it report to all the 3 major CRAs?

I am sure, I might've found these answers in someof the threads elsewhere, but in this ~~every~~ ever-changing world i do not want to take risk deducting things from the old threads. so please dont mind me starting this new thread.

Please guide me Guru's!

Thanks much!

EQ: ~ 675

TU: ~ 670

TCHL ~ 10 months

(Total Credit History Length)

Oldest Account ~ 10 months old ~~card~~ CAR loan

4 credit cards with ~ 250,500,750,1000 as CL

oldest being 5 months ~~old~~, the newest being 1 week old

TOTAL ENQUIRIES > 30

( i have stopped counting them after 30)

manyquestions · ‎10-01-2009

Orchard reports to all three.

I would guess that you would get a $300 limit.

alex65 · ‎10-01-2009

Thanks manyquestions!

Will they give CLI?

manyquestions · ‎10-01-2009

Does not grow very fast. CLI are usually $100 - $300. You might get one every six months.

Anonymous · ‎10-01-2009

Orchard is subprime. Don't get the card. It won't help you. It is not an opportunity.

You do not have BAD credit history. You just have short credit history. That's why you should definitely not get Orchard.

Here's what you should do if you want to build a good credit history as soon as possible:

You already have 4 cards. That is enough for now.

Don't get any more cards for 1 year.

Pay on time, don't carry balances, and use your cards monthly.

After 1 year since your last new card, your scores will rise significantly and you will be able to get a CC from a good major bank or CU with a much higher CL, like Alliant, NASA, Citi...

This information is from your other thread:

Credit Cards:

First Premier Bank - CL: $250 - Age: 5 months - Balance: $7 (as of today $0)

CapOne - CL: $750 - Age: 5 months - Balanc: $1(as of today $0)

Macy (Charge card) - CL: $200 - Age: 4 month- Balance:$24 (as of today $24)

DCU (secured) - CL:$500- Age Age:4 months - Balance:$0( as of today $0)

CEFCU - CL:$1000 - Age: 1 day - Balance:$53 ( charged today only, and planning to pay in a couple of days)

That's a good start.

I'd cancel your First Premier card ASAP. Their fees are horrible and they do everything they can to let you make a mistake and pay late etc.

Once you call them, make sure you confirm with them multiple times that your card has been cancelled or they might "leave it open on accident" and then charge you late fees etc. Be careful

Again, don't get any new cards in the next year. Keep using your cards monthly and PIF on time every time and you will be ready to apply for great cards in just 1 year.

Message Edited by refskuska on 10-01-2009 07:08 PM

alex65 · ‎10-01-2009

Thanks refskuska!!!

That's the best (and personalised) guidance i've got from the forum so far ( though i am myself very new here). I thank you also for considering the info from my other threads.

After reading your message I am feeling good about my score and everything, despite the fact i've applied blindly in the past and think it may be difficult for me to get a big card from a prime lender (as they may see how much i am credit shopping).

I have already decided not to apply for any cards until next 6 months, after reading your suggestions i'm promising myself ( let's see if i could keep it )

that i woudnt apply for next 12 months.

I really want a good card ($10k) min, and a score 750+ (min).

Would you please answer my two questions:

1. I've read that we should not cancel any cards, they wont help in our score, and for a newbie like me it may infact have adverse effects.

Though i am paying like $7 per month for this First Premier card i really wanted to get rid of it, but the above mentioned reasons held me.

So, should i really be closing this account ( it's my oldest).

Recently they have approved me for their platinum card with $300 CL ( i know "what" they are looking for, though i am not gonna be befooled again )

2. I have a $5000 secured loan from CEFCU (hardly 5 months old), can i close this account. will it help me with my scores? but even if it is, will it be an overall good decision? because i think it is helping me in establishing my payment history. But i can really close it if it is helpful in my goal ( tp have a $10k CC from a prime lender, and score being 750+, assuming i am otherwise ready(just promised ) to wait for at least 12months.

(If i close this $5000 account, my debt will come down to around 9k)

Thanks much for your help!

Anonymous · ‎10-01-2009

@alex65 wrote:

Thanks refskuska!!!

That's the best (and personalised) guidance i've got from the forum so far ( though i am myself very new here). I thank you also for considering the info from my other threads.
After reading your message I am feeling good about my score and everything, despite the fact i've applied blindly in the past and think it may be difficult for me to get a big card from a prime lender (as they may see how much i am credit shopping).

I have already decided not to apply for any cards until next 6 months, after reading your suggestions i'm promising myself ( let's see if i could keep it )
that i woudnt apply for next 12 months.

I really want a good card ($10k) min, and a score 750+ (min).

Would you please answer my two questions:

1. I've read that we should not cancel any cards, they wont help in our score, and for a newbie like me it may infact have adverse effects.
Though i am paying like $7 per month for this First Premier card i really wanted to get rid of it, but the above mentioned reasons held me.
    So, should i really be closing this account ( it's my oldest).
    Recently they have approved me for their platinum card with $300 CL ( i know "what" they are looking for, though i am not gonna be befooled again )

2. I have a $5000 secured loan from CEFCU (hardly 5 months old), can i close this account. will it help me with my scores? but even if it is, will it be an    overall good decision? because i think it is helping me in establishing my payment history. But i can really close it if it is helpful in my goal ( tp have a $10k CC from a prime lender, and score being 750+, assuming i am otherwise ready(just promised ) to wait for at least 12months.

   (If i close this $5000 account, my debt will come down to around 9k)

Thanks much for your help!

I would definitely not close the CEFCU account. Establishing a good payment history with a CU in this economic envrionment is a positive step. Your chances of ultimately receiving a higher limit unsecured credit card with this CU is greater than with other prime lenders. Nurture your CU relationship. I have no doubt you will be rewarded.

I'll leave the issue of closing the First Premier account to more knowledgable posters.

Anonymous · ‎10-01-2009

Be very wiry of these pre Approved cards especially from orchard bank, First Premier and there are others. Read the back and all the fees that are charges that are initially charged to the card. You will be lucky to have $50.00 on the card, you'll probably have a maybe $250.00 line of credit but with all the fees that will be charged right away and the finance charges are out ragious 21 to 29 % word of advice just be careful.

arieb44

Anonymous · ‎10-01-2009

@alex65 wrote:

Thanks refskuska!!!

That's the best (and personalised) guidance i've got from the forum so far ( though i am myself very new here). I thank you also for considering the info from my other threads.
After reading your message I am feeling good about my score and everything, despite the fact i've applied blindly in the past and think it may be difficult for me to get a big card from a prime lender (as they may see how much i am credit shopping).

I have already decided not to apply for any cards until next 6 months, after reading your suggestions i'm promising myself ( let's see if i could keep it )
that i woudnt apply for next 12 months.

I really want a good card ($10k) min, and a score 750+ (min).

Would you please answer my two questions:

1. I've read that we should not cancel any cards, they wont help in our score, and for a newbie like me it may infact have adverse effects.
Though i am paying like $7 per month for this First Premier card i really wanted to get rid of it, but the above mentioned reasons held me.
    So, should i really be closing this account ( it's my oldest).
    Recently they have approved me for their platinum card with $300 CL ( i know "what" they are looking for, though i am not gonna be befooled again )

2. I have a $5000 secured loan from CEFCU (hardly 5 months old), can i close this account. will it help me with my scores? but even if it is, will it be an    overall good decision? because i think it is helping me in establishing my payment history. But i can really close it if it is helpful in my goal ( tp have a $10k CC from a prime lender, and score being 750+, assuming i am otherwise ready(just promised ) to wait for at least 12months.

   (If i close this $5000 account, my debt will come down to around 9k)

Thanks much for your help!

1. In the other thread you said your First Premier CC is 5 months old, same as your Cap One CC.

The advice that you read, that one should not cancel credit cards, is mostly true for cards with no annual fee.

But that's not the case of First Premier - this is one of the worst of the subprime CCs with outrageous fees and they will not grow with you.

Since you have 3 other much better CCs, you will not benefit from having this CC in any way.

Having it open or closed won't make a difference in your scores as long as you keep the number of cards with reported balances and utilization low on your other cards.

Don't worry about inquiries, they won't affect your FICO score after 12 months so you will be fine.

2. I don't think it would be helpful.

Keep in mind most banks won't give you a $10k CC if your highest CL so far is $1k.

Some CU's, like Navy FCU and Alliant and others might give you $10k+ if you can prove your personal income is $50k+.