10-11-2012 05:31 AM
In the past week, I have gotten 3 preapprovals in the mail. Two of them are from cards that I already have (bofa, discover) and then the most recent is from Bank of Omaha for an Amex. I don't know why I got 2 from accounts that are already open. As far as the Amex one, it of course is written saying your not applying but accepting the card. I filled out the online form with the codes that was in the letter and got a pending status. I am not really out to get anything else but I figured since everyone on here loves amex so much, that it would look good on my credit if I got one. Now after I filled out the information, I read on here that Bank of Omaha is very conservative which leads me to believe they will not like my new accounts/inquiries. So I am not holding my breath that I will be approved for it......I think amex is outta my league at this time.
So as far as preapprovals go....I know they are not a guarantee but how does that work? They soft your credit on their own and then send you an offer and if you bite, they really check you out? I mean why would they send out the letters to people who could not actually get the card? Is it just a sales pitch of some sort like car dealerships sending you ads?
10-11-2012 10:31 AM
1. The card you applied for is issued by FNBO, not Amex. So while it uses the Amex network, it isn't issued by Amex and therefore doesn't have the backdating, return policy, 3x CLI, soft pulls for further cards, etc. that are ONLY associated with cards actually issued by Amex.
2. FNBO manually reviews all applications, so don't assume that you have been declined.
3. There was a wave of threads about FNBO preapprovals about a month ago and at that time, no member reported getting rejected after receiving such a letter. The main issue is that they can only see your credit report when they extend the offer. So if something bad popped on your report since they softed you, or you are unemployed, or your income has changed substantially recently, or you have a ton of new cards reporting in the last month, you might get rejected. But if you have a decent income, a good work history and nothing major has happened to your report in the last 60 days or so, you should be ok.
4. Every lender means something different by "preapproval". Some are based on a bulk list they bought from Experian and mean nothing. Some are "invitation to apply", which also means nothing. But there are people who report getting rejected for Citi cards, then reapplying after getting an offer letter and getting approved. Amex is pretty good about approvals for the cards they list as preapproved on their site, etc.