Recommend a course of action?

Anonymous · ‎09-22-2008

Hey there, I read these forums a lot but rarely post. Anyways, I think it's time for me to do something but not sure what is best. Here is a rough outline and what I'm considering.

Wamu: $30 balance, $3000 limit
Chase Freedom: $600 balance, $2000 limit
Chase Perfectcard: $300 balance, $1300 limit
AmEx Blue Student: $0 balance, $1600 limit
Target: $0 balance, $200 limit

EQ: 661
PFICO: Approx. 700

I expect my score to jump in a week or so due to balances paid two weeks ago, so I'll probably wait for that. My average credit history is approximately 1 year (1 account opened March last year, closed in October due to AF, 4 current cards opened in October '07, Chase Freedom 6 months old).

I'm considering opening a new account (like Discover). My concern here is shortening my average credit history.
I'm also considering going for a CLI on at least 1 card. I'm not sure which of these cards would be best to attempt this with.
Finally, I am considering converting my AmEx to the Clear card (I don't spend enough to make the Blue Cash worth it). I don't use the one I have now cause the terms suck. Also I was thinking it might be possible to get a CLI at the same time.

My main concern is lowering my UTIL and raising my score. Any suggestions?

Anonymous · ‎09-22-2008

1. Do not worry about your Amex, leave it alone. If you don't use it that much or at all, just leave it be. Your credit history is too new and will spark an FR most likely. If you are willing to gamble that $1600 limit away, go for it.

2. Ask for an increase BEFORE you apply for another card, like Discover or whatever. It could possibly raise your score and if you ask for an increase on one of them and they see that you just applied for (and got) a $3000 Discover Card or something they might see you as needing money a little too much.

3. I would ask about a CLI on the WaMu, especially if you have a bank acct. with them. Second pick would be asking on the lower limit Chase....or , call and have them combine the limits and add some to that, they seem to like you.

4. Good Luck.

Anonymous · ‎09-22-2008

Thanks, you've pretty much confirmed what I was thinking. I recently got a CLI from $2000 to $3000 on the wamu card, so I'll hold off on asking them - I heard they don't take requests for CLI's anyhow.

I don't want to combine my cards because I use the rewards separately (I make heavy use of the 3% cash back on gas purchases from the perfectcard, and I manage the 3 categories of the Freedom pretty well)

Since I use the Perfectcard/Freedom a lot, I'll probably ask for a CLI on the Perfectcard which would lower my UTIL significantly. If that doesn't work, I'll apply for a Discover or similar.

I think I'll hold off on doing anything on the AMEX due to the FR issue you brought up.

Thanks again.

Creditaddict · ‎09-22-2008

chase is going to pull your credit for a cli, so if your going to take the hit for CLI, I would call the backdoor number and have both accounts reviewed at the same time for cli.

Amex, I don't think product changing throws red flags up, carrying balance close to limit for more than 3 months throws red flags up. I would convert if you don't like what you got.