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Strategic Change of Plans. Ideas Welcome

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CreditMagic7
Mega Contributor

Strategic Change of Plans. Ideas Welcome

OK, so CM7 has been grounded in the garden since the first of the year roughly since late JAN.

 

FICO 8 newest card penalty has just returned back the 8 points assessed from the last approval.

 

During this neutral stage of no new accounts or even HP CLI's i have summarily closed so far (2) cards. One being the Amazon Store Card ($10K) and this week notified in writing to cancel both my membership with NASA FCU and their Platinum Card also ($10K). Had issues with NASA so am thrilled to be rid of that bunch for good, plus no need to carry a load of CU's IMO since Alliant CU-NFCU-Heritage FCU are sufficient enough for me at this point.

 

Well then so, with this first round of drops done, the next plan is to move the Citicard Aadvantage line over to DC and close THAT account (end the AF) "OR" better yet IMO, apply for the CDP card which i used to have before PC'd it to the DC, and move the Aadvantage line over to the New CDP Card.

 

Reason for that is Citi is not known for too large a SL even with good scores from their double-pulls, or at least that's been some of the trend on combing thru recent approval posts lately for that particular card.

 

For a few many weeks now the Citi Prequalify page has had the Preapproval [BOX] for the TYPreferred-Simplicity-and the CDP which is my preference with a nice low 13% APR.

 

Tonight as i am planning ahead while checking up that the Citi preapproved offers are still available, i noticed that now they inflated the SET RATE APR up substancially higher to new rate of 18%. What the crap?

 

No way now that i will accept acquiring that card since they seen fit to move the APR Rate up that much and so soon at that, so for the time being the original plan will have to be the most sensible one to take. Close Aadvantage and move that line to DC Card.

 

It's funny. These card companies roll out those good offers at the time of their own choosing and when their timing doesn't fit into your own plans and you decide to wait (for whatever reason) you might discover that they draw them back entirely (like Chase did on me) or like Citicards, they up the APR Rate to see if you'll still bite.

 

These bank's marketing strategy have their own timetables but sometimes i feel like it's in your own best interest not to break your own cycle or timetable in spite of the fact that you missed out on best terms when they came up.

 

For me it's also all about keeping tight to FICO's rules and not jumping the gun (in spite of missing out maybe) only to incur additional scoring hits before the previous one's have had the time for those penalty points to phase out and recover first. For my current profile it was 90 days.

 

Does this make any sense to anyone?

 

Any new account now does have the room to absorb the hits and that's why i stayed in the garden this long but it looks like some strategic planning will have to be backburnered at least where Chase & Citicards are concerned.

 

I do plan to come out of the garden next month for sure but since this happened the options now look somewhat limited to which account might suit best to fill a spot reserved to add a new card or two with a better long term one with reasonable APR then the one's closed now.

 

Sorry for the long post but just trying to get a feel for the lay of the land of what might be worthwhile.

 

No Amex, and no more BofA at this time so those are not valid suggestions in case they may be mentioned.

 

Any Ideas?

Message 1 of 10
9 REPLIES 9
sarge12
Senior Contributor

Re: Strategic Change of Plans. Ideas Welcome

CM7...good luck in whatever you are trying to accomplish...even though I can really offer little advice, and we have very different goals. I never even care whatsoever about the APR on any card, since I have PIF every month since 2010, I care only about rewards and SUB. The only card I cared about APR is the 1 I let my sister use and pay as AU, and it is 6.99% with Xmas time promotions at 5.99%. I tried to follow your card strategy, but found it complicated, so I will not be able to offer advice. The only advice I have on low APR cards is that my 2 lowest cards are both from local credit unions and are the already mentioned 6.99% and another at 8.99% which pays 1% cash back rewards, both at regional local credit unions tied to where my sister works and where I was working. Once more...good luck!

TU fico08=812 07/16/23
EX fico08=809 07/16/23
EQ fico09=812 07/16/23
EX fico09=821 07/16/23
EQ fico bankcard08=832 07/16/23
TU Fico Bankcard 08=840 07/16/23
EQ NG1 fico=802 04/17/21
EQ Resilience index score=58 03/09/21
Unknown score from EX=784 used by Cap1 07/10/20
Message 2 of 10
CreditMagic7
Mega Contributor

Re: Strategic Change of Plans. Ideas Welcome


@sarge12 wrote:

CM7...good luck in whatever you are trying to accomplish...even though I can really offer little advice, and we have very different goals. I never even care whatsoever about the APR on any card, since I have PIF every month since 2010, I care only about rewards and SUB. The only card I cared about APR is the 1 I let my sister use and pay as AU, and it is 6.99% with Xmas time promotions at 5.99%. I tried to follow your card strategy, but found it complicated, so I will not be able to offer advice. The only advice I have on low APR cards is that my 2 lowest cards are both from local credit unions and are the already mentioned 6.99% and another at 8.99% which pays 1% cash back rewards, both at regional local credit unions tied to where my sister works and where I was working. Once more...good luck!


Well thanks for that anyhow.

 

APR lower rate cards are paramount in as much that in event of unexpected or unforeseen circumstances they can be of some importance.

 

Ever since i began building a profile i always separate certain cards apart for PIF routine and the other half roll balances within set stages of 30-60-90 days etc which has been a great success for me. No need to change that ever,

 

I stopped chasing the Rewards monkey and/or sign-on bonuses except on very rare occasions which fits more to my simplistic necessities than before. Moreover i just haven't the time in my busy schedule these days to play that merry-go-round anymore anyway.

 

For sure though my profile/scores have finally reached a vital point for me where high APR cards are no longer acceptable and if that would mean pruning Primes exhibiting those, in spite of if they are PIF cards or not then it might become a future choice of only going all CU's before all is said and done.

 

Just saying because everyone has their own expectations and low apr happens to be one of mine Smiley Happy

Message 3 of 10
kdm31091
Super Contributor

Re: Strategic Change of Plans. Ideas Welcome

Do you have a need for the Diamond card? As you know, it's a basic card with no real perks unless you need financing. If you need to finance something, your plan makes sense. If not, I would be hesitant to waste HPs applying and moving limits for a card with little value.

 

You don't have to add an account just for the sake of it or because a certain amount of time has passed. Maybe there just isn't a need right now? A low APR card can be valuable to have, but you can always pursue APR reductions on existing accounts first.

Message 4 of 10
CreditMagic7
Mega Contributor

Re: Strategic Change of Plans. Ideas Welcome


@kdm31091 wrote:

Do you have a need for the Diamond card? As you know, it's a basic card with no real perks unless you need financing. If you need to finance something, your plan makes sense. If not, I would be hesitant to waste HPs applying and moving limits for a card with little value.

 

You don't have to add an account just for the sake of it or because a certain amount of time has passed. Maybe there just isn't a need right now? A low APR card can be valuable to have, but you can always pursue APR reductions on existing accounts first.


No particular need for the CDP per say, BUT since i barely got any use of the Aadvantage Card as originally intended i see no sense in holding this particular AF flight card any longer and will be moving the line over to the DC.

 

Not really interested in babysitting another card that takes Eons to reduce the APR. Have made good progress with the DC card reductions though but that effort did take a few years. It started very high when scores were low and file was paper thin.

 

The CDP Card is off the table anyway now (i think) unless when i check again before doing a line redistribution the lower APR shows up again.

 

It DOES occasionally have and maybe somewhat often (it's been posted about) have really good targeted offers or "perks" on occasion according to a few people who have that card and are receiving them. Aside from that, being a Citicard of this type hardly could be looked at as a financing account. Well, unless someone needed a 21 month BT.

 

Nevertheless, i find it odd that they raised the APR Rate much higher than the 13% which had been showing on the preapprovals the last few times i checked until last night.

 

 

Message 5 of 10
odd_dog
Valued Contributor

Re: Strategic Change of Plans. Ideas Welcome

I too pay in full EXCEPT when I can't ...LOL  I do have Blispay for that and have had wonderful success with it. I do pay the balance within the six months and it works out great for me....other than that I have no other advice because I chase points/miles/cash back and rarely carry any balances.....good luck in whatever you finally decide.....

Message 6 of 10
CreditMagic7
Mega Contributor

Re: Strategic Change of Plans. Ideas Welcome


@odd_dog wrote:

I too pay in full EXCEPT when I can't ...LOL  I do have Blispay for that and have had wonderful success with it. I do pay the balance within the six months and it works out great for me....other than that I have no other advice because I chase points/miles/cash back and rarely carry any balances.....good luck in whatever you finally decide.....


Well the overall schedule which i personally have laid out for this credit profile and ending hopefully by 2018 is only now beginning to just gear up and goes something like this.

 

Am aggressively engaging in a shake-up and shake-out process.

 

(2) cards are already purged and more are upcoming and slated for a similar departure in order to smartly and decisively scale back from the current overall card accounts of 31 total; of which only 4 are of the pure store cards type left.

 

kdm may be glad to learn of that. Smiley Wink

 

No offense but when offering his suggestions awhile back when it was apparant that my card acquiring efforts often appeared as a loose cannon, i must say he did step up and step in with a good deal of encouragement (at least it was intended as such i think) often refused. But that was then.

 

Depending on how the Citicard transfer of lines goes, the idea is to keep & maintain the highest lines with the Lowest APR Rates and also to eliminate current AF Cards to bare minimum, such as retaining Diner's Club Combo for example and perhaps one more (maybe?), in order to reduce the total to first 25 then 20 from the current 31 by 2018.

 

Although every card continues to see regular usage and have their own respective benefits to a degree while in rotation, there comes a point where you begin to find that you can still benefit from certain rewards Freedom/Discover/BofA etc. but overlap begins to surface.

 

Simply put, the intent is to address the overlap issue and scale back others that carry high APR.

 

 

 

 

Message 7 of 10
odd_dog
Valued Contributor

Re: Strategic Change of Plans. Ideas Welcome

OK so basically no NEW cards/banks just shifting from existing cards to new cards by PC with lower APR, and closing overlapping stuff? Got it....I am trimming down myself, 4 gone in the last week....Still have more to go....LOL  Love that you are thinning the herd, I find it does get crazy after awhile and just figuring out what must stay to give me status or better boarding on airlines is mindboggling!!  

Message 8 of 10
CreditMagic7
Mega Contributor

Re: Strategic Change of Plans. Ideas Welcome


@odd_dog wrote:

OK so basically no NEW cards/banks just shifting from existing cards to new cards by PC with lower APR, and closing overlapping stuff? Got it....I am trimming down myself, 4 gone in the last week....Still have more to go....LOL  Love that you are thinning the herd, I find it does get crazy after awhile and just figuring out what must stay to give me status or better boarding on airlines is mindboggling!!  


I been steadfast so far in as much as CLI's be they SP or of the HP variety have kept limits going up which in and of itself helps make cutting back much simpler and likely favored just as much by those lenders who are being generous to that end.

 

Yeah it gets a little much to share the usage around that amount even though i've easily managed all those very well and probably could do the same if even more but really is not necessary anymore.

Message 9 of 10
odd_dog
Valued Contributor

Re: Strategic Change of Plans. Ideas Welcome


@CreditMagic7 wrote:

@odd_dog wrote:

OK so basically no NEW cards/banks just shifting from existing cards to new cards by PC with lower APR, and closing overlapping stuff? Got it....I am trimming down myself, 4 gone in the last week....Still have more to go....LOL  Love that you are thinning the herd, I find it does get crazy after awhile and just figuring out what must stay to give me status or better boarding on airlines is mindboggling!!  


I been steadfast so far in as much as CLI's be they SP or of the HP variety have kept limits going up which in and of itself helps make cutting back much simpler and likely favored just as much by those lenders who are being generous to that end.

 

Yeah it gets a little much to share the usage around that amount even though i've easily managed all those very well and probably could do the same if even more but really is not necessary anymore.

 

AMEN!!!!!

 

Message 10 of 10
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