Successful USAA MC CLI and Amex Approval.

[Amnesia87]

So, I've been planning to try and get a CLI on my MC for quite a while.

Yesterday one of my inquiries fell off on EQ, and I guess my CC payment reported and it appears ACS consolidated my Student Loans so I now only have 1 student loan account instead of 3...

Anyways, today I get a myFico score alert, pull it up, and I'm shocked to see my EQ Fico has jumped from 737 all the way up to 752. I figure this is my best shot since over the next month or two, my Amexs and PSECU combo will start to report dropping my AAoA from 3 to 2.

Since I had talked to a USAA rep a few days ago who explained that USAA will use 1 inquiry for multiple things, I decided to apply online for the USAA Amex first (It's just so sexy...)

Instantly approved for 7k at 11.9% (Ranges from 8.9% to 23.9%, I was kinda shocked it was that low. The MC is at 15.9% I believe.)

(Current cards at this point on report were: USAA MC 1000, Discover More 1000, Citi Forward 1000. I recently got a Gold Preferred, a Blue Cash Preferred 2000, and PSECU 10/10, but none of those show.)

So then I call in and explain that I would really like to get CLI up to 5k so that my card would convert over to a World MC. He goes through his script, sends the request... Approved for only 1k O_o. I guess I used up most of what they were willing to offer me with the Amex.

However the agent was kind enough to inform me that USAA is able to reallocate funds between cards once the account has been open for at least 3 days, so I think I'm going to have them shift 3 or 4k over to the MC to bump the limit up to where it needs to be.

Part of me wonders if I should keep it on the Amex for the APR, but I don't plan to keep a balance, and if I do, the PSECU Visa is 9.9% Fixed.

This is my last app for quite a while. I'll probably try to see if I qualify for a CLI through the Automated System with my Discover in a few days when it's 6 month statement closes. But then it's some serious gardening for the next 6-9 months before I start looking into buying a new car (and after that I plan on waiting at least a year, though I'm a credit junkie, so who knows.)

Realistically, I don't need any more credit at all for the time being, with the CLI and the new cards, my total CL is 23300 (Though thank's to PSECU it will report as 33300, not sure if that's good or bad) , my income is like 30000.

Anyways, just thought I would share, I thought it was pretty cool that they allow you to reallocate CL, but was a bit amused at the difference in CL between the 2 cards from the same company.

[barbaralee]

Don't know if you have reallocated those funds yet but after today  USAA reps are no longer allowed to reallocate credit lines from one cc to another. Don't blame your rep for misinforming you, we were just informed. You also only got the 1k increase because your credit line was 1k. The system will not allow for it to be increased over the initial credit line. You have to ask the rep to talk to underwriting if you wanted a little higher. Usually underwriting sticks with what the program decides, though.

[Amnesia87]

Starting today? Or after today?

Can I even do it yet?

[barbaralee]

Can't do it anymore, starting today (June 17, 2011).

[Amnesia87]

awww... O well, I may still call in to try (not that I don't believe you.) but even if they don't not a huge deal... I'll get it up there eventually. I guess it will just take like another year lol. (Since I'm assuming I would have to go to 4k first before I could get it over 5.)

[MojaveMoon]

If you think it's something permissible to share, was there a reason passed along for this new rule ending reallocation ?

[barbaralee]

No one knows the whole story, unfortunately. I asked my seniors today, everyone is kind of in the dark. Probably something to do with federal stuff, it almost always is.

[Anonymous]

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@barbaralee wrote:

Don't know if you have reallocated those funds yet but after today  USAA reps are no longer allowed to reallocate credit lines from one cc to another. Don't blame your rep for misinforming you, we were just informed. You also only got the 1k increase because your credit line was 1k. The system will not allow for it to be increased over the initial credit line. You have to ask the rep to talk to underwriting if you wanted a little higher. Usually underwriting sticks with what the program decides, though.

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In a way, I'm kind of surprised they even allowed reallocations to begin with.

I know people who have multiple USAA credit cards and would reallocate limits from their higher APR cards to their lower APR cards.  That sort of shorts out the whole risk-based pricing theory. 

[Amnesia87]

I'd guess it could be related to people abusing it...

Apping for a CLI on 1 card, getting approved, then knowing USAA uses 1 inq, apping the other card, getting approved and then as soon as possible realocating as much of the balance as possible to the original card, closing the new one, and repeating.

I'm sure some have tried it...

Only reason I would consider it was to get the MC World and because it's my oldest card, and my second lowest limit, but I can wait another year or so... especially after reviewing the differences between the MC World and the Amex and seeing the Amex is the better card anyway, combine that with the low apr and it's a no brainer.

[Anonymous]

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@Amnesia87 wrote:

I'd guess it could be related to people abusing it...

Apping for a CLI on 1 card, getting approved, then knowing USAA uses 1 inq, apping the other card, getting approved and then as soon as possible realocating as much of the balance as possible to the original card, closing the new one, and repeating.

I'm sure some have tried it...

Only reason I would consider it was to get the MC World and because it's my oldest card, and my second lowest limit, but I can wait another year or so... especially after reviewing the differences between the MC World and the Amex and seeing the Amex is the better card anyway, combine that with the low apr and it's a no brainer.

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I've never had problems with AmEx, but if you are in the military and stationed overseas it would be a huge mistake to rely exclusively on AmEx.