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New Contributor
gpfirestone
Posts: 93
Registered: ‎02-20-2013

The MAGIC ANSWER to Underwriting questioning your high utilization...

OK, so full disclosure, I do have a CU of around 80% and I do pay my balances in full every month BUT...

 

I recently went on a bit of an app spree with a credit score of around 680 and was approved for everything (Amex Plum/Discover IT/CSP/Chase Ink Plus).  The initial apps all came back declined due to poor credit score from high utilizations.  I was being honest with all of the people I spoke to but explained that all of my balances were paid in full and I've never had a late which is true.  I just wait until the last possible day for payments to be due because I like to keep the cash as long as possible.  None of these companies have any way to know if what I'm saying is true for all of my accounts outside of their companies.  I did have prior accounts with Chase and Amex but not with Discover.  The underwriters didn't really question me and took it as a perfectly valid answer.

 

If you have CCs maxxed out and are trying to get new credit, try using this answer if you feel ok with it and you really need the credit.  Just tell them you spend a lot every month and pay your balances in full.

:Capital One Spark Business $45k:::Chase Sapphire Preferred $18k:::Chase Amazon Visa $3k:::American Express BC $6k:::Chase Ink Plus $15k:::American Express Business Plum:::American Express Business Platinum::Citi Diamond Preferred $14k:::REI Visa $6k::Capital One Quicksilver $15k:

FIA/BOA is the plague. AVOID THEM!
Valued Contributor
MovingForward_2012
Posts: 3,406
Registered: ‎12-19-2012

Re: The MAGIC ANSWER to Underwriting questioning your high utilization...

I said that to Chase to try to get the limit they approved me for increased. Chase said they had no way of knowing that what I said was true and declined my request. I'm glad you had great success though!
Cards: Orchard Bank ($1100) | Cap1 Cash Rewards ($2500) | Chase Freedom ($1000) | Best Buy ($2500) | Discover It ($1000) | Barclay Rewards ($2500) | Current scores: EX FAKO: 684, CK TU: 649, FICO EQ: 680, FICO TU: 698, FICO EX: 658 Happy Homeowner Since 2/6/13! :smileyhappy: Last App: 4/5/13 Gardening until July 2014
New Contributor
gpfirestone
Posts: 93
Registered: ‎02-20-2013

Re: The MAGIC ANSWER to Underwriting questioning your high utilization...

I've been told I can be very manipulative in a good way so maybe you just need to go in with the intent to manipulate the situation

:Capital One Spark Business $45k:::Chase Sapphire Preferred $18k:::Chase Amazon Visa $3k:::American Express BC $6k:::Chase Ink Plus $15k:::American Express Business Plum:::American Express Business Platinum::Citi Diamond Preferred $14k:::REI Visa $6k::Capital One Quicksilver $15k:

FIA/BOA is the plague. AVOID THEM!
Senior Contributor
youngandcreditwrthy
Posts: 6,154
Registered: ‎08-16-2012

Re: The MAGIC ANSWER to Underwriting questioning your high utilization...

Haha great job!!!!:-)
Just don't get into trouble!
Marriott PR$25k | BCE $24.5K |BankAmericard Visa $25k| Wmt Discover $12.5k | BR Visa $12.5k | Amex Delta Gold $10k | Discover IT $10k | Paypal Extras MC $15k | Amazon Store $10k|Arrival $12.7k | Smile Gen $7.25k | Dillard's $5k| West Elm $4k| Express $3.05K | Mypoints.com Visa $4.5k | Freedom Visa $1k| Amex Surpass $1k
Valued Contributor
FinStar
Posts: 5,156
Registered: ‎10-21-2012

Re: The MAGIC ANSWER to Underwriting questioning your high utilization...

While this may have definitely worked for you, it is certainly not the "magic answer".

 

I highly doubt all credit analysts/underwriters would certainly rely on just that specific answer as the basis or criteria to give anyone a welcome mat.  Some will question these factors, others will focus on other items from your file.  And, while this works in some circumstances, it will not work for all.  Manipulation can only get anyone so far.

 

While the success is commendable, it sets a bad precedent for others who learn from this forum to assume it's a magic wand.  Everyone's experience will vary.

Valued Contributor
navigatethis12
Posts: 1,881
Registered: ‎01-24-2012

Re: The MAGIC ANSWER to Underwriting questioning your high utilization...

Im sure the previous relationships you had with those lenders gave them better insight to the payments you make every month. As you can see, Discover barely gave you anything, while Chase gave you decent enough limits. I really don't believe that answer would have worked if you had not already had Chase cards.

Valued Contributor
FinStar
Posts: 5,156
Registered: ‎10-21-2012

Re: The MAGIC ANSWER to Underwriting questioning your high utilization...


navigatethis12 wrote:

Im sure the previous relationships you had with those lenders gave them better insight to the payments you make every month. As you can see, Discover barely gave you anything, while Chase gave you decent enough limits. I really don't believe that answer would have worked if you had not already had Chase cards.


+1


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