USAA Preapproval - Should I?

[DrJim]

I haven't used CC's in years, but decided I needed some revolving credit to help my score.  So, I app'd for Orchard in August and got it with a $300 CL.  Startled, I checked out my scores, visited whogavemecredit.com and app'd with Wells Fargo (I bank with Wachovia, which was acquired by WF).  Bam! Visa with $13K CL. Made me wish I had started with them.  Not long after, I app'd with AMEX and got their Gold Card.  So, now here I am stuck with a low CL subprime card with an AF.  I had already decided ask them for an AF waiver when my time comes up and close it if not granted.  But really, why do I want the Orchard card at all?

Anyway, I was thinking I need another major bank card - reading the forums suggest 3-4.  So, do I go with the USAA?  I feel sure they'll give me higher than a stinkin' $300 CL.  I could also go with NFCU - I'm an Army Reservist with 16+ years and a tour in Iraq, so I can open an account with them.

Any ideas from you experienced credit gurus out there?

[Amnesia87]

USAA is a great bank awesome customer service, that said, the cards are just okay, you may want to look into this Penfed card:

https://www.penfed.org/productsAndRates/creditCards/RewardCards.asp?cmpid=site-128355-PlatCashReward...

5% cash back on gas, better than pretty much all gas cards.

It's pretty much the best cash rewards card you can find and it's a Millitary Credit Union.

[chasmith]

Both USAA and NFCU are great!

USAA may be inquiry averse, but also takes into account your history with them.  You might want to call and speak with someone to see if it's worth burning an INQ.

NFCU is also good, you might be OK as a new member applying for credit as well as opening an account.

Both USAA and NFCU pulled EQ for me.  It sounds like you already have 3 inquiries this year - were they all on EQ?  If you don't have an immediate urgent need for credit you may want to wait a bit to let both your inquiries and AAOA age..

Your three cards should be good for score as long as only one reports a balance each month, and no utilization above 9%.

[Smug]

Yes, they are awesome.

[score_building]

All are awesome.  I'd app in this order:

Pen Fed

USAA

NFCU

[Anonymous]

I would only app PenFed if you want to get rejected and waste an inquiry.

PenFed is extremely inquiry and new account sensitive which results in the infamous rejection for "pyramiding debt".

If you have a USAA preapproval, it's virtually a sure thing.  NFCU is also pretty good and not that sensitive to inquiries or new accounts.

[HindSight_20_20]

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@Anonymous wrote:

I would only app PenFed if you want to get rejected and waste an inquiry.

PenFed is extremely inquiry and new account sensitive which results in the infamous rejection for "pyramiding debt".

If you have a USAA preapproval, it's virtually a sure thing.  NFCU is also pretty good and not that sensitive to inquiries or new accounts.

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+1

'Spot on' !

[score_building]

If serious about Pen Fed, it's clearly never about applying when unprepared...assuming OP wants Pen Fed the whole idea is to wait until app ready w/o submitting any other app and then do USAA and NFCU sometime after securing Pen Fed acct(s) if interested in diversifying with some of the best lenders out there. 

Certainly worth repeating again, but some cursory research about Pen Fed reveals one has to be app ready (no/ low:  inq, and new accts., low uti., etc.) since it is probably the most difficult CU to get loans with:

http://ficoforums.myfico.com/t5/Credit-Cards/PenFed-Credit-Union-APP-results-and-FICO-SURVEY/m-p/476...