USAA Surprise!

[Underh20]

I have been a USAA member for a long, long time and three weeks ago logged on to their website to check on getting new auto insurance.  I noticed a tab called "My Offers" or something like that and clicked on it.  There were a few offers for a pre-approved personal loan, auto loan, HELOC and a USAA AmEx card.  I thought this was strange considering the current economic conditions and had no intention of applying for more credit that I really don't need, but then I thought it would be nice to have a bank-issued AmEx instead of dealing with AmEx itself ... so ...

I applied.  Instant approval for $25k.  I still can't believe it.

They pulled EQ where my FICO is about 725 and 2 inquiries over the past two years -- which I don't think is really that great.  Also, I think I have what they call a "thin file" since I only have three trade lines and each is only slightly less than 2 years old.  Since being stationed overseas for such a very long time, I hardly ever used any US credit and relied on my overseas bank issued credit cards. 

By the way, are there any advantages / disadvantages to having a bank issued AmEx over one issued directly by American Express?

Message Edited by Underh20 on 05-01-2009 03:04 AM

[jaxstraw]

Congrats !!!

There are no disadvantages to having a co-branded Amex. Especially one from USAA.

The advantages are that you don't have to put up with the real Amex companies bull. You can link that card to your USAA checking account as an overdraft also. So I guess you have a 25k overdraft protectionif you want.

Got my USAA MC the same way. Clicked on offers and it was there for 15k. Nothing about an AMEX. Pulled the trigger for the MC , was instantly approved, applied for the AMEX five minutes later and was also instantly approved for 15k.

Since then have combined the cards into one for a 29.5k limit, you can transfer CL's between cards but must leave 500 bucks on one or 500 less if you combine.

 Anyway, congrats again.

[Underh20]

Given all the hassles that people are having with AmEx, I thought a bank issued AmEx would be a bit more stable. 

Still, I am very surprised that USAA isn't acting like all the other banks and being really paranoid in extending credit.

Oh, and their rates and card agreement terms and conditions are far, far better than with Chase. 

Message Edited by Underh20 on 05-01-2009 03:45 AM

[haulingthescoreup]

Another happy USAA member!

How long have you been with them? They put huge emphasis on length of history. Certainly, I wouldn't have a fraction of the credit with them that they extended if I hadn't been with them for almost 30 years now.

Call a CSR and ask about the coverages on their AmEx. As best as I can tell, you have pretty much the identical consumer protections through this one as through a "real" AmEx.

[Underh20]

I've been a USAA member for 35 years, but never banked with them instead of just using them for auto insurance.  Now I'm thinking of opening a checking account with them, too. 

I did call their CSR and it seems that the card has the full AmEx consumer protection package.  I also noted that during the call that their CSR staff is very professional and, surprise, just really nice people.  They didn't try to sell me anything either.  I'm starting to think that I have been missing out on a real gem of a banking partner for a long, long time.

By the way, I noticed the hit on my EQ credit report immediately after approval.  How long will it usually take for USAA to start reporting the trade line, too?

[Red1Blue]

Congrats....

[haulingthescoreup]

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Underh20 wrote:

I've been a USAA member for 35 years, but never banked with them instead of just using them for auto insurance.  Now I'm thinking of opening a checking account with them, too. 

I did call their CSR and it seems that the card has the full AmEx consumer protection package.  I also noted that during the call that their CSR staff is very professional and, surprise, just really nice people.  They didn't try to sell me anything either.  I'm starting to think that I have been missing out on a real gem of a banking partner for a long, long time.

By the way, I noticed the hit on my EQ credit report immediately after approval.  How long will it usually take for USAA to start reporting the trade line, too?

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Yep, you get the ding for the inq immediately. The card should report on your first statement date, and show up somewhere between immediately (EX) and a week or so (the other two.)

You should absolutely check out their banking. They have a Deposit at Home option (you might have to be with them for a while first) that lets you scan in a check --paycheck, business, or personal --on your own scanner, and it's immediately credited to your checking or savings account. I've been with them since my 20's, and I've yet to lay eyes on one of their facilities, so this is great.

Trying to think what I have with them now:
checking
savings (token)
MMA
CD's
Roth IRA
auto insurance
HELOC
AmEx
World MC
soon to have renter's insurance
also soon to get some investment guidance with them (they're fee-only; no commissions)

They don't necessarily give high CL's to brand-new members, as does Alliant FCU, but they really grow with you over time. For anyone who is eligible, even if they're not yet in the market for credit, I'd join them and keep current. They're my long-term keeper.

They recently raised APR's across the board, but unlike others, they provided a two-month's heads up on it. I don't carry balances, so it didn't impact me, but I did like the fact that they didn't sandbag members.

Oh, and if you have homeowner's insurance, you generally get a rebate at the end of the year. (Maybe for auto, too? --but I just switched to them a few months ago.)

[Underh20]

Yes, if you have auto insurance there is also a rebate every year.

I noticed the Deposit@Home function is available if you have a credit card with them.

Definitely USAA is far better than Chase!

By the way, since I suppose my credit files are "thin," would you recommend getting a personal loan and then paying it back completely after about a month and eating the approximately 1% in interest I'll pay? Will that trade line help my scores -- which now hover around 720 with no baddies and normal credit utilization somewhere significantly south 5%?

[Anonymous]

Deposit at home requites Military membership (and their families) and asome sort of LOC

USAA is a conservative institution for loans, they started as being for officers only and although they let the enlisted in their ranks- a lot of their lending standards are still pegged to officer pay grade levels.

The "rebate" you get annually is a factor of overall how many products you use and your overall length of holding insurance product with them.

When pricing insurance with them if you are "only" looking at insurance be aware you get some discounts do to having other USAA products.

USAA haas changed their membership guidelines repeatedly over the last few years, people with military service who may have not been eligible even last year may be eligible now.

[Anonymous]

funny, I looked under the "my offers" button and found an offer for a HELOC.

except, I don't own a home.