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Member
Quizzle23
Posts: 22
Registered: ‎08-28-2012

VISA Platinum CLI Denial w/Credit Union

 

Hey Everyone,

 

So here is my story. I bought my first real card last April and my loan ($20k) is through a local credit union. I had the car 4 months and then it got totaled (not my fault) and the other driver's insurance paid my loan off. So I got another car loan ($21k), around the same time we got a credit card with the same credit union. So since last April we have made every payment on time or early on both the loan and credit card. In addition to this we have not missed any payment on any of our other tradelines (student loans(x2), Victoria secrets (paid off), express (paid off), best buy, dell, Macys (paid off), and AFW (paid off)) everything on our credit reports is green. A couple weeks back my lawyer requested a lump sum of the balance I owe (I have been paying him for years and the balance is still not down) so what did I do? I went to my credit union to get a loan for the lump sum. Now we go on a long vacation every year in Nov and that is the main reason we got the credit card in the first place. Prior to this whole thing with my lawyer we discussed getting another credit card. So I looked around and figured out the APR and no cash advance APR on our credit card was too good to pass up so we decided to keep the same card with our credit union and just ask for a CLI. I figured since they are going to pull credit for the personal loan to pay my lawyer off we should do the CLI at the same time. Long story short they approved the loan and not the credit card. This is insane to me b/c we are in a better situation financially right now then we were last year when we started everything with the credit union. Not to mention all the things we have paid off in the past year we have paid the credit union credit card off 2 times since we got it and it has not even been a year. I asked why the decline and she told me the following:

 

"The credit limit increase Decline was based on your current length of time having the Credit Card with CUR and your current limits on all other cards compared to what you are requesting. Since we did approve you for the signature loan to pay off the lawer we had to stay within our guidlines of unsecured debt we can approve each member for. The underwriters said after you have had your card over a year and we see some more payment history we can look at increasing the limit. We do appreciate your relationship with us and hope to build a stronger one. We hope that the signature loan we approve you for is helping you out and will look at a credit limit increase once you have over a year of payment history."

What the hell does that mean??? They said we can "revisit" a CLI once we have had the card for a year. Guess what the year will be Oct 4th. They said because the limits on our other cards are not around the same amount of the CLI. The lowest credit limit we have is $1500 the rest range between $2000-$3200. Can someone explain to me how this makes sense b/c I can not wrap my head around it?

 

Thanks

 

Sorry it was long


Starting Score: Aug 2012: TU 747, EX: 664, EQ: 649
Current Score: Aug 2012: TU 747, EX: 664, EQ: 649
Goal Score: ALL AT 750-800

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CUR Visa Platinum-3k, NFCU Visa Sig- 17.5k, BestBuy-1.5k
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Mega Contributor
LS2982
Posts: 15,434
Registered: ‎04-09-2011

Re: VISA Platinum CLI Denial w/Credit Union

It's pretty much exactly what they said, they want a year of perfect history with their card before granting a CLI. I would just wait it out until October and talk to them



Silver Spade Garden Club Member - Last App 12/16/13 - Looking for a clean slate NO INQ's / Diamond Inspired!
Starting Score:
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Member
Quizzle23
Posts: 22
Registered: ‎08-28-2012

Re: VISA Platinum CLI Denial w/Credit Union

Yea that is what I was thinking except for the fact that they are going to pull credit again b/c it's outside of 30 days and will not use the same report. We are thinking of just finding another card. Ideas?


Starting Score: Aug 2012: TU 747, EX: 664, EQ: 649
Current Score: Aug 2012: TU 747, EX: 664, EQ: 649
Goal Score: ALL AT 750-800

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CUR Visa Platinum-3k, NFCU Visa Sig- 17.5k, BestBuy-1.5k
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Established Contributor
bettercreditguy1
Posts: 745
Registered: ‎02-11-2012

Re: VISA Platinum CLI Denial w/Credit Union

They may see things you don't see like DTI etc. You would probably be better to sit tight, wait, and then re apply for a cli instead of an additional card.They are indirectly trying to lead you to a bigger pond if you will follow them.

Starting scores 01/02/2012 EQ 707(Fico) TU 733(Fico) EXP 735 (FAKO)
Updated scores 06/01/2014 EQ 797(Fico) TU 768(Fico) EXP 769 (Fico), EQ 849 (Next Gen 5/27/14 Penfed)


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Valued Contributor
navigatethis12
Posts: 1,886
Registered: ‎01-24-2012

Re: VISA Platinum CLI Denial w/Credit Union

Every lender how a certain amount they are comfortable lending out. Whatever amount the loan was for, in addition to the limit of the card, must be the total amount they feel safe lending out to you. Lenders also have guildines for credit limit increase requests. Some require a year at the limit, some may only require four months. If you would like the credit now, and your credit is good, I would just apply for another card. October is only a month away though so you could also wait a little bit longer and you will be fine.

Member
Quizzle23
Posts: 22
Registered: ‎08-28-2012

Re: VISA Platinum CLI Denial w/Credit Union


bettercreditguy1 wrote:

They may see things you don't see like DTI etc. You would probably be better to sit tight, wait, and then re apply for a cli instead of an additional card.They are indirectly trying to lead you to a bigger pond if you will follow them.


DTI would not be an issue as we are making at least 2k more per month then we were when we got the card last year and our debt total has gone down. I don't have an issue with the credit union as a whole but if they are going to pull our credit again and that is nonsense IMO. Also we usually only use the card out of the country and the internationl transaction fee is very low but I dont like it lol and that is my main reason of getting another card. 


Starting Score: Aug 2012: TU 747, EX: 664, EQ: 649
Current Score: Aug 2012: TU 747, EX: 664, EQ: 649
Goal Score: ALL AT 750-800

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CUR Visa Platinum-3k, NFCU Visa Sig- 17.5k, BestBuy-1.5k
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