11-27-2012 08:30 PM
So here's the situation, I currently have 4 CCs and 2 active auto loans. 3 cards are from Chase, 1 card is from discover. One of my chase cards is the chase sapphire (not preferred). It's been opened for 5 months now going on 6 months, and I got a pre-approved offer the preferred version. For this offer I can get $400 cash back for spending $2K (which I pay in full.) And BoA is $100 spending $500. I don't have a pre-approved offer for this card. To qualify for the Sapphire promotion, I would need to apply for it, and close my current one (also transferring the 5K CL to the new account.)
The BoA card will just be a new account. I know the Sapphire preferred is a $95 annual fee, but I do some minor traveling (not out of the country) so that will offset the fee from the rewards. I have a total of 3 years credit history. I know the money is definitely better with the Sapphire, but which is better for my credit? Assuming I can get approved for either.
11-27-2012 08:35 PM
There's no difference between the two in terms of your credit score. The only difference is it sounds like you are saying that the CSP offer specified you'd have to close out your current Sapphire card, and reallocate credit line, which presumably means that with the BofA card, you'd have a higher overall CL across your accounts, which in turn means that it would be easier to keep utilization low. That said, I think it's a no brainer that CSP is a better card, and the signup bonus is way better. Even if you decide you don't want to keep the card next year, you can always PC back to the regular Sapphire.
11-27-2012 08:35 PM
If it matters, the balances on all these CCs are extremely low compared to each CL. No bad marks, not lates, or anything negative on my credit either.
11-27-2012 08:35 PM - edited 11-27-2012 08:36 PM
Better for your credit-wise? Applying for BofA because you'll have more available credit. However, you also have to consider that hard pull knocking you out a few points, and potentially not getting it, will count as a loss (but not the biggest in the world). Then again, apping for Chase Sapphire regardless of the outcome will be a loss credit-wise regardless since even though you'll receive the card, you'll have no additional available credit, the regular Sapphire that gets closed out will only last 10 years on your report, and a hard pull.
11-27-2012 08:36 PM
I don't know about BofA however my next card is going the be the Sapphire preferred. Its a great deal and with that card my Freedom points are worth more. At anyrate since I don't care for anything BofA has to offer in my opinion the Sapphire Preferred is the best way to go.
11-27-2012 08:40 PM - edited 11-27-2012 08:40 PM
11-27-2012 08:42 PM
Is Sapphire to Sapphire Preferred a product change, or does it require a new app and show as a new account. A lot of times you have to app to get bonus, but sometimes there are offers to upgrade with bonus. At least I know Amex does that. I'm guessing Chase does as well.
If it's a PC rather than a new app, your credit score would be better with the CSP because your AAoA wouldn't lower. If it's a new account, then it's basically a wash between the two. We can start nitpicking about the differences between closing out the Sapphire and effect on AAoA in 10 years when it falls off of your reports, but it's not going to be much different. Perhaps a little different depending on who gives you the better credit line, but that's hard to predict.
11-27-2012 08:43 PM
I would keep my money under my mattress and pay cash for everything before I ever did business with BofA again.
11-27-2012 09:03 PM
Do you have the option of re-allocating only a portion of your Sapphire CL to the Sapphire Preferred?
The CSP is a better card than the Bankamericard by most counts, but if you get a Visa Signature Bankamericard, the difference will be less significant. Also, if you spend a lot on groceries and gas and not so much on travels and dining, the Bankamericard gives you better rewards.