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Which lenders are most likely to take AA?

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Anonymous
Not applicable

Which lenders are most likely to take AA?

So I acquired 6 new cards last month with a very thin file (only ever had one card before that).

I'm happy with my new cards and I'm being very responsible with them but I'm starting to fret a bit about AA as my scores are beginning to take the AAoA and hard pull hits. Experian and Equifax down to 680 ish (but TU jumped up to 780 for no apparent reason).

Anyways, I'm worried these new accounts will spook my lenders and cause them to take AA. Are there any in particular that especially don't like multiple new accounts? I opened cards with Discover, Amex, Citi, Chase, BoA, and US Bank.
Message 1 of 7
6 REPLIES 6
elim
Senior Contributor

Re: Which lenders are most likely to take AA?

You should be OK...  I (and many here) get a quick scare or "appers remorse" after a spree. I won't do any more than 2 cards any more myself but, I have done 5 cards and an installment loan and dreaded it after.  Just remember why you did it... Building a thick, robust credit file early and being diversified in today's economy.  You definitely should chill for 6 months to a year and if they say anything just remind them that Credit Karma suggests 21 accounts for an A+. Smiley Surprised

Message 2 of 7
takeshi74
Senior Contributor

Re: Which lenders are most likely to take AA?

It's not just a matter of the creditor.  Granted, creditors have varying risk tolerance levels but it's a matter of one's credit profile as well.  Don't rely solely on creditor for likelihood of AA.  A creditor with low risk tolerance may never take AA on someone with excellent credit.  A creditor with high risk tolerance can certainly take AA on one with poor credit.

 


@Anonymous wrote:
I'm happy with my new cards and I'm being very responsible with them but I'm starting to fret a bit about AA as my scores are beginning to take the AAoA and hard pull hits.

Too late to worry about that now.  The damage is already done.  Consider such things before applying -- not after.  If you have a thin/poor profile then your profile will only support a limited amount of credit seeking activity.

 

Don't just rely on scores either.  Learn to interpret your reports and understand how credit is assessed.  As I mnetioned, if you had only 1 card then you really don't want to go out and add a bunch of new credit accounts all at once.  A few is reasonable.  The limits you qualify for can be used as an indicator of how creditors are assessing your credit.  If you see that you're getting low limits then that in itself indicates that they have concerns about your credit profile.

 

No sense in worrying over what may or may not happen.  If it happens you can work on addressing it.  Consider how risky your credit appears to creditors but don't live in constant fear of AA.

 

 


@Anonymous wrote:
Are there any in particular that especially don't like multiple new accounts? I opened cards with Discover, Amex, Citi, Chase, BoA, and US Bank.

Again, it's not just about X.  It's about one's credit profile and what is seen as too much risk to creditors.  Person A could add Y accounts with no problems.  Person B could add Y accounts (maybe even less) and run into trouble.

 


@elim wrote:

if they say anything just remind them that Credit Karma suggests 21 accounts for an A+.


Good luck with that.  CK doesn't set the underwriting criteria for creditors.  Credit Karma at best relies on correlation and not causation.  People with high scores tend to have more accounts but a high number of accounts and high scores are not mutually inclusive.  CK can be a useful tool but be very careful relying on its information.  CK, for example, bases AAoA on open accounts.  FICO, however, uses both open and closed accounts on reports.

Message 3 of 7
lg8302ch
Senior Contributor

Re: Which lenders are most likely to take AA?

As mentioned above... What is done is done.. a bit late to think about now.  In the future you will need to ask these questions before you app and consider possible consequences upfront Smiley Happy .. If you make sure to pay your bills in full and not scare the lenders with high util or minimum payments I think you should be fine.  Also now head to the garden and refrain from apping any further for at least a full year.

Message 4 of 7
Anonymous
Not applicable

Re: Which lenders are most likely to take AA?

Of the ones you listed, US Bank is the most likely to blink at new accounts and inquiries. Amex doesn't seem to mind new accounts but is pretty conservative with utilization. The others are fairly loose all around.

Message 5 of 7
Discover2016
Valued Contributor

Re: Which lenders are most likely to take AA?

I also had the same scare since I acquired a few cards back in September, but as long as you keep util down to 0-10% and garden for 6 months you should be fine.

Gardening until September 2025
Next app: Mortgage in September 2025
Message 6 of 7
CreditMagic7
Mega Contributor

Re: Which lenders are most likely to take AA?


@Discover2016 wrote:

I also had the same scare since I acquired a few cards back in September, but as long as you keep util down to 0-10% and garden for 6 months you should be fine.


+1 ^This

Sound advice.

Message 7 of 7
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