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Super Contributor
longtimelurker
Posts: 8,077
Registered: ‎04-22-2013
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Re: Will establishing a relationship with a bank help my chances for a CC down the road??


mt2va wrote:

Even if it doesn't help if nothing else I found a bank that is paying significantly higher for savings accounts and has decent CD rates compared to all the other banks/credit unions I do business with.  And not I didn't expect me having a relationship for them to overlook my score/credit report.  I just wondered if maybe I was borderline and able to recon if the banking relationship would help me out in any way.  I know with other places it seems to. 


To me this is the key (I am anti-relationship!)   If you find a bank with much better interest rates on deposits, that can be quantified as a dollar figure.   Whereas "it may help me get card X to some extent" isn't so quantifiable (and in many cases neither is the benefit of getting that card).  So when you find a bank giving 0.9% on savings (e.g. Barclays) vs 0.05% some other place, for me that outweighs most other considerations.  Of course, often such banks might not have the best credit cards or sign-up bonuses, money flow has to be constrained somewhere!

 

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bribro
Posts: 1,367
Registered: ‎04-20-2012
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Re: Will establishing a relationship with a bank help my chances for a CC down the road??

It depends on the bank/issuer. With Chase, if you have >=$10k on deposit, it will definitely improve your chances of getting approved, especially if your biggest problem is a thin credit file. Ten thousand in the bank isn't going to help you overcome a bankruptcy from last year though.

TU FICO: 800 (2/1/14) | CK Score: 802 (2/1/14) | CS Score: 805 (2/1/14)

J.P. Morgan Palladium ($250k) | AmEx Platinum (NPSL) | AmEx SPG Personal/Business ($50k/$50k) | Citi Executive AAdvantage WEMC ($50k) | Citi Dividend WEMC ($50k) | Chase Sapphire Preferred VS ($50k) | Chase Ink Bold WEMC ($50k Flex) | Chase Ink Plus WEMC ($25k) | Chase Freedom VS ($25k) | Chase Freedom WMC ($25k) | Chase MileagePlus Explorer ($25k) | Chase Southwest RR Plus Business/Personal ($15k/$15k) | Barclays US Airways ($25k) | Barclays Hawaiian Airlines ($25k) | BofA Alaska Airlines ($10k) | Lexus Financial Services ($30k) | Mercedes-Benz Financial Services ($50k)
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missjae
Posts: 522
Registered: ‎07-18-2013
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Re: Will establishing a relationship with a bank help my chances for a CC down the road??

The OP's question and some of the answers made me start thinking about whether it matters.  Maybe it depends upon the institution.  I bank with a local CU, mainly because I have an auto loan with them.  However, I rarely use my checking/savings and only have sporadic, small deposits made to them.  I asked for a $5,000 CC and they approved it, despite the fact I really only owe them money and don't utilize my other accounts.

 

I mainly bank with Citibank.  Most of my money goes through them in some way or another and I have the lowest limits with them.  Someone mentioned the avg daily balance and so on.  I guess it could work for you, but it could work aganist you too.

 

You could always go into a branch and speak with a banker.  I had a friend who was renting from me, used a prepaid cell phone, and when Citi gave him a $3,000 CC, they suspended it before he activated the card and asked for certain verification information.  Since I was technically his landlord, his cell phone couldn't be verified, and all the utilities were in my name, I was able to use my banking relationship with Citi to get them to lift the restriction.  It took the help of a very nice banker, but the banking relationship really helped.

Valued Contributor
lhcole77
Posts: 1,471
Registered: ‎09-18-2012
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Re: Will establishing a relationship with a bank help my chances for a CC down the road??

[ Edited ]

missjae wrote:

You could always go into a branch and speak with a banker.
I 100% agree with this. Getting an answer directly from the source has always been beneficial in my experience.

 

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Mopar_Jones
Posts: 205
Registered: ‎06-10-2013
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Re: Will establishing a relationship with a bank help my chances for a CC down the road??

I'm one for always thinking that having a good banking relationship will help you.. but with Chase... ABSOLUTELY NOT! I had $100k sitting in my checking account alone a year ago, and they denied me over and over and over. The card in my signature is my wife's, I'm just an AU. I figured though since it's our everyday card and the only AU card I have, it deserves to go in my siggy.. haha..

 

 

But no.. Not with the big banks. They probably don't even see your balance or your history, nor is it a factor. Now with a credit union, they'll see it immediately.. how much on average you deposit.. how long you've been with them.. how much you have. If you had the crappiest score in the world, but you have $500,000 sitting in your credit share account that you've had for 10 years, one quick chat with the underwriter to take a peek at your accounts, and I bet you you'll get that card.

 

Curious as to why you don't want a credit card from a credit union anyway? Typically they're always more liberal with limits..

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bribro
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Re: Will establishing a relationship with a bank help my chances for a CC down the road??


Mopar_Jones wrote:

I'm one for always thinking that having a good banking relationship will help you.. but with Chase... ABSOLUTELY NOT! I had $100k sitting in my checking account alone a year ago, and they denied me over and over and over. The card in my signature is my wife's, I'm just an AU. I figured though since it's our everyday card and the only AU card I have, it deserves to go in my siggy.. haha..

 

 

But no.. Not with the big banks. They probably don't even see your balance or your history, nor is it a factor. Now with a credit union, they'll see it immediately.. how much on average you deposit.. how long you've been with them.. how much you have. If you had the crappiest score in the world, but you have $500,000 sitting in your credit share account that you've had for 10 years, one quick chat with the underwriter to take a peek at your accounts, and I bet you you'll get that card.

 

Curious as to why you don't want a credit card from a credit union anyway? Typically they're always more liberal with limits..


Not true. Chase definitely sees your balances, and it is a factor. You have to apply in person through a banker for them to factor this in, or you can mention it on recon after applying. Maybe they denied you "over and over and over" because you kept applying for credit cards shortly after being denied?

TU FICO: 800 (2/1/14) | CK Score: 802 (2/1/14) | CS Score: 805 (2/1/14)

J.P. Morgan Palladium ($250k) | AmEx Platinum (NPSL) | AmEx SPG Personal/Business ($50k/$50k) | Citi Executive AAdvantage WEMC ($50k) | Citi Dividend WEMC ($50k) | Chase Sapphire Preferred VS ($50k) | Chase Ink Bold WEMC ($50k Flex) | Chase Ink Plus WEMC ($25k) | Chase Freedom VS ($25k) | Chase Freedom WMC ($25k) | Chase MileagePlus Explorer ($25k) | Chase Southwest RR Plus Business/Personal ($15k/$15k) | Barclays US Airways ($25k) | Barclays Hawaiian Airlines ($25k) | BofA Alaska Airlines ($10k) | Lexus Financial Services ($30k) | Mercedes-Benz Financial Services ($50k)
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enharu
Posts: 7,132
Registered: ‎02-27-2013
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Re: Will establishing a relationship with a bank help my chances for a CC down the road??


bribro wrote:

Mopar_Jones wrote:

I'm one for always thinking that having a good banking relationship will help you.. but with Chase... ABSOLUTELY NOT! I had $100k sitting in my checking account alone a year ago, and they denied me over and over and over. The card in my signature is my wife's, I'm just an AU. I figured though since it's our everyday card and the only AU card I have, it deserves to go in my siggy.. haha..

 

 

But no.. Not with the big banks. They probably don't even see your balance or your history, nor is it a factor. Now with a credit union, they'll see it immediately.. how much on average you deposit.. how long you've been with them.. how much you have. If you had the crappiest score in the world, but you have $500,000 sitting in your credit share account that you've had for 10 years, one quick chat with the underwriter to take a peek at your accounts, and I bet you you'll get that card.

 

Curious as to why you don't want a credit card from a credit union anyway? Typically they're always more liberal with limits..


Not true. Chase definitely sees your balances, and it is a factor. You have to apply in person through a banker for them to factor this in, or you can mention it on recon after applying. Maybe they denied you "over and over and over" because you kept applying for credit cards shortly after being denied?


+1 to what bibro said.

Mopar_jones, what were the reasons for denial that Chase listed?

For example, If they denied you because of too many inquiries........chances are you will be denied again if you continue racking up inquiries........

JPMorgan Palladium (100k), AmEx Platinum (NPSL), AmEx SPG (46k), AmEx BCP (42k), Chase Sapphire Preferred (47k), Citi Prestige (31k), Citi Thank You Preferred (27k), Citi Executive AAdvantage (25k), JPMorgan Ritz-Carlton (21k), Merrill+ (15k), US Bank Cash+ (22.5k), Wells Fargo (12k), Bloomingdale’s (12.4k), Chase Freedom (5k), Discover IT (5k).
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Mopar_Jones
Posts: 205
Registered: ‎06-10-2013
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Re: Will establishing a relationship with a bank help my chances for a CC down the road??

The recent decline reason was for too much available credit.. which, fine.. whatever..

 

But going back some years, while I was both a banking customer and an investment customer, the reason for denial was 'age of accounts' and 'bankruptcy'. The accounts at the time were on average a year old because it was only two years after my bankruptcy. However, at that time, I had over $100k in my checking account, and at least $220k in multiple investment accounts through JP Morgan.

 

I did go into the branch.. and I did talk to my IA.. The bankruptcy was due to a failed business. I explained that in the past two years since I declared bankruptcy, I have obviously already rebuilt my credit for the most part, and I have the cash flow which I could prove. They held a majority of my assets. 

 

I understand Chase has their lending practices.. and their guidelines.. but I'm sorry, when you have almost a million in liquid assets in their bank, and they won't give you a credit card, regardless of what your credit says, that's just ridiculous. I went down the street to my local credit union after I pulled all my money out of Chase, opened an account. Immediately they gave my a credit card with a $25k limit, preapproved me for a refi on my mortgage, (which I did), and issued me a $100k line of credit. All in the same day that Chase denied me for the third time.

 

So to each their own.. but Chase cares about that silly little number on your credit report more than anything. They don't care how many zeros are after your account balance.. which in my opinion, is absolutely stupid.. because another bank obviously will, and then you just lost all that profit potential simply because you think it's too much of a risk to extend a silly little credit card.

Senior Contributor
Open123
Posts: 4,219
Registered: ‎02-23-2011
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Re: Will establishing a relationship with a bank help my chances for a CC down the road??

What I've found is if there are major blemishes on one's CR (such as an open judgement, or recent COs), the banking and investment relationship is meaningless.  It certainly can't hurt, but as Bibro observed, it may be a difference maker for one on the fringe, not a recent BK or some other major derog.

 

Unless you have mid 7 figures.  Then, all bets are off, where all sorts of exceptions (aside from overturning the Patriot Act) may come into play.

 

 

Super Contributor
enharu
Posts: 7,132
Registered: ‎02-27-2013
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Re: Will establishing a relationship with a bank help my chances for a CC down the road??

[ Edited ]

Mopar_Jones wrote:

The recent decline reason was for too much available credit.. which, fine.. whatever..

 

But going back some years, while I was both a banking customer and an investment customer, the reason for denial was 'age of accounts' and 'bankruptcy'. The accounts at the time were on average a year old because it was only two years after my bankruptcy. However, at that time, I had over $100k in my checking account, and at least $220k in multiple investment accounts through JP Morgan.

 

I did go into the branch.. and I did talk to my IA.. The bankruptcy was due to a failed business. I explained that in the past two years since I declared bankruptcy, I have obviously already rebuilt my credit for the most part, and I have the cash flow which I could prove. They held a majority of my assets. 

 

I understand Chase has their lending practices.. and their guidelines.. but I'm sorry, when you have almost a million in liquid assets in their bank, and they won't give you a credit card, regardless of what your credit says, that's just ridiculous. I went down the street to my local credit union after I pulled all my money out of Chase, opened an account. Immediately they gave my a credit card with a $25k limit, preapproved me for a refi on my mortgage, (which I did), and issued me a $100k line of credit. All in the same day that Chase denied me for the third time.

 

So to each their own.. but Chase cares about that silly little number on your credit report more than anything. They don't care how many zeros are after your account balance.. which in my opinion, is absolutely stupid.. because another bank obviously will, and then you just lost all that profit potential simply because you think it's too much of a risk to extend a silly little credit card.


I'll type my response to both this post and the post above, rather than to revive the other dead thread. And just to clarify........I'm not trying to nitpick you nor do I have anything against you. 

 

Was Chase ever included in the BK? Iam just trying to find out about all possible reasonings behind the denial.

 

While you had a lot of liquid assets with Chase (and possibly elsewhere), it doesn't really matter to them when you have a BK on file. Even as a JPMorgan client, your banking relationship isn't going to help you (or anyone for that matter) override major derogs. It's a great achievement that you were able to rebuild in such a short period of time, and I do understand it can be frustrating to get denied for a few thousand dollars. However, *if* you were to file BK again, Chases most likely will not even have access to a single cent of your assets, since unsecured debt have the lowest priority. You could have millions in the accounts but it wouldn't matter to them in the slightest bit if they are not going recover a penny of it. It's not about what you have, but rather about what they think they can get back. I'm not trying to say (or curse) that you're going to file bankruptcy again, but statistically you're more likely than most other people.

 

Like CreditScholar said, it is unfair to compare CUs to banks. They operate differently and are just different in general. That's like complaining about how bad Whole Food is simply because Walmart is cheaper than Whole Food.

 

At the end of the day, there are other banks that value your business, and you seem to have a much better opinion of them than Chase. Not every bank is right for everyone and vice versa. You could try to work on the reasons for denial, and try get approved again in the future, or just take your business elsewhere entirely. Many other lenders do have products that rivals Chase's, so you're not exactly missing out either.

 

Sidetrack a little. From your other post you said you wanted a metal card. Why not get a custom made card, or try to get a business Centurion? From what I've read it's relatively easier to get compared to the personal version, and it sounds like your business is thriving as well.

 

JPMorgan Palladium (100k), AmEx Platinum (NPSL), AmEx SPG (46k), AmEx BCP (42k), Chase Sapphire Preferred (47k), Citi Prestige (31k), Citi Thank You Preferred (27k), Citi Executive AAdvantage (25k), JPMorgan Ritz-Carlton (21k), Merrill+ (15k), US Bank Cash+ (22.5k), Wells Fargo (12k), Bloomingdale’s (12.4k), Chase Freedom (5k), Discover IT (5k).

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