Credit Cards

[SwiftTone]

As some people have mentions, banks are more willing to issue larger CLs on a CC if they see that you already have a large CL on a single card. A lot of banks will match a CL of an existing card.

It's no secret that credit unions are more generous and lenient with CLs for people with average credit. And I'm sure big banks also know this. So when someone that has a big CL with a credit union applies for a CC with a big bank, will the big bank likely to view that CL the same as if it was issued by their competitor?

Reason I'm asking is because I was denied for a Chase Sapphire Preferred because I have "no similar" credit line(it starts at $5000 CL). Some have suggested I join a credit union because they are more generous with CL, then apply for CSP again. I'm not sure it will help because it's from a credit union.

Thanks in advance. 

[boomhower]

I say it will help.  As long as it's a revolving credit line from a reputable lender it will be fine.

[pizzadude]

I would tend to agree that it probably wouldn't matter unless the creditor was known to exclusively cater to the subprime market, like First Preemie. But they certainly don't issue CLs like that so its probably a moot point.

Creditors are just leery of being the first ones to throw out a large CL, so once somebody else does it they aren't as uneasy.

[SwiftTone]

How long should I wait to apply again after I get approved for for a large CL.

What can you guys tell me about DCU 

[pizzadude]

I'd wait at least until the new card has reported a few statement cycles with no or very low balances.

[Open123]

It'll definitely help.

Perhaps it doesn't carry as much weight as another peer "prime" bank, but it certainly will help your case.  In addition, the catch 22 is that no issuer wants to be the first to offer the large CL, especially if you start to have long list of small CL cards.

I've found the key is to just break $5k with a prime issuer.  If your goal is to have higher initial CLs, once you break $10k, then new approvals will usually offer initial CLs of at least $10K or above.

[SwiftTone]

Maybe someone can merge this thread with my other thread: http://ficoforums.myfico.com/t5/Credit-Cards/Added-as-an-AU-What-should-I-do-next/td-p/1338753

Basically I just got added as an AU on a Cap1 account with a $9500 limit. I was hoping it would boost my chance of getting a CSP. It lowered my AAoA from 3 years 11 months to 3 years 8 months. But to my understanding, AAoA is calculated in 1 year increments, so it doesn't really hurt my score.

Should I still go ahead and apply for a CC with a credit union? Or apply for the CSP again because being an AU on this account will help me get approved.

Thanks for the replies so far 

[adavis425]

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SwiftTone wrote:

As some people have mentions, banks are more willing to issue larger CLs on a CC if they see that you already have a large CL on a single card. A lot of banks will match a CL of an existing card.

It's no secret that credit unions are more generous and lenient with CLs for people with average credit. And I'm sure big banks also know this. So when someone that has a big CL with a credit union applies for a CC with a big bank, will the big bank likely to view that CL the same as if it was issued by their competitor?

Reason I'm asking is because I was denied for a Chase Sapphire Preferred because I have "no similar" credit line(it starts at $5000 CL). Some have suggested I join a credit union because they are more generous with CL, then apply for CSP again. I'm not sure it will help because it's from a credit union.

Thanks in advance. 

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I think it definitely helps. I was denied for a CSP for the same reason. I then apped for a CU card and was approved with a 5 digit CL. I then went back to CSP a month later and was approved . I don't believe that big banks see CUs as inferior at all. If anything, they may see them as big competition.

[FrugalRican]

It helps.

Sometimes the banks just want to see the CL and the positive payments on it. What "card' it is, really has a minor effect on it unless they see something like "First Premier" on it.

[SwiftTone]

Is there anything negative. about applying for a CC with a large CL at a credit union and not use it after? I'll just use it for a couple months so it shows history then apply for a CSP.

In other news, my EQ FICO went up 20 points to 729 today compared to 709 on 02/28/2012. I had 1 30 day late(01/2010) removed by Capital One and my AAoA is now 4 years exactly.