pen fed credit card app. denied with 775 tu and 746 eq

[Anonymous]

tried to get visa with 2.99 bt offer , sent proof of income no bad items on credit report ever, was told my credit

obligation was over what they consider acceptable, utl, is at 23 % on my credit cards, if this is the new

standard, we are all in for a rough ride.

[karbon86]

Without more info it's hard to tell the true reason.  Penfed is very conservative and doesn't care about your score unless it's below the cutoff. 

Do you have inquries on your report?  Do you have any recent new accounts?  Is the 23% util out of 5K available credit or 50K.  That is a huge difference if your income doesn't support the 23% util.

[score_building]

for better or worse this is not a new or uncommon thing for pen fed.  your score is probably around the median for new approved apps., so you're fine there. they use only eq.  many are denied at your score range if it is any consolation. 

in any case, sorry you didn't get in this time around.  i've read that if you can use the denial reasons as a guide you may have better luck at reapp if you still want them going forward. 

[haulingthescoreup]

If you can get your util down very, very low, and if you're willing to try again, that might be all you need.

You didn't mention, but they will also get you for recent new accounts and inquiries on Equifax. Adding new accounts and not reducing debt gets you labled as "pyramiding debt". Around here, we call it being an Egyptian.

The score alone was OK, so if you don't have a lot of new accounts, reducing the util might do the trick.

[smallfry]

You can be an Egyptian with no revolving debt.

[haulingthescoreup]

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smallfry wrote:
You can be an Egyptian with no revolving debt.

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Really? I knew they were kind of nutty that way, but what do they call it? "Pyramiding credit?" You can't be pyramiding debt if you have no debt to pyramid. * scratches head *

[Anonymous]

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@smallfry wrote:
You can be an Egyptian with no revolving debt.

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I agree. Egyptian to Penfed means pyramiding credit and/or debt. If it wasn't for their reward card, Penfed would just plain suck.

[ocheosa]

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@Anonymous wrote:

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@smallfry wrote:
You can be an Egyptian with no revolving debt.

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I agree. Egyptian to Penfed means pyramiding credit and/or debt. If it wasn't for their reward card, Penfed would just plain suck.

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I was a pyramiding credit/debt customer (maybe they should use the simpler term "too much available credit"...

applied in 4/08: good salary, DTI ratio excellent, good fico, util 4% - outcome: too many new accounts, too many inq = pyramiding credit/debt. come back in 6 mos. yeah, like I would fall for that one!

Message Edited by ocheosa on 04-27-2009 09:36 PM

[score_building]

ocheosa wrote:

applied in 4/08: good salary, DTI ratio excellent, good fico, util 4% - outcome: too many new accounts, too many inq = pyramiding credit/debt. come back in 6 mos. yeah, like I would fall for that one!

yeah HTSU - just having too many new accts, inqs even w/o significant active debt is pyramiding in 'pen fed speaks'.

Message Edited by score_building on 04-29-2009 06:36 PM

[Itsmeagain]

I've been a member of PenFed-Up for over a year.  Apped for fourth time in March.  EQ score 743, No Derogs., One acct. reporting balance.  Total CL 40,050, Utl. 13%.  Two inqs. in last year (both PenFed).  DENIED!! - "Pyramiding Credit".

Disappointed to the point I have closed my account . . . PenFed-Up will never see me again.