Credit Union vs Bank Credit Cards

[Anonymous]

I'm a newbie here and find these threads and forums great reading. I will be researching what product to purchase to give me the best service regarding my scores and reports soon.

Can anyone tell me if having a credit union CC is not as good as having a bank CC?

I am interested in maximizing my scores, and this conversation came up the other day at work. A co-worker suggested that credit unions are not scored as highly. Now I'm confused.

I currently have: Amex Gold Rewards Plus Charge Card

                          Amex Blue Cash credit card w/a CL of $1000 (Rarely Used)

                          NFCU Visa Plat w/a CL of $12,500

                          LLBean Visa w/a $500 CL (Rarely Used) 

Thanks-

[cadavis0609]

It does not matter who the credit card comes from in FICO's scoring formula. CU cards are sometimes easier to obtain and as far as customer service goes, they are second to none. They also can be more generous with CL's and interest rates. Some users in here swear by the CU. Your co-worker is misguided.

[Anonymous]

Thanks alot. NFCU is Fantastic, and it would have taken wild-horses to drag me away!

[smallfry]

I think Hauling said credit union credit cards carry slightly lower weight in scoring than major bank cards. 

[MidnightVoice]

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@smallfry wrote:
I think Hauling said credit union credit cards carry slightly lower weight in scoring than major bank cards. 

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Correct.  A very minor difference

 

Just a few points 

[haulingthescoreup]

We had a member with killer USAA cards and one other, Navy maybe, who got a FICO negative comment (not from a FAKO report) that she didn't have enough major bank cards, despite having a Visa, an MC, and an AmEx. That was from them all being CU cards, even with incredible CL's. The same would have been true if she had only had cards from a local, not a national, bank.

So it does seem that to avoid this small ding, you "need" one or two cards from the big boys. Assuming that any are left in business, that is. And assuming that it's a big enough deal to you to bother getting another card that you really don't need.

This is something that definitely needs to be addressed by the formula people.

[cadavis0609]

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@haulingthescoreup wrote:
We had a member with killer USAA cards and one other, Navy maybe, who got a FICO negative comment (not from a FAKO report) that she didn't have enough major bank cards, despite having a Visa, an MC, and an AmEx. That was from them all being CU cards, even with incredible CL's. The same would have been true if she had only had cards from a local, not a national, bank.

So it does seem that to avoid this small ding, you "need" one or two cards from the big boys. Assuming that any are left in business, that is. And assuming that it's a big enough deal to you to bother getting another card that you really don't need.

This is something that definitely needs to be addressed by the formula people.

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I stand corrected. Guess I was the one that was misguided.

[Anonymous]

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@haulingthescoreup wrote:
We had a member with killer USAA cards and one other, Navy maybe, who got a FICO negative comment (not from a FAKO report) that she didn't have enough major bank cards, despite having a Visa, an MC, and an AmEx. That was from them all being CU cards, even with incredible CL's. The same would have been true if she had only had cards from a local, not a national, bank.

So it does seem that to avoid this small ding, you "need" one or two cards from the big boys. Assuming that any are left in business, that is. And assuming that it's a big enough deal to you to bother getting another card that you really don't need.

This is something that definitely needs to be addressed by the formula people.

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OMG, you're kidding, right?  Any information on this member so I can possibly chat and find out more information?  This is why I love these forums; you learn about the existance of stupid stuff like this, and it helps us all make better decisions.  Out of all the reasearch I've done, I've never heard of such nonsense!!!

I guess I'm gonna have to go out and apply for a Discover and BoA card!  Of course, then, my score will go down from having too many...

[haulingthescoreup]

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ssstevie wrote:

OMG, you're kidding, right?  Any information on this member so I can possibly chat and find out more information?  This is why I love these forums; you learn about the existance of stupid stuff like this, and it helps us all make better decisions.  Out of all the reasearch I've done, I've never heard of such nonsense!!!

I guess I'm gonna have to go out and apply for a Discover and BoA card!  Of course, then, my score will go down from having too many...

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I can't even begin to remember --it was well over a half a year ago. I remember we all yelled at poor Barry about it, who of course has nothing to do with it.

Again, if someone has a small but perfect collection of nuthin' but CU cards, and if that person is happy with them, then I say they're fine with that. I don't think the score hit was that bad. This is one of those cases where what works for you financially should override FICO scoring vagaries. 3 of my 4-highest CL cards are CU cards (if you call USAA a CU, which it's not), and because I wanted to upgrade my credit portfolio for other reasons, I deliberately got a Chase, a Bofa, and an AmEx to balance them out.

But when it comes to who loves hauling, it's USAA and PenFed, plus BofA. The others are just sort of there.

[Anonymous]

Thanks Everyone-

I guess I'm looking for a Major Bank, Prime Only Credit Card. Exxon-Mobil offers a MasterCard that looks attractive...any comments or recommendations?