@ubermensch wrote:
I'm looking to get a mortgage and I'm really tight on the banks DTI requirements. It turns out that if you have 7 credit cards that you use and PIF each month (for the different categories and deals), it simply adds to your debt and it is not seen as the income generating enterprise that it is.
(This is coming from the 'video game' aspect that churners and younger gens may 'think' what credit is....
Credit scoring is about RISK...and 'yes' having 7 credit cards allows for the possibility of maxing out 7 credit cards and the RISK of 'my mortgage payment going into default is HIGHER than if they didn't exist, period.
Like it or not, this how an UW 'has' to think with regard to UW 'this' loan...it's the way I was taught a quarter century ago and it hasn't changed, we were taught to ask ourselves what 'if' these 7 cards had balances ....could this applicant still 'comfortably' PAY US?.....that's how the UW sees it
Not as a "income generating enterprise" that it is ( and frankly holding the position that 'it is' as if it's a FACT is exactly the dangerous type thought pattern that scares the ish out of a potential lender ...b/c it 'feels' like the debtor sees 'debt' as a 'game') An UW gonna think 'not with OUR money', kid
So, I set out on a quest over the past couple of weeks to get my "debt" down as quickly as possible so that I can get a pre-approvial as quickly as possible. During this quest I have collected some info about getting credit cards to do mid-cycle updates to the credit bureaus. I thought I would put the info I have in one thread so others can learn and contribute their knowledge.
Here is what I have for the major issuers (from best to worst):
- Chase (Sapphire Prefered) - Automatically reported $0 balance and payment a few days after paying balance
- Discover - Front line CSA can easily get this done upon requrest (this was my third time doing it)
- BoA (FIA) - Looks like possible to force update by changing account information? I have large 0% balance that I am trying to decide on. I would love to know if this works.
- Barclay - Maybe no? (from reading other threads, my Barclaycard was already sock drawered)
- CapOne - Maybe no? (from reading other threads, I don't have one)
- Citi - No dice. Tried to pay off buy charge cleared day of statement. No help from front line CRS or online messaging (will only give you a line about waiting 30 days). Second line CSR said they can only report at statement date and can send a letter. Execuitive Office said they could put in a request, and it would maybe go through soon, but they could only garantee within 30 days, and it may only update balance (and not amount due).
I do not understand why there is such a wide descrepancy between the banks on this. From automatic to impossible. It definitely makes me appreciate the flexibility that charging on my Discover/Chase cards give me. I would say their approach is reflective of the overall customer service I have experienced with these two.
(That's like asking why is their such a 'descrepancy' among how ppl raised THEIR kids
How ppl pay THEIR bills
Kiss THEIR spouse
What time of day, they cut THEIR grass
This isn't some socialist dictatorship where them goberment TELLS businesses how to run THEIR businesses.....
Why wouldn't one EXPECT each bank to be as different as every housewife on a block might be? I mean honestly, sometimes we say/think things w/o logicial regard to reality and only think of what we WANT emotionally.
What's next ...why the descrepancy in ticket prices at ballparks around the country? They are free to act differently as they are different businesses, that's why it's a gray area with regard to 'rapid rescoring' as to if it's ok to charge b/c it is NOT a vendors 'job' to report to a CB every moment any client makes a SINGLE payment 'think' that out for a moment.
No differentthan in school if you turn in 'late' work and ASK for an updated grade OUTSIDE the 'normal' grading cycle...you are asking for a FAVOR ...of the English teacher might say 'ok' but the Math teacher might say 'kick rocks' til the next grading period ( and the Math teacher isn't out of line, you shot outside the lines and missed...no big deal but there is no conspiracy and the reason for the descrepancy is choice/free will different practices...not one reason why they HAVE TO conduct busness as copy cats)
Please let me know if this was useful to you or if you have additional information that will be helpful to others! Especially if you can confirm the BoA update trick works.
Just pointing out stuff here no personal attack intended, please don't take it as one....
Just sharing with folks that
a) 7 credit cards is 6 more RISKY than 1, period.
No matter how many CC's or girlfriends you've juggled with NO PROBLEM...the 'risk' taken by just 'one more' is still a risk, no matter what....that is just a risk scoring fact.
Ppl many times overlook this one....they'll say 'yeah' got a new account w/o a HP, which is great but it's still another account and a 'new account' is still a 'potential' risk no matter HOW it was added to your CR, it's still yet another potential sink hole for a debtor to drown in.
b) Banks, like teachers and men/women are going to operate differently and there isn't a logical reason to think that they wouldn't.....there are thousands of lenders are there is more than one playbook and always will be.
