PenFed CC Reporting: Should I Dispute This?

Veritas · ‎04-26-2017

I very recently applied for a membership through PenFed online, which was opened right away. That night, I applied for their Promise card and was offered an instant approval of 10K SL @ 10.99 v. I called them first thing in the morning--literally hours after I had applied--and said that I wasn't satisfied with the interest rate offered and that I want to withdraw my application. The CSR said that the loan officers won't negotiate the rate and that she would cancel my application. My NextGen score was over 800.

I got an alert earlier in the week about an account change on Experian. PenFed is reporting this CC! It's showing closed with a 10K line and the comment, "closed at credit grantor's request."

My FICO 8 dropped 17 points on Experian, but still over 800. I got the TU alert today about the account, and the score dropped 9 points. Nothing yet from Equifax.

My question before I call PenFed is this: Is there any advantage whatsoever to taking the score hit now, but just leaving this account report as closed for the 10 years (but correcting the comment to read, "closed at customer's request"?

I apply for credit very sparingly (I have two CCs and a unsecured LOC, as well as open student loans reporting, and a few other older credit cards that are closed).

Thanks!

RobertEG · ‎04-26-2017

Until the account reaches an age from open date that is at least equal to your AAoA at that time, it will have negative effect on your AAoA.

If/when the age of the account becomes greater than your AAoA, it will help.

It will likely be years before it becomes helpful, and I would seek good-will deletion of the entire account at this time.

Veritas · ‎04-26-2017

@RobertEG wrote:
Until the account reaches an age from open date that is at least equal to your AAoA at that time, it will have negative effect on your AAoA.
If/when the age of the account becomes greater than your AAoA, it will help.

It will likely be years before it becomes helpful, and I would seek good-will deletion of the entire account at this time.

Thank you, Robert. My AAoA is over 10 years, so I don't think this account could ever help it. I'll give them a call and post my results.

AllCredit · ‎05-08-2017

Were you able to get it removed? I went through something similiar with a Promise card app, they said they would either need to do another hard pull to review the closed account or a I could fax over a recent report showing the account. I faxed over the report and about 2 weeks later it was removed and the following week they sent a follow up letter stating that they determined a correction needed to be made and the account would be deleted.