Valued Contributor
CreditScholar
Posts: 2,300
Registered: ‎01-22-2012
Re: WHAT IS THE FICO SCORE OF 720 REALLY MEANS TO THE LENDER?

Open123 wrote:

CreditScholar wrote:

 

Open, I wanted to get your opinion on this since you brought it up. At what point do you think most lenders flag someone as a high spender, seperate from their other customers? 30k? 50k? 100k? Maybe it's done in tiers/levels? I'm just curious at what point are you seen/identified as different from the rest based on spending?

 

 


From my sense of things and dealing with different lenders, I sense that in general, $50K - $100K spend (legitimate spend) is a "sweet spot" where any issuer will start to not only covet, but offer all sorts of rewards to maintain, especially if they're in low risk spending categories, such as dining, travel, and entertainment.

 

At $20 - $50K level, I think issuers see these as "very good" customers -- I'd imagine--all things being equal--these are ones whom the huge signing bonuses are meant to attract en masse.  

 

At $100K + is where one starts to see the really "elite" cardmembers.  It seems to me Amex and Chase seem to be coveting this segment as much for bragging rights as they are for purely profit from spending.


Thanks for that, and it's along the lines of what I was thinking too.

 

I have a feeling you're a more private person than I, but would I be able to ask what your approximate annual spend is on average? Or at least which category above you might fit into? I've always been curious.

FICOs: EX: 826, EQ: 817, TU: 810
Bank of America Privileges with Travel Rewards Visa Signature - $23,200 CL
Chase Sapphire Preferred Visa Signature - $12,700 CL
Chase United MileagePlus Club World Elite MasterCard - $26,500 CL
Citibank American Airlines Executive World Elite MasterCard - $22,500 CL
J.P. Morgan Ritz Carlton Visa Signature - $23,500 CL