topic Re: What would you do? in Credit Card Approvals

What would you do?

SRT4kid93 — Sat, 31 May 2025 17:26:08 GMT

Hey everyone,

hope you are all doing well. So I need some advice, I was just approved for the blue cash preferred which has been a long time goal of mine. In my opinion it may be the single best card out there. But there are a couple cons that are hard to ignore.

1) it will put me over 5/24, I have 1 of my accounts falling off in September so I'll be back down to 3/24 then. And at that point accepting it wouldn't put me over 5/24 anymore.

2) the point loss with accepting a new account is the other issue, I don't think I want to lose anymore points right now. I'm already uncomfortable with where my scores are currently

but the reward structure, the fast growing credit limits with Amex are both hard to ignore. If I accept now, by this time next year I could have increased my credit limit by 6-9x potentially.

plus there's a chance that if I decline the offer now, I may not get approved again next time.

what would you do? I know credit is a highly personal affair, I'm just curious what you would do if you were in my position

Re: What would you do?

Vinjints — Sat, 31 May 2025 17:37:29 GMT

Scores only matter when you're applying for something new. So why are you trying to keep your scores high right now? Are you concerned about 5/24 because you're looking to get in with Chase? If it's a goal card, why not accept it, use the perks you enjoy and wait until everything rebounds?

Re: What would you do?

SRT4kid93 — Sat, 31 May 2025 17:57:03 GMT

I'm already in with chase, but a family member of mine works there and they told me being over 5/24 can also disqualify you for credit limit increases. Not just new accounts.

im worried about my score mainly because I'm looking at moving within the next year and my credit will be pulled during the process. Plus I was denied for pay over time increase with Amex cause my score was too low, and I don't want my score to start affecting credit limit increases as well.

Re: What would you do?

Varsity_Lu — Sat, 31 May 2025 18:27:09 GMT

It's a nice card, yes, especially the first year. How old is you newest account? If it's less than a year old you are already taking a score hit for that, so your score won't drop too much more by adding this. All you are really doing is pushing the drop off date of the new account penalty down the road a bit. But if you plan to get this card a few months from now you'd be foolish not accept the offer now because at least now you are overlapping the new account penalty so it would actually drop off sooner and help you out long term. The final point is that your approval will most likely be a soft pull since you already have an AmEx card. Your score might not drop at all.

Re: What would you do?

Varsity_Lu — Sat, 31 May 2025 18:28:26 GMT

I think you mean this card would put you AT 5/24, not over it. If one account aging past a year puts you at 3/24, that means you are currently 4/24, right?

Re: What would you do?

SRT4kid93 — Sat, 31 May 2025 21:49:44 GMT

Yes you are correct I'm currently at 4/24, but my understanding is 5/24 means 5 accts or more disqualifies you, once you hit 5 accounts in 24 months, you are disqualified. Is this not correct? That is how it was explained to me.

also yes I will 100% be getting this card at some point, but if I were to get the card now it would drop my average age of accts under 2 years, it would also drop my age of youngest acct from 10 months to 1 months.

2 years for average age is a big threshold one of the more significant ones I think. these 2 combined would result in a pretty significant point drop I think. Even without a hard pulls. I don't know what the penalty for dropping under 2 years average age would be. But I know I got the following score bumps for youngest acct.

10 points at 3 month

6 points at 6 months

3 points at 9 months.

Re: What would you do?

mgood — Sat, 31 May 2025 22:56:50 GMT

@SRT4kid93 wrote:
Yes you are correct I'm currently at 4/24, but my understanding is 5/24 means 5 accts or more disqualifies you, once you hit 5 accounts in 24 months, you are disqualified. Is this not correct? That is how it was explained to me.

That is correct. It doesn't seem to be the brick wall that it once was, but that is how you figure it.

Also you mentioned 5/24 being a bar to CLIs with Chase. That used to be, but I don't think it's near as big of a deal now. They probably still look at it, but it does not necessarily disqualify you if they like the rest of your profile. There are numerous reports of people (including me) getting Chase CLIs when at 5/24 or more.

Re: What would you do?

SRT4kid93 — Sun, 01 Jun 2025 00:33:48 GMT

The 5/24 issue isn't as big of a deal. Like I said, even if I got a new account today. I would drop back to 4/24 I'm august/september.

the potential point loss is more what I'm worried about cause like I said, I will be moving in the next year, and will need my credit to be as good as possible.

right now I'm a couple months away from the "no new revolvers score card" and if I were to accept this card I would go from having my youngest account at 10 months to 1 month.

so I would feel like I would be giving up all the progress I made over the past 10 months.

but in the other hand it's been my goal card for years now.

Re: What would you do?

Varsity_Lu — Sun, 01 Jun 2025 00:57:03 GMT

@SRT4kid93 wrote:
The 5/24 issue isn't as big of a deal. Like I said, even if I got a new account today. I would drop back to 4/24 I'm august/september.

the potential point loss is more what I'm worried about cause like I said, I will be moving in the next year, and will need my credit to be as good as possible.

I mean, if this is what you are going for then you should wait until after you move to get it. But it sounded like you were just going to wait a few months, like in Sept. You'd be better off getting it now rather than 2-3 months from now. But it sounds like you really should wait until after you move. You've already got two good grocery and restaurant cards. The only big thing BCP brings to the table is gas and streaming.

Re: What would you do?

creditrizz — Sun, 01 Jun 2025 05:10:42 GMT

I say put it off for a while, the pre-approval should still be available in the future as long as you keep things clean with the gold card. The net return on the BCP after the annual fee doesn't really seem that enticing to me, especially if you already get 4x membership rewards on groceries with the gold. I'd think the BCE would be a better addition to the gold since you get the 3% online spend and the same 3% fuel as the BCP. I haven't used mine much since I got the smartly 4%, but it was a pretty good card especially when you can combine the 3% with the amex offers.

Re: What would you do?

SRT4kid93 — Sun, 01 Jun 2025 06:10:51 GMT

@creditrizz

The approval is only good for 1 week. After that I would need to reapply. I barely scraped by on the approval this time, they made me link my bank account. And wheneve they do that, you are a borderline approval, and they are basing the decision off how much money you have. So all it would take is a large expense that depleted my account and my approval could go away.

my goal was to get the blue cash preferred and then cancel the gold card, I wanted to get the BCP to begin with but I wasn't approved.

when I got approved for the gold card I decided it was a really good way to get my foot in The door with Amex and prove myself, and so I figured getting the gold card first would help me get the blue card and possibly help me get a larger starting limit as well.

so my plan has always been to either product change from the gold to the blue, or get the blue and cancel the gold. I don't see the need to keep 2 Amex's with annual fees especially because the BCP covers everything the gold card does and more. Plus the fact I don't fly and I hardly ever travel so whenever cashing out points with the gold card I only get 60 cents on the dollars.

the blue card is a real cash back card so that won't be an issue.

Re: What would you do?

JSUB — Sun, 01 Jun 2025 12:43:37 GMT

Wouldn't a PC to BCP solve your problem of a score drop?

Re: What would you do?

SRT4kid93 — Sun, 01 Jun 2025 17:56:35 GMT

Yes but I have learned that is not an option. you can only product change within the same family.

so gold card can only be changed to green or plat.

blue is a cash back card not a rewards card, so different families.

Re: What would you do?

SRT4kid93 — Sun, 01 Jun 2025 18:44:38 GMT

I broke down and accepted the card.

just as I thought. I barely squeaked by the approval. This is evident by my $1000 credit limit. Which I wasn't expecting. But I know this happens to a lot of people.

Re: What would you do?

Vinjints — Sun, 01 Jun 2025 18:48:04 GMT

Nice. Now just wait 12 months and take care of your move. Do all the SP CLIs over that time and you'll be good to go.

Re: What would you do?

SRT4kid93 — Sun, 01 Jun 2025 19:01:31 GMT

What can you guys tell me about what Amex likes to see? This is my first credit card with them. I have only ever had my gold card and a business green back in 2012. Should I use all my available credit for the 90 day period? Or does it not really matter?

From what I've read. Large statement balances aren't really as important to them. They care more about your overall credit picture.

this is the opposite of what I have experienced with chase, they tend to care much more about what you do with their card specifically, and not care as much about score etc.

Re: What would you do?

JoeRockhead — Sun, 01 Jun 2025 19:17:38 GMT

Congratulations on your approval. Like most other issuers they don't care about your statement balance. Use the card, a little, or a lot... just PIF.

At 91 days ask for a 3x CLI.

Re: What would you do?

SRT4kid93 — Sun, 01 Jun 2025 19:21:41 GMT

@JoeRockhead

thanks! now i just have to pray this move doesnt hurt my score too much. its not adding much padding in the total credit limit/util department. so there wont be much to be gained there.

would you say a lot of people get the $1000 starting limit with the blue cards? i have seen so many posts on it, even people with otherwise large limits.

Re: What would you do?

FicoMike0 — Sun, 01 Jun 2025 19:24:01 GMT

Congratulations!

Ditto @JoeRockhead

That's my experience as well.

I found amex did 3X until I got to 45% reported income total exposure. That's with 1% dti, if it matters.

Re: What would you do?

Varsity_Lu — Sun, 01 Jun 2025 19:26:22 GMT

Congrats. You'll like the card for sure. AmEx's model is to make money off of swipes. Do not carry a balance and it won't even hurt to pay it to zero before the statement cuts. AmEx doesn't care. The majority of their income is from merchant fees, so swipe, swipe, swipe.