topic Re: Nothing But Denials in Credit Card Applications

Nothing But Denials

Sassy_Taurus — Thu, 23 Jun 2016 15:10:54 GMT

I just don't get it. It's now been two years since my bankruptcy. I closed on my 1st house in April and went on an app spree. The only one that approved me was Cap1 for their silver card $500 cl. Target, lowes, Home Depot, Barclay discover, Walmart all denied me. I guess I'll never get a decent credit card.

Re: Nothing But Denials

baller4life — Thu, 23 Jun 2016 15:20:10 GMT

That's not true. You will have great cards. But it takes time to build up to that. How long have you had your Cap One? Have you looked at joining a CU? They are a great way to rebuild after bk. What are your Fico scores?

Re: Nothing But Denials

baller4life — Thu, 23 Jun 2016 15:23:36 GMT

Here is a great guide for rebuilding after bk:

http://ficoforums.myfico.com/t5/Bankruptcy/HOW-TO-From-BK7-discharge-to-700-in-24-months-or-less/td-p/1384075

Alot of great threads in the BK section. Members dealing with your same issues and how they are overcoming them.

Re: Nothing But Denials

Sassy_Taurus — Thu, 23 Jun 2016 15:32:37 GMT

Before the mortgage app I had a cap1 secured card and a card by total card. I don't know what my current scores are(I canceled credit monitoring after I closed). When I closed the below were my scores

Reg scores
587-Equifax
591-Trans
628-Experian

Mortgage scores
615-Equifax
644-Trans
661-Experian

Re: Nothing But Denials

Sassy_Taurus — Thu, 23 Jun 2016 15:33:34 GMT

Thank you baller4life. I will go hangout over there.

Re: Nothing But Denials

Anonymous — Thu, 23 Jun 2016 15:41:04 GMT

My bk is just over 2 years since discharge. I had a family member add me onto a couple of cards right away to start my rebuild. I opened a Merrick Bank card and a Barclay Rewards card after receiving pre-approval letters. The Barclay card I was able to PC into the Arrival which I currentlly use religiously for all of my work travel. That card has grown from $1,800 to $9,800 through auto clis every 6 months. I later added a Capital One, which is now my highest limit at $10k. I recently added Discover and the Costco Citi. Through the whole process I kept my auto loan and have since traded those vehicles in and obtained new loans with better terms. I was able to get a few store cards using the shoppping cart trick which saved me some inquiries. I rarely use these, but they have decent limits which helped my utilization. The process is slow, but there is light at the end of the tunnel.

Re: Nothing But Denials

Pway — Thu, 23 Jun 2016 15:54:40 GMT

@Anonymous wrote:
My bk is just over 2 years since discharge. I had a family member add me onto a couple of cards right away to start my rebuild. I opened a Merrick Bank card and a Barclay Rewards card after receiving pre-approval letters. The Barclay card I was able to PC into the Arrival which I currentlly use religiously for all of my work travel. That card has grown from $1,800 to $9,800 through auto clis every 6 months. I later added a Capital One, which is now my highest limit at $10k. I recently added Discover and the Costco Citi. Through the whole process I kept my auto loan and have since traded those vehicles in and obtained new loans with better terms. I was able to get a few store cards using the shoppping cart trick which saved me some inquiries. I rarely use these, but they have decent limits which helped my utilization. The process is slow, but there is light at the end of the tunnel.

Intersting data point, you was approved for the Citi Costco card two years post bk.

Re: Nothing But Denials

Anonymous — Thu, 23 Jun 2016 16:11:03 GMT

I didn't include Citi in my bk. I had a Best Buy card that was included, althought it was picked up by Citi from other lenders. I did pay off this small balance not long after my bk. I wasn't expecting to be approved, however, my profile has improved significantly since my bk and I was pleasantly surprised.

Re: Nothing But Denials

Anonymous — Thu, 23 Jun 2016 17:57:31 GMT

I'm not trying to sound rude but you really don't get it? or are you frustrated and just saying that? Bankruptcy is probably the worst thing you can do credit wise. You have to look at from the lenders perspective. I doubt you would be jumping up and down looking to loan out money to people with bankruptcies and the lenders aren't real comfortable with doing that either. A bankruptcy is a serious issue and it will take time for the impact of it to go away. 2 years isn't a long time at all. Just hang in there, pay everything on time, NEVER let anything be late, and be patient. This will all get better but it will take time. Get secured cards if you have to. This way you can have something to show later on down the line that you are responsible.

Re: Nothing But Denials

Sassy_Taurus — Thu, 23 Jun 2016 18:16:54 GMT

I'm aware of the impact that filing a bankruptcy has on a persons credit. When I say I don't get it I simply mean that I can get approved for thousands of dollars for a loan but declined for a credit card. Kind of just makes me scratch my head. But anywho I'll wait til next year this time and try again.

Re: Nothing But Denials

Pway — Thu, 23 Jun 2016 18:36:26 GMT

It takes time. I am assuming by reading that you had no credit cards prior to your bk being discharged. You was recently approved for a Capital One card and that is a good start. I understand that you are frustrated but remember that you have just started to rebuild your credit two years after your discharge. The longer you wait the tougher it is to obtain credit in terms of credit cards.

I would garden with that Capital One card and in about three months or so, those cards you was denied for could be approvals when you decide to re apply. Barclay's like to see six months of history before an approval post discharge. I have the Rewards MC from Barclays and it took me six months for an approval post dischage. Synchrony Bank took me two years to get back in with. Discover, is an odd ball, some profiles they like and others they don't. I have yet been able to get in with Discover.

* Obtaining a Mortgage and trying to obtain a credit card is two totally different underwriting criteria.

You will get a decent credit card in time. I wish you the best and good luck with your rebuilding efforts.

Re: Nothing But Denials

Anonymous — Thu, 23 Jun 2016 18:36:58 GMT

It's actually pretty simple. People tend to weigh the importance of having a roof over their head more than paying credit cards. So in the lenders eyes, as of right now you fall into the category of "will probably pay mortgage" and also fall into the category of "good chance of default on credit cards".

Re: Nothing But Denials

Anonymous — Thu, 23 Jun 2016 19:43:24 GMT

@Sassy_Taurus wrote:
I'm aware of the impact that filing a bankruptcy has on a persons credit. When I say I don't get it I simply mean that I can get approved for thousands of dollars for a loan but declined for a credit card. Kind of just makes me scratch my head. But anywho I'll wait til next year this time and try again.

A good point has been made here before that I certainly never thought about. A mortgage loan is secured by the property and the bank has something to recover funds if you default whereas credit cards lenders have nothing to sell if you don't pay.

Re: Nothing But Denials

Anonymous — Thu, 23 Jun 2016 20:08:09 GMT

@Anonymous wrote:
A good point has been made here before that I certainly never thought about. A mortgage loan is secured by the property and the bank has something to recover funds if you default whereas credit cards lenders have nothing to sell if you don't pay.

This is true, however they lose thousands on a forclosure and resale, much more than a CC company loses on a baby limit card.

Re: Nothing But Denials

Sassy_Taurus — Thu, 23 Jun 2016 20:28:48 GMT

@Pway wrote:
It takes time. I am assuming by reading that you had no credit cards prior to your bk being discharged. You was recently approved for a Capital One card and that is a good start. I understand that you are frustrated but remember that you have just started to rebuild your credit two years after your discharge. The longer you wait the tougher it is to obtain credit in terms of credit cards.

I would garden with that Capital One card and in about three months or so, those cards you was denied for could be approvals when you decide to re apply. Barclay's like to see six months of history before an approval post discharge. I have the Rewards MC from Barclays and it took me six months for an approval post dischage. Synchrony Bank took me two years to get back in with. Discover, is an odd ball, some profiles they like and others they don't. I have yet been able to get in with Discover.

* Obtaining a Mortgage and trying to obtain a credit card is two totally different underwriting criteria.

You will get a decent credit card in time. I wish you the best and good luck with your rebuilding efforts.

Right. I initally tried to get cap1 right after I discharged but they denied me. I did not try again until a year and a half later because my loan officer said that I needed at least two cards to help get my fico where it needed to be. I can wait it out and just take care of the baby cards that I have for now. Thanks!

Re: Nothing But Denials

Sassy_Taurus — Thu, 23 Jun 2016 20:33:46 GMT

Thanks everyone for your much appreciated input. I'm going to not app anymore and just wait until next year and see what happens. Hopefully my credit profile will be much stronger.

Re: Nothing But Denials

RonM21 — Thu, 23 Jun 2016 21:55:35 GMT

OP it will come around for you. The one thing about credit building is that patience is one of the most underrated factors. But it is key to getting where you want to go. If you grow what you have the correct way, and let things play out a bit naturally, you'll be surprised how things will suddenly start moving for you. Your success is coming!

Re: Nothing But Denials

Anonymous — Thu, 23 Jun 2016 22:33:57 GMT

OP, are you a member of NFCU or did you burn them in your bk? If not head over to the BK or personal finance forums and read up on how to join them as a civilian. They are great with folks after bk.

Have you been through your reports with a fine tooth comb? Make sure ALL the data is correct. You could pass through UW with incorrect dates and info - I did. I just recently pulled them and began disputing anything that was incorrect (like DOFD or closed date).

Treat that Cap1 card well for 6 months and try to get a second card from them. Your scores are really low for 2 years out, I'm guessing you might find something in your reports that is slightly off.

Re: Nothing But Denials

Anonymous — Thu, 23 Jun 2016 22:36:11 GMT

Oh and for each of those denials, go back to each bureau that declined you and get a copy of your report. That's where you find things "hidden" that the montoring sites don't display.

Re: Nothing But Denials

Sassy_Taurus — Thu, 23 Jun 2016 23:29:33 GMT

Thank you RM21...

ksb1 I have a secured and a quicksilver with cap1. The quicksilver is the credit steps one. I'll take your advice and look over my reports again. My scores are low because after I discharged I did not get any cards to rebuild until 1 1/2 years later