topic Re: Laid Off: Should I apply for another card in Credit Card Applications

Laid Off: Should I apply for another card

PrinceCorwin — Fri, 14 Apr 2017 13:53:12 GMT

Quick History: 6 months ago, had fako @580. Applied for and received Cap1 QS1 and CreditOne Platinum both $300 CL. Used both responsibly and CreditOne increased to $500 after 4 months. I called Cap1 after 4 1/2 months and requested CLI. They gave me another $100 (400 total). Now I'm at the 6 month threshold for the auto increase for Cap1. Nothing yet but still waiting. In that six month time, Fako went to 646 (tu and eq) and fico 702 (ex). Two weeks ago, went on a mini app spree and applied and received Amex BCE ($1000), Discover It ($2500) and Chase FU ($4500). Hard Inquiries brought scores to 646(tu), 643(eq) and 698(ex)

Now on to my question: I was laid off two days ago. Technically, I know I'm at the 5/24 rule for Chase but CK and Ex are not showing the new cards yet. I'm a welder/pipefitter, so I'm pretty sure I'll get another job... just not sure how long it may take. Unemployment benefits as well as wife's soc sec will cover rent and bills. New cards will possible be needed to cover groceries and gas until I get work. Utilization may go up, affecting scores and my take months to pay down after new job. Should I apply for another card now before the new cards show up, possibly even another chase card? What would you do in my situation? BTW, all balances right now are 0 or near 0

Re: Laid Off: Should I apply for another card

luxeprw9 — Fri, 14 Apr 2017 14:02:10 GMT

Personally I would be focused on finding another job vs applying for credit. If you are sure you would be able to find another job quickly, that should be able to alleviate any cash flow problems you may have. I would also look into finding a temp/part time job to help save for an emergency fund, in case of another job lay off.

But that's just me. Hope everything works out for you! Sorry about the lay off, I know that is tough. Hang in there!

Re: Laid Off: Should I apply for another card

MrsCHX — Fri, 14 Apr 2017 14:48:45 GMT

I'm not familiar with Chase but assuming you keep things going with on-time payments, AMEX should be 3x CLI in a couple months and I've read a lot about growth with the Discover IT (I've only had mine a month). Capital One credit steps is the 6th statement I believe, which could be longer than 6 months.

Isn't UI for 13 weeks, max? The existing $7,000 in new credit lines won't carry you for 3 months?

My only concern with a new credit app is that you would either admit to being unemployed, which would probably result in denial...or you would lie and say you're employed.

Re: Laid Off: Should I apply for another card

Anonymous — Fri, 14 Apr 2017 15:31:06 GMT

I would also say that you should concentrate on getting a new job first, do the best you can to keep up payments on what cards you have now on time and as much over minimum as you can (and try to keep any new charges to a minimum) and only when you're gainfully employed again start looking for a new card. Consider it a variety of "gardening".

Re: Laid Off: Should I apply for another card

PrinceCorwin — Fri, 14 Apr 2017 17:30:53 GMT

Thanks to all the fatherly replies about concentrating on finding a new job first but I thought this forum was about credit decisions and that's what my question was targeting. You assume too much by assuming I'm not focusing on a new job and actually sound a bit condescending. I started this thread while sitting in the HR waiting room of a Houston refinery with about 20 other guys waiting for our names to be called to review our apps. And that's less than 48 hours after I was laid off.
So if you can't focus on my question and feel the need to make snide, non credit-related comments and under the radar attacks on my character, don't bother. When it comes to my career in the fabrication /construction industry and providing for my family, I don't need your advice. I have it covered. I need you for credit advice.
For those that have or will comment on my specific question without character judgment... Thank you. People like you have been a great help to me in establishing a decent credit profile.

Re: Laid Off: Should I apply for another card

luxeprw9 — Fri, 14 Apr 2017 17:44:01 GMT

@PrinceCorwin wrote:
@quick History: 6 months ago, had fako @Anonymous. Applied for and received Cap1 QS1 and CreditOne Platinum both $300 CL. Used both responsibly and CreditOne increased to $500 after 4 months. I called Cap1 after 4 1/2 months and requested CLI. They gave me another $100 (400 total). Now I'm at the 6 month threshold for the auto increase for Cap1. Nothing yet but still waiting. In that six month time, Fako went to 646 (tu and eq) and fico 702 (ex). Two weeks ago, went on a mini app spree and applied and received Amex BCE ($1000), Discover It ($2500) and Chase FU ($4500). Hard Inquiries brought scores to 646(tu), 643(eq) and 698(ex)

Now on to my question: I was laid off two days ago. Technically, I know I'm at the 5/24 rule for Chase but CK and Ex are not showing the new cards yet. I'm a welder/pipefitter, so I'm pretty sure I'll get another job... just not sure how long it may take. Unemployment benefits as well as wife's soc sec will cover rent and bills. New cards will possible be needed to cover groceries and gas until I get work. Utilization may go up, affecting scores and my take months to pay down after new job. Should I apply for another card now before the new cards show up, possibly even another chase card? What would you do in my situation? BTW, all balances right now are 0 or near 0

So this is your idea of having things under control? Interesting........

My comment was NOT a "judgement of character" rather a bit of sane advice in a situation that appeared to me as desparate. So I will refrain from adding anymore commentary.

I wish you the best in your journey and hope that you find the answers that you need! Good luck and I hope you are able to secure employment soon!

Re: Laid Off: Should I apply for another card

Aduke1122 — Fri, 14 Apr 2017 18:40:00 GMT

Hey op sorry to hear about your job loss , ppl making comments about securing employment I'm sure are only doing so to try to offer sound advice . If it were me I would not app for nothing else right now as you don't want to put yourself in a bad situation and in debt more than you can pay . If you charge them up the more your monthly min payments will be . My fiancé is a welder also , he works for a Company called Republic and I'm certain they have lots of locations down your way if you want to check it out . He makes good money . And it's steady work , been with them for 2 years and was with their competing company for 3 years before we relocated. Good luck to you and I hope you don't take my comment as being rude of assuming , and these folks on here are a great bunch of ppl even if they tell us things we don't want to hear sometimes , it's only for the best .

Re: Laid Off: Should I apply for another card

Anonymous — Fri, 14 Apr 2017 20:32:39 GMT

Nobody is trying to be rude or make snide comments. You are asking for advice on your CS... in no situation should you ask for credit to be granted to you if you do not have the means to repay it.
If you decide to apply anywhere you will only be able to use the unemployment income (or household at max) to qualify unless you commit fraud.

I would SD all the cards except the Amex and only use that for your essentials (groceries/gas) and PIF asap. let your AAoA age and stay in the garden until you need the credit and have the income to support using it. You already have some great cards, request CLI on them as frequent as you can and be extra conscious of your spending.

Re: Laid Off: Should I apply for another card

Anonymous — Fri, 14 Apr 2017 22:23:50 GMT

@PrinceCorwin wrote:
Thanks to all the fatherly replies about concentrating on finding a new job first but I thought this forum was about credit decisions and that's what my question was targeting. You assume too much by assuming I'm not focusing on a new job and actually sound a bit condescending. I started this thread while sitting in the HR waiting room of a Houston refinery with about 20 other guys waiting for our names to be called to review our apps. And that's less than 48 hours after I was laid off.
So if you can't focus on my question and feel the need to make snide, non credit-related comments and under the radar attacks on my character, don't bother. When it comes to my career in the fabrication /construction industry and providing for my family, I don't need your advice. I have it covered. I need you for credit advice.
For those that have or will comment on my specific question without character judgment... Thank you. People like you have been a great help to me in establishing a decent credit profile.

@PrinceCorwin.

Most of the comments are aimed more towards concern about the long term health of your credit. Gainful employment affects all of our credit decisions. I'm from Texas and the last year has been a difficult time for those in the Energy sector. While your employment is in a different sector, finding employment where one is competing with numerous individuals can be challenging. It is everyone hope that you secure employment quickly, but should it not happen as planned, the last thing you want is to negatively impact your credit. One of the important considerations especially when it comes to credit cards is that if you can't pay for what you charge, then you can't afford it. I've been there as have most individuals on the forum and I have learned from my mistakes and I value the advice provided to me by others on the forum. Sometimes when we solicit opinions, we don't always get the answers we hope for. We hope for your success and celebrate your victories and commiserate when things don't go as planned.

Have a great week.

Re: Laid Off: Should I apply for another card

Meanmchine — Sat, 15 Apr 2017 01:25:48 GMT

This is just my opinion. At the end of the day, one has to provide for his family. Using credit cards for groceries can fill the gap between unemployment checks. Used sparingly it can be a benefit. HOWEVER, it never stops at groceries. The car insurance normally lapses and then u pay the electric bill / internet bill with plastic. You tell yourself that I can buy $300 worth of groceries and ill only hve to pay it back $25 / month. The thing is is that alot of us have been in the exact spot you are in, myself included. Try to get back to work as quickly as possible and use your plastic responsibly. Good luck

Re: Laid Off: Should I apply for another card

Anonymous — Sat, 15 Apr 2017 05:02:04 GMT

@PrinceCorwin wrote:
Thanks to all the fatherly replies about concentrating on finding a new job first but I thought this forum was about credit decisions and that's what my question was targeting. You assume too much by assuming I'm not focusing on a new job and actually sound a bit condescending. I started this thread while sitting in the HR waiting room of a Houston refinery with about 20 other guys waiting for our names to be called to review our apps. And that's less than 48 hours after I was laid off.
So if you can't focus on my question and feel the need to make snide, non credit-related comments and under the radar attacks on my character, don't bother. When it comes to my career in the fabrication /construction industry and providing for my family, I don't need your advice. I have it covered. I need you for credit advice.
For those that have or will comment on my specific question without character judgment... Thank you. People like you have been a great help to me in establishing a decent credit profile.

Sorry to hear about the lay off. Glad to hear that you may have a replacement job soon. My first question was going to be if this is a seasonal lay off, as my company has to lay everyone off during the winter, but we are in the system and will come back (and some work part time while collecting and reporting the work). So in that case, I'd say you can apply and say you work for the same company.

But since that is not the case, don't get any new cards. The reason why is all apps ask for your employer. Right now, the answer is unemployed. And most creditors like to see stable work (been with the same company for 2 or so years). People aren't trying to judge you, but rather help you because of this fact. I hope that things work out for the best.

I don't know your circumstances, but if you need or want extra cash, see if you can cut, or downgrade some services (cable, cell phone, internet, home phone, etc). I have helped my family by switching from AT&T to TMobile (we get better service than we had, though I expected about the same) and saving $60 per month and another $55 by bringing the cable bill down by cutting to the basic subscription Dish Network provides (my parents refused to cut it completely and just get Netflix or Hulu). And I've talked with our internet provider to get them to keep the same rate for the next year until our contract is up, saving another $50 or so. Perhaps some of these options are available to you and your family. I don't write this to judge, but to offer some practical suggestions that may be better for the long term.

Re: Laid Off: Should I apply for another card

Anonymous — Sat, 15 Apr 2017 12:10:11 GMT

What's your utilization like right now? You've got decent limits to use, no need to open new accounts in my opinion.

Re: Laid Off: Should I apply for another card

PrinceCorwin — Sat, 15 Apr 2017 13:51:31 GMT

Decision made. No apps in the near future. Definately don't want to commit fraud by saying I'm still employed. Off to the garden for a year of two.

Next Question: When I was young, it seemed that the different cards were basically defined by the APR and CL they supplied. Nowadays it seems as if each card supplies that based on each individual's creditworthyness. So when I leave the garden eventually, are there any cards that definately give high CL / Low APR to applicants with very good credit (Which I intend to have by the time I do another app). By then my current Chase FU, AMEX BCE, and Discover It should have some pretty substantial CLs. Not really sure what the next tier of cards encompasses.

Any suggestions? (BTW, not interested in travel rewards as I don't ever travel)

Re: Laid Off: Should I apply for another card

Aduke1122 — Sat, 15 Apr 2017 17:33:12 GMT

Chase Saphire Reserve , Amex Platinum, I would also recommend joining Pen Fed or Navy Fed as they are very very generous with their CL

Re: Laid Off: Should I apply for another card

Aduke1122 — Sat, 15 Apr 2017 17:33:24 GMT

Barclays Ring

Re: Laid Off: Should I apply for another card

CreditInspired — Sat, 15 Apr 2017 17:34:41 GMT

Just another thought. I personally don't recall being asked who my employer is -- only what my household income is, which can be almost anything: UI, spousal support, education grants, child support, Social Security, disability, parent's income if one has access to it, etc. The list goes on and on, so IMHO, I don't think you would be committing any fraud. Just my 2 cents.

Re: Laid Off: Should I apply for another card

Aduke1122 — Sat, 15 Apr 2017 17:38:31 GMT

It asked you your source of income on almost all apps I have done , he would either have to say employment or unemployed, other , household income

Re: Laid Off: Should I apply for another card

Anonymous — Sun, 16 Apr 2017 14:50:41 GMT

@PrinceCorwin wrote:
@quick History: 6 months ago, had fako @Anonymous. Applied for and received Cap1 QS1 and CreditOne Platinum both $300 CL. Used both responsibly and CreditOne increased to $500 after 4 months. I called Cap1 after 4 1/2 months and requested CLI. They gave me another $100 (400 total). Now I'm at the 6 month threshold for the auto increase for Cap1. Nothing yet but still waiting. In that six month time, Fako went to 646 (tu and eq) and fico 702 (ex). Two weeks ago, went on a mini app spree and applied and received Amex BCE ($1000), Discover It ($2500) and Chase FU ($4500). Hard Inquiries brought scores to 646(tu), 643(eq) and 698(ex)

Now on to my question: I was laid off two days ago. Technically, I know I'm at the 5/24 rule for Chase but CK and Ex are not showing the new cards yet. I'm a welder/pipefitter, so I'm pretty sure I'll get another job... just not sure how long it may take. Unemployment benefits as well as wife's soc sec will cover rent and bills. New cards will possible be needed to cover groceries and gas until I get work. Utilization may go up, affecting scores and my take months to pay down after new job. Should I apply for another card now before the new cards show up, possibly even another chase card? What would you do in my situation? BTW, all balances right now are 0 or near 0

Re: Laid Off: Should I apply for another card

Anonymous — Sat, 15 Apr 2017 17:47:19 GMT

@Aduke1122 wrote:
Hey op sorry to hear about your job loss , ppl making comments about securing employment I'm sure are only doing so to try to offer sound advice . If it were me I would not app for nothing else right now as you don't want to put yourself in a bad situation and in debt more than you can pay . If you charge them up the more your monthly min payments will be . My fiancé is a welder also , he works for a Company called Republic and I'm certain they have lots of locations down your way if you want to check it out . He makes good money . And it's steady work , been with them for 2 years and was with their competing company for 3 years before we relocated. Good luck to you and I hope you don't take my comment as being rude of assuming , and these folks on here are a great bunch of ppl even if they tell us things we don't want to hear sometimes , it's only for the best .

Re: Laid Off: Should I apply for another card

Anonymous — Sat, 15 Apr 2017 22:48:47 GMT

@CreditInspired wrote:
Just another thought. I personally don't recall being asked who my employer is -- only what my household income is, which can be almost anything: UI, spousal support, education grants, child support, Social Security, disability, parent's income if one has access to it, etc. The list goes on and on, so IMHO, I don't think you would be committing any fraud. Just my 2 cents.

It varies from lender to lender, so i don't think there's a hard and fast rule. Some just ask you for your household income (most in my own experience ask for gross, but Synchrony asks for net). Several do ask you for your employer's name and/or the type of work you do. Some lenders will also ask you how much you pay in housing costs per month, whether rental or mortgage, so I expect they subtract that from your overall monthly income to get a figure on how much you have after that to pay other expenses such as insurance, utilities, food, clothing, and other things including, of course, credit card bills.