topic Re: What the hell, Chase? in Credit Card Applications

What the hell, Chase?

kgwinn — Thu, 22 Mar 2018 22:16:41 GMT

I am seriously annoyed.

I've been rebuilding credit for a while, inching my way back from a couple of collections 5 years ago and a few years of not enough income. Now financially back on my feet, and reently paid off a chuck of CC debt with my tax refund, dropping my utilization and adding about 20 points to my scores. Yay!

So I started looking to replace some of my crappy subprimes with something better that I can grow with. Chase has literally turned down every CC application I've ever submitted in the the history of ever, despite the fact that they gave me a $30K car loan with no questions asked a few years back, which I paid on time every month and paid off completely about 3 years ago. I've also had checking and savings there for about 12 years.

So I apply for an Amazon Visa and get the whole "we're gonna have to take a closer look, we'll let you know, you'll get a letter" thing which I assume will ultimately be a decline. Cool. So at the same time, I try for a Slate because I think it might be easier. Booyah, approved, but only for $500. Ok, at least I'm in the door with Chase and I can finally get rid of that crappy MIlestone card that I hate.

Card arrives last week, but I forget about it for a few days. Then tonight, I get an email saying I'm approved for the Amazon card, it's on its way, $2500 limit. Yay! So I get home, realize I haven't activated the Slate yet and go online to do so. Website says all accounts are activated. I log into Chase and both Slate and Amazon say Account Closed. I call to ask if this just means it hasn't been activated yet or something, and I'm told that they have CLOSED my accounts. Ummm...what? I literally got an approval email from you people 4 hours ago. You took your time processing my account, which means an actual person likely looked at it. WHY WOULD YOU DO THAT?

She gives me a number to call in the morning for an explanation, but says the accounts will not be reopened. HUH???

So are these going to be reported to the bureaus as closed and ding me even though in reality they were never open for me at all? I'm not sure what I should be asking them for when I call.

If I was a paranoid person, I'd think they were spying on me when I opened a new checking account with a local CU on Saturday with the intent of getting rid of my bank accounts with Chase. Shady AF.

EDITED TO ADD:

Here's what happened. I called the number I was given that was supposed to be a direct line to the people who could give me information and was immediately told I had to be transferred. And then I was promptly discinnected. Called back, same thing happened. Third time, finally got to someone who left me on hold for 10 minutes to "research my account history". WHAT history? It was never open!

She came back and told me I'd been scheduled for a random automatic review. I asked why they would choose to review an account that hadn't even been activated yet and had zero history, she said they do that all the time. Let me repeat, THEY DO THAT ALL THE TIME.

She said they didn't like that I had several inquiries in the past few months and had opened too many accounts. I suggested to her that if they'd simply called and asked me, I could have explained that I had been looking for and opened a couple of new accounts this year so that I could replace some old, subprime cards with something better, and she said "Well we have no way of knowing that". To which I said "Sure, if only I'd provided you with some sort of number with which you could contact me... Also, none of these things happened in the past few days, so all of these inquiries and accounts were on my credit at the time you approved me. And you took a week to approve the Amazon Visa, so that wasn't a computer, it was a human looking at my report. If this was a problem, that would have been the time to address it. You should have declined me."

She says "Well this is basically the same thing."

Me: "Is it? Does that mean you're not going to report these accounts to the credit bureaus as opened and then closed by credit granter? Because that's actually a negative impact on my credit simply because you didn't do your due dilligence at the front end."

She then tried to tell me they had no choice and I would have to deal with the bureaus to get something removed, that they couldn't do that. I reminded her they could choose not to report inthe first place, since the cards were never activated and the accounts were never open to me. She then told me that it's exactly the same as an inquiry, and they it would just say opened and closed by credit grantor, with no negative history. I told her that is most definitely negative history and that I was done talking to someone who didn't know the difference between a closure and an inquiry.

I also told her I'd be closing my bank accounts as soon as I transfer my direct deposit this afternoon. I get the feeling she hears that a lot, because she just sighed and thanked me for calling.

I'm officially done with Chase forever. I've worked too hard to rebuild my scores to play with a company so careless with negative reporting.

Re: What the hell, Chase?

Anonymous — Thu, 22 Mar 2018 09:19:59 GMT

Sorry to hear. This is very bizarre and I've never heard of this happening.

Hopefully, you can get this resolved. Please update when you can.

Re: What the hell, Chase?

fltireguy — Thu, 22 Mar 2018 10:13:05 GMT

Chase does this occasionally.. sorry to hear that it happened to you.

Do you have a bunch of new accounts that could have spooked them?

Re: What the hell, Chase?

avp99 — Thu, 22 Mar 2018 10:51:28 GMT

Really odd, do keep us posted as to what they tell you. I've never heard of this before.

Re: What the hell, Chase?

Anonymous — Thu, 22 Mar 2018 11:18:25 GMT

Sorry that Chase took adverse action against you. Unfortunately this has happened before to a number of people. If you search the forums you will come across several threads discussing Chase suddenly closing accounts; usually the reason given is a "previous unsatisfactory relationship" but that's a catch-all phrase that could mean anything. They will also shut down new accounts if you're actively seeking new credit, if they suspect fraud, or if they just think you're "too risky."

Here are a few recent discussions where Chase shut down accounts:

Chase Cancelling All Accounts of Recent Card Applicants who they Deem Risky

Chase Cancelled My Account For Following Dave Ramsey

Chase shut me down...

Re: What the hell, Chase?

Loquat — Thu, 22 Mar 2018 11:20:18 GMT

@kgwinnwrote:
I am seriously annoyed.

I've been rebuilding credit for a while, inching my way back from a couple of collections 5 years ago and a few years of not enough income. Now financially back on my feet, and reently paid off a chuck of CC debt with my tax refund, dropping my utilization and adding about 20 points to my scores. Yay!

So I started looking to replace some of my crappy subprimes with something better that I can grow with. Chase has literally turned down every CC application I've ever submitted in the the history of ever, despite the fact that they gave me a $30K car loan with no questions asked a few years back, which I paid on time every month and paid off completely about 3 years ago. I've also had checking and savings there for about 12 years.

So I apply for an Amazon Visa and get the whole "we're gonna have to take a closer look, we'll let you know, you'll get a letter" thing which I assume will ultimately be a decline. Cool. So at the same time, I try for a Slate because I think it might be easier. Booyah, approved, but only for $500. Ok, at least I'm in the door with Chase and I can finally get rid of that crappy MIlestone card that I hate.

Card arrives last week, but I forget about it for a few days. Then tonight, I get an email saying I'm approved for the Amazon card, it's on its way, $2500 limit. Yay! So I get home, realize I haven't activated the Slate yet and go online to do so. Website says all accounts are activated. I log into Chase and both Slate and Amazon say Account Closed. I call to ask if this just means it hasn't been activated yet or something, and I'm told that they have CLOSED my accounts. Ummm...what? I literally got an approval email from you people 4 hours ago. You took your time processing my account, which means an actual person likely looked at it. WHY WOULD YOU DO THAT?

She gives me a number to call in the morning for an explanation, but says the accounts will not be reopened. HUH???

So are these going to be reported to the bureaus as closed and ding me even though in reality they were never open for me at all? I'm not sure what I should be asking them for when I call.

If I was a paranoid person, I'd think they were spying on me when I opened a new checking account with a local CU on Saturday with the intent of getting rid of my bank accounts with Chase. Shady AF.

Unfortunately this has on several occasions with Chase. I had a friend who app'd IHG and Amazon...both approved and closed before the cards arrived after their "investigation". Had a co-worker who already have a Chase Amazon, app'd Ritz and boom...both closed even though the Amazon card has been open for a long while.

Don't know what triggers the internal review but it did in both occasions...both accounts closed and request to have them re-opened completely failed. Accounts reported opened and then closed on all reports. Co-worker disputed the accounts and was told that it was legitimate and they would remain on the reports. Friend didn't to try and have them removed.

Sorry this happened to you...kinda reminds me of how Comenity rolls sometimes with the opening and dang near instant closing of accounts.

Re: What the hell, Chase?

Anonymous — Thu, 22 Mar 2018 12:48:06 GMT

There are megathreads on other credit forums about the acceleration rate of recent closures.

I decided 2 months ago to no longer pursue an extended relationship with Chase, mostly because I am aghast at the 5/24 rule and don't want to worry about it anymore. But last month, a long time friend and someone who was a client for 20 years had ALL their Chase revolving accounts closed, and this person is a CPC with millions in deposits and investments. They apply for Chase cards when they can use those cards. They're not churners or abusing the system. They apped for a new card, got approved, then a few days later every card was closed. They called, disputed the closure, and the closure stood.

Chase has really lost my interest now. I don't abuse credit. I don't churn.

If Chase wants to play this game, they're welcome to it. There are many other cards out there, and the Chase cards aren't that much more special to me that I would put up with this kind of nonsense.

Re: What the hell, Chase?

Anonymous — Thu, 22 Mar 2018 13:04:10 GMT

Man!! my motivation to get the CSR in 2020 is decreasing by reading this lol. Sorry OP!!!

Re: What the hell, Chase?

AverageJoesCredit — Thu, 22 Mar 2018 13:06:59 GMT

wth, indeed. Unless their was some kind of fraud going on, just a shame they would do that . It drives me nuts to see someone get approved only to be closed down before they even get the cards. Sorry op, you can always go for the Sync Amazon , which to me is just as good if not better than the Chase version, imo

Re: What the hell, Chase?

NRB525 — Thu, 22 Mar 2018 13:17:07 GMT

Sorry this happened OP, I have had cards closed by several banks a few years ago, but not all cards.

I suggest a take-away for others may be do not use the old methods of app spree, multiple cards at once and certainly not multiples from Chase at once. I append CSP at the first of January, it was my first new Chase card in three years. I got a message to wait some time period, and did wait. No calls to try to see where status was, no other apps during this time. Approved a week or so later and still open over two months later

AA cannot be predicted, but too much activity with Chase may raise flags. The new CU bank account, plus multiple apps to different parts of Chase underwriting likely came together eventually. Chase Amazon ( Co-branded ) is probably a different group from Chase Slate ( bank cards )

Re: What the hell, Chase?

Anonymous — Thu, 22 Mar 2018 13:18:22 GMT

let us know what they tell you when you call

Re: What the hell, Chase?

avp99 — Thu, 22 Mar 2018 13:24:33 GMT

@Anonymouswrote:
Man!! my motivation to get the CSR in 2020 is decreasing by reading this lol. Sorry OP!!!

I agree!

I have no idea what it is that everytime I do their prequal all it always says they can't find any cards for me to prequalify. It goes on to say, have you recently opened a chase card account or have I opted out of prequalification. I have no chase cards, pretty decent scores in the 750 range, no lates, no derogs, no public records.... I have not gone the HP route, because I want to see if there are prequals out there... but reading this stuff just makes me want to not even bother.

Re: What the hell, Chase?

UpperNwGuy — Thu, 22 Mar 2018 15:10:33 GMT

@NRB525wrote:
I suggest a take-away for others may be do not use the old methods of app spree, multiple cards at once and certainly not multiples from Chase at once.

Re: What the hell, Chase?

SouthJamaica — Thu, 22 Mar 2018 15:24:12 GMT

@kgwinnwrote:
I am seriously annoyed.

I've been rebuilding credit for a while, inching my way back from a couple of collections 5 years ago and a few years of not enough income. Now financially back on my feet, and reently paid off a chuck of CC debt with my tax refund, dropping my utilization and adding about 20 points to my scores. Yay!

So I started looking to replace some of my crappy subprimes with something better that I can grow with. Chase has literally turned down every CC application I've ever submitted in the the history of ever, despite the fact that they gave me a $30K car loan with no questions asked a few years back, which I paid on time every month and paid off completely about 3 years ago. I've also had checking and savings there for about 12 years.

So I apply for an Amazon Visa and get the whole "we're gonna have to take a closer look, we'll let you know, you'll get a letter" thing which I assume will ultimately be a decline. Cool. So at the same time, I try for a Slate because I think it might be easier. Booyah, approved, but only for $500. Ok, at least I'm in the door with Chase and I can finally get rid of that crappy MIlestone card that I hate.

Card arrives last week, but I forget about it for a few days. Then tonight, I get an email saying I'm approved for the Amazon card, it's on its way, $2500 limit. Yay! So I get home, realize I haven't activated the Slate yet and go online to do so. Website says all accounts are activated. I log into Chase and both Slate and Amazon say Account Closed. I call to ask if this just means it hasn't been activated yet or something, and I'm told that they have CLOSED my accounts. Ummm...what? I literally got an approval email from you people 4 hours ago. You took your time processing my account, which means an actual person likely looked at it. WHY WOULD YOU DO THAT?

She gives me a number to call in the morning for an explanation, but says the accounts will not be reopened. HUH???

So are these going to be reported to the bureaus as closed and ding me even though in reality they were never open for me at all? I'm not sure what I should be asking them for when I call.

If I was a paranoid person, I'd think they were spying on me when I opened a new checking account with a local CU on Saturday with the intent of getting rid of my bank accounts with Chase. Shady AF.

Boy, Chase is really weird on adverse action lately.

Re: What the hell, Chase?

Remedios — Thu, 22 Mar 2018 15:26:48 GMT

Chase is like an abusive parent. Their website ought to include following disclaimer "I love you today, beat you tomorrow. Be quiet, stay in your room, do not provoke me by existing . You dont have to do anything wrong, I just have to think that maybe you will. Know your place, consumer"

Re: What the hell, Chase?

Kforce — Thu, 22 Mar 2018 16:54:29 GMT

Closed my Chase accounts 10 years ago, don't miss them at all.

Lots of CC fish in the sea.

Re: What the hell, Chase?

Anonymous — Thu, 22 Mar 2018 19:14:59 GMT

Chase has been doing a lot of such shutdowns this month, possibly starting around the end of last month. Basically whenever Chase sees you as "risky" according to their definition, they close all your credit accounts with them. The common reasons include:

Not enough credit info on file
The accounts on your credit report have not been open long enough
Too many accounts opened
Too many requests for credit or/reviews of credit
Too many inquiries

Be advised that this month Chase has been reportedly doing such shutdowns more than ever. You can find a lot of recent reports from FlyerTalk and other forum/blogs. Probably the only thing a Chase cardmember can do is to simply avoid applying for multiple cards in a short period, and keep the number of accounts opened in the last 24 months to a minimum.

Re: What the hell, Chase?

Anonymous — Thu, 22 Mar 2018 19:25:18 GMT

All this kind of makes me glad, really, that the 2014 BK in which I burned Chase debars me from trying for any cards from them until 2024. I really don't want to have to deal with the stress of wondering if they would shut down my account out of the blue.

Re: What the hell, Chase?

Anonymous — Thu, 22 Mar 2018 19:54:18 GMT

@plyrstar93 and @abcd2199 are spot on.

Another thing, particularly a dual application with Chase cards can lead to a manual review by Chase’s risk management team where new inquires and new accounts are frowned upon. The RM team are not particularly helpful or nice and the responses you get are tantamount to “It is what it is.”

The industry is experiencing an increase in defaults and Chase seems to be paying more attention than other banks. The way they go about combatting potential risk is swift and absolute. It bugs me that they don’t just deny the approval. Is their team not efficient enough to catch it before it’s approved? It almost seems like they want to ding your AAoA on purpose.

Personally, I hate it. It’s impersonal and they give you little to no recourse. It doesn't make me want to build a relationship with Chase.

Check this out if you’re so inclined. It can provide some insight into how banks think though it may not be directly related to what happened in this thread:

http://ficoforums.myfico.com/t5/General-Credit-Topics/Bust-Out-Score/td-p/5116259

Re: What the hell, Chase?

Anonymous — Thu, 22 Mar 2018 20:04:34 GMT

Yeah, I burned chase for 2 student loans and a card about 5 years ago, and have no interest in trying to get back with them because of reasons like this. Even though both are set to age off this year, I know that if I applied through chase again, they’ll remember. They’re like an elephant.

Plus, IMO, there are sooo many other great banks out there. I’m a huge fan of credit unions and they tend, in my case, to be more flexible and personable. Chase seems like the mean kid on the playground with a ball.. will only play with you until you mess up. Then it’s a “no” forever after that.