topic Re: CSP strategy in Credit Card Applications

CSP strategy

Anonymous — Sat, 13 Apr 2019 00:50:10 GMT

Hey guys,

I am looking to grab the CSP in the next week in branch. I currently have 3k in cash which I am trying to decide on which account to pay off before I apply.

Chase Freedom (Opened Jan 2018) -> balance 2800/4800

Discover Miles -> balance 3500/9000

Kay Jew -> 0/1500

Total -> 6300/15300

Util 41%

The CF is currently in the 0% APR period and my discover apr has a 18% apr. Should i use the cash to clear the CF and then apply or clear the Discover card. I wondering if the high balance on just the chase card would spook Chase, even knowing that once I pay the discover down, it would bring my UTI to 24%. The reason I want to get the CSP now is because I plan to use the SUB points to travel this summer.

Scores are between 680-705 across the 3 bureaus.

Re: CSP strategy

Caardvark — Sat, 13 Apr 2019 01:23:08 GMT

In my opinion, you should always do what is most financially advantageous, which is usually to pay down your high interest cards first.

That said, depending on the SUB and, if you simply cannot wait to apply, it may be better to pay them both down to <28.9% which would give you a nice score boost and increase your odds of CSP approval (with a nice SL).

Re: CSP strategy

Meanmchine — Sat, 13 Apr 2019 01:35:49 GMT

Unless your Discover card is going to report to the CRAs early next week, Chase wont "see" the payment next week. If you are bound and determined to app next week, Id pay the Chase card first

Re: CSP strategy

Anonymous — Sat, 13 Apr 2019 01:48:51 GMT

Thanks for the heads up, Discover does off-cycle reporting upon request, so If i pay it down and request Off cycle reporting, I;ve seen it uodate within two days of my request,

Re: CSP strategy

Anonymous — Sat, 13 Apr 2019 01:53:29 GMT

I personally would say that with your scores, you may want to wait a little longer until you can push your utility down further. Chase is really easily scared of risk with a new customer and I've seen that if your utility is north of 15%, they don't really like it unless you have really substantial income.

Re: CSP strategy

SouthJamaica — Sat, 13 Apr 2019 11:40:08 GMT

@Anonymous wrote:
Hey guys,

I am looking to grab the CSP in the next week in branch. I currently have 3k in cash which I am trying to decide on which account to pay off before I apply.

Chase Freedom (Opened Jan 2018) -> balance 2800/4800
Discover Miles -> balance 3500/9000
Kay Jew -> 0/1500
Total -> 6300/15300
Util 41%

The CF is currently in the 0% APR period and my discover apr has a 18% apr. Should i use the cash to clear the CF and then apply or clear the Discover card. I wondering if the high balance on just the chase card would spook Chase, even knowing that once I pay the discover down, it would bring my UTI to 24%. The reason I want to get the CSP now is because I plan to use the SUB points to travel this summer.

Scores are between 680-705 across the 3 bureaus.

I would pay off the Freedom card. Chase will report the zero balance quickly giving your scores a little boost.

Re: CSP strategy

CreditInspired — Sun, 14 Apr 2019 10:14:49 GMT

@Anonymous wrote:
Hey guys,

I am looking to grab the CSP in the next week in branch. I currently have 3k in cash which I am trying to decide on which account to pay off before I apply.

Chase Freedom (Opened Jan 2018) -> balance 2800/4800
Discover Miles -> balance 3500/9000
Kay Jew -> 0/1500
Total -> 6300/15300
Util 41%

The CF is currently in the 0% APR period and my discover apr has a 18% apr. Should i use the cash to clear the CF and then apply or clear the Discover card. I wondering if the high balance on just the chase card would spook Chase, even knowing that once I pay the discover down, it would bring my UTI to 24%. The reason I want to get the CSP now is because I plan to use the SUB points to travel this summer.

Scores are between 680-705 across the 3 bureaus.

IMHO, if it were me, I would get Disco balance to less than 28.9% ($2592) and Chase balance to less than 8.9% ($422) before applying for the CSP. Chase loves to HP (possibly 2) and it’s not worth it for a possible denial.

Just my 2cents

Re: CSP strategy

Anonymous — Sun, 14 Apr 2019 11:51:41 GMT

Agreed with CreditInspired, not to mention if you want a Chase product, I would want to put enough toward the Chase product you already have, to get it down to a good balance position. If you want more from them, show them you’re dead serious with what they’ve given you already. My thought is that with Chase being as risk-averse as they are, show them the money before asking for more from them.

Re: CSP strategy

Merlin3482 — Sun, 14 Apr 2019 12:02:53 GMT

I would agree with @Creditinspired. If you follow those suggestions you will stand a much better chance of approval. Good luck with which ever way you decide to go.

Re: CSP strategy

coldfusion — Sun, 14 Apr 2019 12:40:22 GMT

OP- to summarize, you currently have $6500 in CC dept of which $2800 is currently at 0% terms. You have cash on hand to retire $3K of that debt.

Your plan to bonus-chase means you're committing yourself to spending a mininum of $4K in ~90 days. There is no promotional 0% financing. What is your plan to pay off this additional $4K?

The current interest rates on this card are higher than that you currently have on your Discover card and any interest you incur degrades the effective value of the SUB. You wouldn't be able to transfer BT to the CF as they're both Chase cards.

I'm not looking to discourage you from applying for the card, but rather to confirm, based upon your current situation as outlined, your awareness of what you're committing to.

Re: CSP strategy

McNugget — Sun, 14 Apr 2019 14:42:24 GMT

Chase is basically throwing this card at people. I actually think you have a chance as-is.

Re: CSP strategy

Anonymous — Sun, 14 Apr 2019 19:16:40 GMT

@Anonymous wrote:
I personally would say that with your scores, you may want to wait a little longer until you can push your utility down further. Chase is really easily scared of risk with a new customer and I've seen that if your utility is north of 15%, they don't really like it unless you have really substantial income.

Not to say you CAN'T get it as stated, but with higher UTL, I had to wait for the denial letter, recon, and sweet-talk a back-end credit analyst after waiting a week for them to call me back after requesting recon. I got it (well, the CSR, but same UW), but it wasn't easy. CSx cards are awesome, so if you can wait just a bit longer, you will do yourself a great favor...

Good luck!

Re: CSP strategy

Omw800 — Mon, 15 Apr 2019 18:07:04 GMT

I’d suggest dropping your utilization down some(25%-30%), wait about a month for the Change to effect your report then apply. Check the Pre-qualifications but you may have a good chance now honestly. As long as they’ll approve you for 5k or more, you’re fine. You never know with chase

Re: CSP strategy

Anonymous — Fri, 10 May 2019 03:07:37 GMT

thanks everyone for the kind advice. I pulled the trigger today and was approved for in branch instantly for $5900.

I brought my total util down to 15%, cleared my chase freedom balance first even though the apr was 0%. I will probably BT my now $2400 discover balance to the freedom during this 0% apr offer. I debated for a while to wait out the CSP app until the fall but I realistically do not expect to spend much around that time. Me and my family and friends are going on vacation soon and this would be the perfect time to hit the SUB, they are all going to pay me for the flights and all that so the SUB will be hit quickly. My bills and essentials just do not come near $4k in 3 months so right now was the best time for be the grab the card. Only thing that sucks was the starting CL Hopefully they show me love with the auto-cli this year.

Re: CSP strategy

Anonymous — Fri, 10 May 2019 03:17:37 GMT

Congrats on the approval but, chasing a bonus doesn't make sense if you're paying interest or BT fees to shuffle things around.

If you end up paying 3-4% BT Fee upfront to move $2400 you're wasting $72-$96 of it right away. If you're going to need to do the same again with the 4K you're planning on spending for vacationing it's another $120-$160 down the drain. If you take the cash from the 50K points you're net is under $300.

Now if you picked up an Amex ED/EDP with $0/$0 fees to move things around you could pull off less fees but, you'll still end up with over $6K in debt with Amex.

Just a thought.

Re: CSP strategy

FinStar — Fri, 10 May 2019 03:34:43 GMT

Congrats on the approval @Anonymous .

Locking this thread as you have been approved. Feel free to start a new approval thread in the Approvals forum if you would like to do so.