topic Re: Proof: Discover has tightened up CLI requirements. in Credit Card Applications

Proof: Discover has tightened up CLI requirements.

Anonymous — Tue, 18 Jun 2019 12:46:31 GMT

I know it's been speculated that Discover since late 2018 has been "tightening up" with respect to giving out CLIs. People on this forum have referenced articles where this has been suggested, while also simply posting that CLIs seem to have felt more difficult to obtain.

I received my first piece of concrete proof though that something has indeed changed on their end. As you all know, when you are denied a CLI from Discover you receive a denial letter in the mail and are provided with a denial reason. "Insufficient experience with current Discover card credit limit" is the reason that is received seemingly 99% of the time. In the case of my 70+ denial letters, it's the reason I've been given 100% of the time... until today.

The denial letter today stated, "Low usage on existing line of credit in previous month(s)." Big difference here. First let me say that for a very long time that I've strongly believed that the standard "insufficient experience..." denial reason was related only to the element of time and not dollars at all. To support my argument on that front, there were times that I'd receive that denial reason and then spend literally nothing on the card, only to receive a CLI a cycle or two later. This to me proved that "experience" simply meant time, as no additional dollars were needed for a CLI. This new denial reason though definitely does refer to spend, which only strengthens my previous belief that the standard "insufficient experience" denial reason indeed points to only time elapsed.

The reason I consider this new denial reason "proof" that something has changed with Discover is because on my end, nothing has changed. Discover gets maybe $100-$200 of spend per cycle out of me. During months where the 5% category doesn't suit me, they've seen as little as $0 spend or a low 2-digit spend. During months where their 5% category has been meaningful (like groceries) they've seen a healthier (say) $500-$600 spend. So, if nothing has changed in terms of my use of the card, to me it means Discover has changed something on their end in terms of "tightening up" with respect to CLIs.

Now I'm wondering what metric they're actually looking at, whether it's raw dollars or percentage of limit used. I'm going to keep an eye on that in the months going forward as I receive my denial letters.

Just as an opinion here, I think this is a very smart move on the part of Discover and am surprised that for years they haven't implemented more strict restrictions to CL growth. I think it's ridiculous for people with > $40k limits (for example) to receive $3000-$4000 CLIs when they're spending maybe $150/mo on average on the card. Perhaps that has changed now, which makes a lot of financial sense for Discover.

Re: Proof: Discover has tightened up CLI requirements.

Fico82 — Tue, 18 Jun 2019 13:09:36 GMT

Good information to know , thanks for posting.

Re: Proof: Discover has tightened up CLI requirements.

GApeachy — Tue, 18 Jun 2019 13:12:41 GMT

@Anonymous

I hope you're right cuz we use the heck out of our cards, low limits and it's a pita making multiple pymts to control utl.%. DH has had his since Jan. 2019, received 2 cli's (small amts. though this last one was triple the first one.) If they will reward upon usage we will be sitting good hopefully over the course of a year and after that I don't care if we grow the cards any further than what we need to cover expenses while maintaining a healthy utl.% overall.

Re: Proof: Discover has tightened up CLI requirements.

Anonymous — Tue, 18 Jun 2019 13:18:56 GMT

I think your "proof" is a DP not suggesting that things have changed. It's possible there's a swing on the pendulum @ Disco and maybe they're going to try acting like Cap1 but, then again until more people try the CLI option and post their results it's a 1 off.

Re: Proof: Discover has tightened up CLI requirements.

AverageJoesCredit — Tue, 18 Jun 2019 13:57:31 GMT

This is the only thing that can explain my breaking AJC Special Bad

Re: Proof: Discover has tightened up CLI requirements.

LakeLife — Tue, 18 Jun 2019 14:10:11 GMT

The recent Discover CLIs on the forum have been with people carrying a balance whether it be a BT or spend. I think that's what it takes. I'm at around 30% UTIL on my Discover with a BT and have been granted 2 CLIs in the past 6 months.

Re: Proof: Discover has tightened up CLI requirements.

Anonymous — Tue, 18 Jun 2019 14:16:36 GMT

I am 100% done with Discover. I have tried repeatedly. When I got a notice last week that my interest rate went up FOR NO REASON, I called them. I did get it reduced to below 20%. I asked to be transferred to talk to someone about a CLI. I thought I was going to get one, but then realized they were just filling out the online form. I was like I could have done that!

Anyway, I have frozen the account and have zero plans to use it anytime in the near future. I would close it, but I like the $5K showing up as available credit on my scores.

Re: Proof: Discover has tightened up CLI requirements.

Anonymous — Tue, 18 Jun 2019 14:18:56 GMT

APR's fluctuate with the prime rate.

If they're pissing you off then just close it. Not worth keeping the 5K if you're not going to use it. They've been on a downhill slide since they started nerfing things that made them worthwhile in the past.

Re: Proof: Discover has tightened up CLI requirements.

rbentley — Tue, 18 Jun 2019 14:35:14 GMT

@Anonymous wrote:
I know it's been speculated that Discover since late 2018 has been "tightening up" with respect to giving out CLIs. People on this forum have referenced articles where this has been suggested, while also simply posting that CLIs seem to have felt more difficult to obtain.

I received my first piece of concrete proof though that something has indeed changed on their end. As you all know, when you are denied a CLI from Discover you receive a denial letter in the mail and are provided with a denial reason. "Insufficient experience with current Discover card credit limit" is the reason that is received seemingly 99% of the time. In the case of my 70+ denial letters, it's the reason I've been given 100% of the time... until today.

New thread suggestion. The Saturation Technique: Best CLI Odds.

Re: Proof: Discover has tightened up CLI requirements.

CreditInspired — Tue, 18 Jun 2019 14:45:22 GMT

@LakeLife wrote:
The recent Discover CLIs on the forum have been with people carrying a balance whether it be a BT or spend. I think that's what it takes. I'm at around 30% UTIL on my Discover with a BT and have been granted 2 CLIs in the past 6 months.

Hmmmm, last month I was at 27% UT on my BT with Discover and denied a CLI. Reason: my outstanding balance was too high. I'll try again either later this month or next month and see what the reason will be at that time.

That's great you got 2 CLIs.

Re: Proof: Discover has tightened up CLI requirements.

LakeLife — Tue, 18 Jun 2019 14:44:38 GMT

@CreditInspired wrote:
@LakeLife wrote:
The recent Discover CLIs on the forum have been with people carrying a balance whether it be a BT or spend. I think that's what it takes. I'm at around 30% UTIL on my Discover with a BT and have been granted 2 CLIs in the past 6 months.
Hmmmm, last month I was at 27% UT on my BT with Discover and denied a CLI. Reason: my outstanding balance was too high. I'll try again either later this month or next month and see what the reason will be at that time.

As we always say here, YMMV...

Re: Proof: Discover has tightened up CLI requirements.

Fated4Credit — Tue, 18 Jun 2019 14:52:50 GMT

This makes me a bit nervous as I just asked for CLI a couple of days ago but was shot down. So I'm kinda dreading what the denial reason will be if I'll get the same message of little usage, I'm trying to get my 4800 limit over 5k.

I've had some form a balance for the past 18 months since I got the card on 11/17 with a 2000 sl. but paid 5-10x the amount. Within that time I'm probably had 2 small auto increases totaling $600. 4 denials & 3 small $300 requested approvals which I called in to get the rest & I've used @ the most about 70% of my limit but they was when the card was @ 2600 though (still didn't get an increase then btw)

Finally going to 0 out the card by the end of this month & I was thinking if I used close to 50% of limit on the resturants/paypal quarter they would hopefully grant me an increase in September. I really don't want to have to force spend on the card to try & get an increase since my bucketed cap 1 looking to be a PITA @ 1651 last increase was in march of $150. If I can't get it to @ least 2k by my next 6 month request in September I'll likely sock draw the card.

Re: Proof: Discover has tightened up CLI requirements.

Anonymous — Tue, 18 Jun 2019 14:58:56 GMT

@Fated4Credit wrote:

hit the button monthly on Disco and every 6 months on Crap1

I'd say close Crap1 but, it's your only other card

Re: Proof: Discover has tightened up CLI requirements.

Fated4Credit — Tue, 18 Jun 2019 15:20:11 GMT

@Obscure-Expert: That's why I plan to app for the PP 2% card in a few days my util is @ 9% with no derogs & scores in siggy are current. I figured I need a replacent card for cap 1 anyway.

Re: Proof: Discover has tightened up CLI requirements.

Anonymous — Tue, 18 Jun 2019 16:52:59 GMT

@GApeachy wrote:
@Anonymous
I hope you're right cuz we use the heck out of our cards, low limits and it's a pita making multiple pymts to control utl.%. DH has had his since Jan. 2019, received 2 cli's (small amts. though this last one was triple the first one.) If they will reward upon usage we will be sitting good hopefully over the course of a year and after that I don't care if we grow the cards any further than what we need to cover expenses while maintaining a healthy utl.% overall.

If you aren't receiving CLIs from Discover with your current spend/payment pattern, I'm not at all suggesting that you may start receiving more CLIs now. My post is rather saying the opposite, that those that may have been receiving CLIs from Discover that keep their spend/payment pattern the same may stop receiving them. It sounds like your behavior witht the account should warrant a CLI, but if for whatever reason there's something about your profile that Discover isn't liking they may continue to not provide you with a CLI.

Re: Proof: Discover has tightened up CLI requirements.

Anonymous — Tue, 18 Jun 2019 16:57:01 GMT

@Anonymous wrote:
I think your "proof" is a DP not suggesting that things have changed.

I'm not quite sure how you can say that. I don't know what changed, but something definitely changed. My spend pattern has been the same for 3 years and I've seen 70+ denials with the same denial reason and now 1 denial with a different reason. That to me means that something changed on their end. How significant or insignificant it may be and quantifying it is probably next to impossible of course. Even if it's a human being that with a few key strokes changed the "insufficient experience" statement to this new one and now everyone starts to see this new statement instead of the old one (but nothing changes with CLIs at all) it's still a change.

Re: Proof: Discover has tightened up CLI requirements.

Remedios — Tue, 18 Jun 2019 16:58:14 GMT

I just got $3000.00 today, first one since either September or October (I think it was September).
Minimal use from October to January. No use at all in the last 3-4 months.

Re: Proof: Discover has tightened up CLI requirements.

GApeachy — Tue, 18 Jun 2019 17:03:08 GMT

@Anonymous wrote:
@GApeachy wrote:
@Anonymous
I hope you're right cuz we use the heck out of our cards, low limits and it's a pita making multiple pymts to control utl.%. DH has had his since Jan. 2019, received 2 cli's (small amts. though this last one was triple the first one.) If they will reward upon usage we will be sitting good hopefully over the course of a year and after that I don't care if we grow the cards any further than what we need to cover expenses while maintaining a healthy utl.% overall.
My post is rather saying the opposite, that those that may have been receiving CLIs from Discover that keep their spend/payment pattern the same may stop receiving them.

Yeah, I get that. And I'm hoping that our usage will get us enough "luv" in a relatively short time to make the cards more usable and less pampering needed.

Re: Proof: Discover has tightened up CLI requirements.

Anonymous — Tue, 18 Jun 2019 17:10:20 GMT

@Remedios wrote:
I just got $3000.00 today, first one since either September or October (I think it was September).
Minimal use from October to January. No use at all in the last 3-4 months.

Good info above.

I do find the final word in the denial reason, "month(s)" to be a bit curious. I think the "s" definitely belongs there, as if it was considering just the previous month in your case no doubt $0 would not have been "enough" for a CLI. So, if we're considering "months" then, who knows if they're talking 3, 6, heck maybe a year even averaged out or something.

Re: Proof: Discover has tightened up CLI requirements.

Anonymous — Tue, 18 Jun 2019 17:59:54 GMT

@Anonymous wrote:
@Anonymous wrote:
I think your "proof" is a DP not suggesting that things have changed.
I'm not quite sure how you can say that. I don't know what changed, but something definitely changed. My spend pattern has been the same for 3 years and I've seen 70+ denials with the same denial reason and now 1 denial with a different reason. That to me means that something changed on their end. How significant or insignificant it may be and quantifying it is probably next to impossible of course. Even if it's a human being that with a few key strokes changed the "insufficient experience" statement to this new one and now everyone starts to see this new statement instead of the old one (but nothing changes with CLIs at all) it's still a change.

I doubt that is the case. Going form thousands per month to nothing and then something.