topic How reliable are Pre-Qualifications from AMEX? in Credit Card Applications

How reliable are Pre-Qualifications from AMEX?

MomoMango — Thu, 27 Jun 2019 21:42:03 GMT

Hello,

Since I've started my credit journey, my goal was to get two credit cards and garden for about a year. I was researching for a while to see what credit cards I was interested in.

When I first started, my best friend and my boyfriend's sister suggested I should get the Discover It Student Card. This card was the very first card my best friend received about two years ago. (She didn't have any credit history before).Then about almost 2 months ago, I decided to apply after looking at the perks for a while, and Discover seemed like a starter friendly credit card for people with little to no credit. The same day I applied I got accepted for a $1,500 CL, and so far I'm enjoying the perks. Especially the good grade $20 statement credit.

Currently I'm on the hunt for a second card. I've been looking at the Blue Cash Everyday® Card from American Express. (There was a lot of credit cards I was looking at and this one caught my eye).But I wanted to see what offers I would get from other credit cards before I set my mind on this one. So I decided to fill out pre-qualification forms from some banks like: Capital One, Chase, Citi, and including American Express. I'm 20 currently and going to be 21 in December, so most of them couldn't qualify me for a card. The only one that did was American Express.

At this point American Express said I was pre-qualified for Amex EveryDay® Credit Card, American Express® Gold Card, and the Blue Cash Everyday®. I've read some posts how recently American Express started to accept people with thin files, but I'm not sure if I qualify as a "thin file." Currently I have no FICO score yet, but the Capital One: Credit Wise scores, which I believe are considered FAKO scores since they aren't reliable. (The FAKO Score is 715)

Here are my questions:

How reliable are the American Express pre-qualification?

Since I have just started, would I even have a chance to be accepted?

Should I attempt to apply for the Blue Cash Everyday® or should I wait until I have a FICO score?

Should I apply for something else?

I was thinking about applying after my second statement closes, which is July 11th, but I would love to hear your guy's opinions first.

Note: I do not want to apply for a store card since the perks are only tied to the store they're from.

Re: How reliable are Pre-Qualifications from AMEX?

Anonymous — Thu, 27 Jun 2019 17:48:31 GMT

Typically they’re very solid but I’m hesitant to say it in your case since you have no generated FICO score yet. Amex might approve you but it seems tough to think so since they’d only have 1-2 Discover payments to go by. If I were you I’d wait until your scores are generated, which takes 6 months of reporting from at least one lender, then check again. You’re good at first with one card, so I’d just tend that and wait awhile, then recheck the prequals when your scores are available.

Re: How reliable are Pre-Qualifications from AMEX?

Anonymous — Thu, 27 Jun 2019 16:57:19 GMT

Hi OP! IMHO you should wait until you have an actual FICO score. As no prequal is ever set in stone. AMEX will rely on your EX FICO score to determine your creditworthiness. You just don't want to submit the application because you saw a prequalified offer. You want to apply for the card that makes the most sense for your spend and aim to get that approval. 6 Mos. from when you had originally started your credit history, a FICO score should already be calculated on your reports. By then, check the AMEX page again and then decide from there. I can tell you though that they are thin file friendly, so if they were to be your second card, I think you will be just fine. Just wait on that Fico score before you hit that submit button.

Re: How reliable are Pre-Qualifications from AMEX?

pinkandgrey — Thu, 27 Jun 2019 20:47:30 GMT

I would wait for at least another 4-5 months and check the prequals again. At the moment you have almost no history. That Disco will help you significantly, so congrats on that one! Good luck!!

Re: How reliable are Pre-Qualifications from AMEX?

mikesonthemend — Thu, 27 Jun 2019 21:15:09 GMT

OP, congratualations on your new Disco card.

If you are using Discover's free Fico scorecard, it will not be available until about 2 weeks after your first statement cuts. If that is the case, you may want to try a "free-trial" with my experian to see if they generate scores.

Either way, you should have a score very soon.

Best of luck!

Re: How reliable are Pre-Qualifications from AMEX?

MomoMango — Thu, 27 Jun 2019 21:27:23 GMT

I actually signed up for the score card from Discover, but it said the information was unavailable. If I did the free-trial with My Experian, would the FICO Scores still not show up since I don't have 6 months of history?

Re: How reliable are Pre-Qualifications from AMEX?

Anonymous — Thu, 27 Jun 2019 22:20:58 GMT

That’s correct. It takes 6 months of reporting to generate a score. No real way around that unless someone can add you as an AU on an old tradeline - that might help accelerate things but I’m not positive.

Re: How reliable are Pre-Qualifications from AMEX?

MomoMango — Fri, 28 Jun 2019 15:53:05 GMT

I'm leaning more towards waiting for 4 months until my FICO score gets generated. But I'm curious; What happens if I apply after my second statement, will the HP take a serious hit on my future credit score? And would it affect my future application when I re-apply after my FICO scores are generated?

As of now I have applied to two cards: Discover in April and ULTA in May, but I was denied for the ULTA card due to no Credit history. I would like to know; What is the least amount of INQ you can have to be accepted into AMEX?

Re: How reliable are Pre-Qualifications from AMEX?

FinStar — Fri, 28 Jun 2019 15:55:05 GMT

OP, it's all relative to an overall profile. Unfortunately, no one here can provide you with an exact or specific answer to what AmEx, or other lenders look for as there many variables to a thin profile.

There's guidance based on collective DPs, but by and large, if you let your profile age for a period of time (as suggested upthread), it will reflect more optimal for a variety of lenders. When you rush things, the outcomes can yield unfavorable results.

Re: How reliable are Pre-Qualifications from AMEX?

GApeachy — Fri, 28 Jun 2019 15:58:32 GMT

OP, congrats on your progress so far. As far as Amex pre-qual I just wanted to let you know that you (when the time is right) need to check out the "terms and conditions" on each and every pre-qual cause if it doesn't show a solid APR% then it may not be a good indicator of acceptance. I had several I supposedly qualified for only to get shot down, then I read here on MF that those solid apr's is a good way to judge. Someone here will better advise on that but I think I'm telling you correctly. I know others, with pretty good cr's cold app without checking but just wanted bring that up. Good luck!

Re: How reliable are Pre-Qualifications from AMEX?

MomoMango — Fri, 28 Jun 2019 16:08:12 GMT

Alright, I'll wait until my FICO scores are generated. I'll focus on my Discover card and keep preventing any baddies from showing up.

Also thanks for the advice on the APR% for the pre-qualifications, I'll look more into it when I apply.

Re: How reliable are Pre-Qualifications from AMEX?

MrCreditInternational — Sat, 29 Jun 2019 03:39:34 GMT

Amex approved me for the Gold card without a FICO score, so I'd go with that card if it fits your spending.

Re: How reliable are Pre-Qualifications from AMEX?

Anonymous — Sun, 30 Jun 2019 19:37:39 GMT

I agree with @LauraC and her advice on the APRs. I had first heard that with Disco and used that to know when to apply. I’ve also read on here about how it’s a good way to reinforce that you’re solid with Amex beyond just the “you’re preapproved” verbiage. Definitely check that out and if you see the preapproval language along with a set APR, that’s about as close to a “go” as you’re going to see anywhere.

Re: How reliable are Pre-Qualifications from AMEX?

Guyatthebeach — Tue, 09 Jul 2019 23:09:56 GMT

The pre-qualifications are pretty solid from Amex, at least for me. In my opinion if it gives you a specific APR, like 14.99%, and not a range, like 12.99 to 29.99%, then is it definitely solid.

If you get an Amex, alway treat like a lady, because Amex has a long memory.

Guyatthebeach

Re: How reliable are Pre-Qualifications from AMEX?

Anonymous — Wed, 10 Jul 2019 03:36:04 GMT

To add a DP to this thread I had a Pre-approval for the Amex Blue which is the MR version of the BCE at the time of my initial app for the BCE. Both cards had fixed rates went with the BCE and was approved apped for the Blue aswell and it was a denial. I have heard some people was lucky to get 2 back to back.

Re: How reliable are Pre-Qualifications from AMEX?

Anonymous — Sat, 13 Jul 2019 00:38:11 GMT

I had a previous collection with AMEX back in 2016 that I paid 75% off and settled. I have one current collection on my report that I haven't paid off and my score at the time was 620 Experian. I did the pre qualify and got offered the Delta Gold and took it with a $1000 CL. So IMO the chances are probally good still if you got pre-approved.