topic Re: Building my credit in Credit Card Applications

Building my credit

judokaal — Sun, 20 Jan 2019 06:26:03 GMT

Hello, I've been lurking on this forum for a while soaking in the info- thanks to the many knowledgable folks here!
My situation:
A year ago (Aug '18) my credit score was 580
- HP for a Paypal line of credit ($250)
- 2 HP from apartment hunting (my building got sold, and had to move within a month)
At this point I had some expenses that were coming up for the move, and I decided to try applying for a card- after not having had one for at least 15 years, and I got a QS1 - with a $300 CL. Needed at the time, and I have been PIF every month since.

Now my credit score is 720 TU / 723 EX
So I decided to try applying for a second card- one without an annual fee- Chase freedom unlimited
I got a $3900 CL there. My plans are to just use it to pay my phone bill and internet for a few months to secure the sign up bonus.

My score hasn't dropped yet as a result of the new card and what will be the subsequent hit to AAoA and AoYA- I have a little time until that card reports.

My question is: would it be most beneficial to wait and see what the full impact of this card is on my score or should I apply for another card while my score is still higher to have a stronger base of older accounts going forward ?

Thanks!

Re: Building my credit

DIYcredit — Sun, 20 Jan 2019 09:30:25 GMT

If you open another cc it will lower your AAOA even more plus another hard inquiry.You should use the capital one and chase cc's to build a solid pattern of monthly on time payments.You should'nt apply for any more cc's any time soon.Having a cc with no apr is great to have.When I was rebuilding, I used what cc's I had to build a long history of on time payment to graduate up to better cc's with no annual fee and great rewards.It's seems your doing fine. I hope this helps.

Re: Building my credit

Anonymous — Sun, 20 Jan 2019 11:42:01 GMT

I wouldn’t go for another card right after being approved for a Chase card, they don’t like credit seeking behavior and have been known to flat out close accounts for doing it. Give it at least 3 months before you put another app in, 6 months if you really want to be on the safe side.

Rebuilding takes time. Congratulations on the approval!

Re: Building my credit

SouthJamaica — Sun, 20 Jan 2019 15:53:16 GMT

@judokaal wrote:
Hello, I've been lurking on this forum for a while soaking in the info- thanks to the many knowledgable folks here!
My situation:
A year ago (Aug '18) my credit score was 580
- HP for a Paypal line of credit ($250)
- 2 HP from apartment hunting (my building got sold, and had to move within a month)
At this point I had some expenses that were coming up for the move, and I decided to try applying for a card- after not having had one for at least 15 years, and I got a QS1 - with a $300 CL. Needed at the time, and I have been PIF every month since.

Now my credit score is 720 TU / 723 EX
So I decided to try applying for a second card- one without an annual fee- Chase freedom unlimited
I got a $3900 CL there. My plans are to just use it to pay my phone bill and internet for a few months to secure the sign up bonus.

My score hasn't dropped yet as a result of the new card and what will be the subsequent hit to AAoA and AoYA- I have a little time until that card reports.

My question is: would it be most beneficial to wait and see what the full impact of this card is on my score or should I apply for another card while my score is still higher to have a stronger base of older accounts going forward ?

Thanks!

I agree with @Anonymous and @DIYcredit that you should wait. Together they have provided the reasons why.

Re: Building my credit

Girlzilla88 — Fri, 08 Feb 2019 20:30:08 GMT

I also agree you should wait I raised mine to 755 did 2 CC (unsecured) and switched my other secured to unsecured when I refinanced my car (that last two was considered 1 hit) so I had 3 hits from all together and my score dropped 100 points from it....mostly from changing the AAoA so if you can spread them out definitely do my strategy was more so to have a history since I only had the secured at the time so when my car is paid off everything will be over 3 years AAoA so it kind of had a point but it just sucks rebuilding in the meantime LOL Good luck

Re: Building my credit

jamie123 — Fri, 08 Feb 2019 23:14:07 GMT

Okay, I'm clearly on the other side of the fence as the other posters but it depends...

How long into the future can you foresee you really needing more and important credit? Like for a car or mortgage?

If it is longer than one year, you should app for 2 more cards right now. Sure you will take a score hit, but it will recover and probably be much higher a year from now. It is the price we have to pay to build a thick file. You will eventually have to take a hit at some point so why not now?

I would recommend applying for a Discover IT and then an AMEX BCE right now. Both companies like people with thin files but highish scores.

Really...At this point you have very little to lose except a bit of pride and everything to gain if you are approved for both CCs.

At worst case you get turned down now and can reapply in six months like the other posters recommend but if you get approved you are 6 months ahead of the game. Time is one part of the equation that keeps moving on. Get what you need as soon as you can IMHO.

Good luck!!

Let us know what you decide and how it turns out.

Re: Building my credit

judokaal — Sat, 08 Jun 2019 23:20:48 GMT

Tuning back in after a hiatus-

So I did decide to wait a bit, and I just applied for the CSP online, and got an instant approval for $5300- I sought out that card specifically for some upcoming travel this year ( wedding in india, more than average domestic trips coming up over the next few months ). I think I am good for the time being, and will just let the garden grow- my oldest card will be turning 1 in 2 months. Many thanks for the help of folks on this forum. After avoiding credit most of my adult life, this forum has really helped me get things going- from 0 to $9700 of credit in less than a year. Looking forward to keep building!

Re: Building my credit

SouthJamaica — Sat, 08 Jun 2019 23:28:32 GMT

@judokaal wrote:
Hello, I've been lurking on this forum for a while soaking in the info- thanks to the many knowledgable folks here!
My situation:
A year ago (Aug '18) my credit score was 580
- HP for a Paypal line of credit ($250)
- 2 HP from apartment hunting (my building got sold, and had to move within a month)
At this point I had some expenses that were coming up for the move, and I decided to try applying for a card- after not having had one for at least 15 years, and I got a QS1 - with a $300 CL. Needed at the time, and I have been PIF every month since.

Now my credit score is 720 TU / 723 EX
So I decided to try applying for a second card- one without an annual fee- Chase freedom unlimited
I got a $3900 CL there. My plans are to just use it to pay my phone bill and internet for a few months to secure the sign up bonus.

My score hasn't dropped yet as a result of the new card and what will be the subsequent hit to AAoA and AoYA- I have a little time until that card reports.

My question is: would it be most beneficial to wait and see what the full impact of this card is on my score or should I apply for another card while my score is still higher to have a stronger base of older accounts going forward ?

Thanks!

No, you should stop applying for cards now.

Re: Building my credit

judokaal — Fri, 05 Jul 2019 16:58:08 GMT

Using this time to plot next moves, I am thinking for over the next year:
1. Chase Ink Cash - 50K bonus points and useful multiplier categories, moreso than the Chase Freedom from what I have looked at over the last few years (no car, no big box store account, live alone so grocery bills are fairly low). I work as a freelancer and I also book talent occasionally, so I think I won't have a problem being seen as a business. Would stay as a keeper card.
2. Barclays AAdvantage Aviator Red - Living in an AA hub city, 50K miles + $99 companion pass for that first year's AF makes sense to me. Then downgrade to no-fee Aviator. This would put me at 4/24.
3. At some point soonish I want to do something about be QS1 - the card turns 1 (my oldest), and the AF hits in August. It seems that PC to a no annual fee card is unlikely from what I have read on here. It is only adding $500 to my overall credit limit, which doesn't seem worth another $39 when I have the CFU and CSP giving me a combined limit of $9200.

Thoughts?

Re: Building my credit

Anonymous — Fri, 05 Jul 2019 18:01:40 GMT

1. if you have a use for it and can get approved go for it. It won't report on your personal reports like some other lenders do w/ Biz accounts.

2. Barclay can be your best friend or your worst enemy depending on what you do surrounding an app with them. If your TU is decent then it's likely an approval but, you're a bit on the "thin" side.

3. I despise C1 with how they run things over there. Since it's likely your oldest or close to it... try the PC option before kicking them to the curb. Culling them from the herd though wouldn't be a bad idea and if you like them in any remote sense of the word try again for a higher end card when you're 750+ and see what you're able to snag with a CL/Bonus at that point.

Another tidbit of info / advice.... diversify things a bit by looking into other banks besides Chase... you don't want to end up having them close everything down and be left with $0 CL because all of your eggs are in their basket. Amex, Disco, BOA, Citi, etc.

IF Barclay's doesn't give in w/ AA then try the Uber Visa just to get in the door. I don't know how the AA UW Requirements are but, they do have some hidden UW where people get tripped up on certain cards for being over a certain number of cards or even INQ to be denied.

Re: Building my credit

judokaal — Fri, 05 Jul 2019 22:03:02 GMT

Thanks for the feedback!
For the Chase Ink Cash I definitely can make a use for it- paying for liability insurance, equipment rentals/upgrades, in addition to putting my internet and phone bills on there.
My TU is currently 715, I think a few more months of tending the cards I have will help raise that more.

I have been thinking about diversification, Chase was my first move due to 5/24 and being a Chase customer, so I thought it would be low hanging fruit. I've been occasionally checking to see if i have any prequals that might change my immediate plan. I didn't have any for Amex until today, where the Delta Skymiles card popped up. With Discover, pre approvals for the Discover it® Cash Back and Chrome. I get offers all the time for the Citi AAdvantage card, so that might be another route to take. I do use uber a lot, so the Uber Card is a good alternative to look into as well.

Re: Building my credit

Anonymous — Fri, 05 Jul 2019 23:20:13 GMT

As long as you don't have blinders on you should be good.

Chase can be finicky but, then again so can other lenders. If you have 1 Amex pop-up then they're all pretty much fair game. Disco is a good one to have even w/o the benefits they used to offer. The Miles card offers 3% for the first year and then drops to 1.5%. Citi has a 6/6 rule that you might be on the cusp of depending on how fast you move on cards and they usually pull 2/3 CR's when you app.

https://www.reddit.com/r/churning/comments/67u9q0/guide_antichurning_rules/ Take a gander at this to come up w/ a plan before pulling the trigger on multiple apps.

Re: Building my credit

judokaal — Tue, 30 Jul 2019 16:23:12 GMT

Any DP on if having a Barclays savings account is beneficial if applying for their cards?

Re: Building my credit

FinStar — Tue, 30 Jul 2019 16:22:21 GMT

@judokaal wrote:
Any DP on if having a Barclays savings account is beneficial on applying for their cards?

That would not provide any type of benefit with an application, unfortunately.

Re: Building my credit

judokaal — Fri, 04 Oct 2019 20:48:35 GMT

Sticking to the plan...
Current scores: FICO8 EX 697 | FICO8 EQ 731 | FICO8 TU 731
Card Statuses:
QS1 ($500)- Just became a year old, payed the $39 AF. Only put Spotify and Tidal Subs on it at the moment + Autopay. I don't think I will get a CLI because of my low use. Is this the time to try PCing? Or should I add a phone bill on there a few months and see if that greases the wheel?
CFU ($3900) - Balance of $1119, with 0% APR until Jan when it turns 1yr, planning to pay that off by Nov/Dec
CSP ($5300) - Paid off some big charges on there, currently balance of $0/ planning to keep PIF

Barclay Aviator Red app successful! $4000 CL
Not an instant approval- it took 5 business days. I think I will use my SUB purchase to reactivate the american miles on my account- would that count as a purchase I would get the 2x on, or is it only for flight purchases?
Update/Edit: Reactivating my miles does count, and least I get 2x on the the reactivation cost

Next up: Chase Ink Cash when I am done paying off the the CFU balance, sometime early 2020.

Re: Building my credit

Medic981 — Thu, 12 Sep 2019 04:03:58 GMT

@judokaal wrote:
Sticking to the plan...
Current scores: FICO8 EX 697 | FICO8 EQ 731 | FICO8 TU 731
Card Statuses:
QS1 ($500)- Just became a year old, payed the $39 AF. Only put Spotify and Tidal Subs on it at the moment + Autopay. I don't think I will get a CLI because of my low use. Is this the time to try PCing? Or should I add a phone bill on there a few months and see if that greases the wheel?

Unfortunately, you are most likely bucketed by Cap1 on your QS1. My QS1 started off at $300 CL, increased to $500 after 6 months, $1000 in a year, $1100 after 15 months and I could not get any further CLIs. I called and spoke with a CSR who told me that I would never be able to PC the card. I called back several times and was told the same thing again and again. It was suggested that I apply for the card that I wanted and then close the QS1.

The QS1 was the first card in my rebuild and because my scores were probably low is why the card was bucketed. Even with my scores near where yours are now, it was a NO GO!

I called just before my AF was due and asked again for a product change to the QS with no AF. I was told they could not PC the card. That is when I closed the account.

Re: Building my credit

judokaal — Fri, 17 Jul 2020 19:42:26 GMT

Just movin' along...
Current scores: FICO8 EX 730 | FICO8 EQ 762 | FICO8 TU 749
Card Statuses:
QS1 ($0/$600)- Approaching 2yr Anniversary end of next month, I will try for a product change- otherwise just close it
CFU ($0/$3900) - A few recurring expenses, keeping PIF
CSP ($0/$7800) - Got the rare Chase Auto CLI a few months ago! Been keeping it PIF
BAR ($0/$7000) - Paid off a Balance Transfer done last September, and got an Auto CLI from $4,000 to $7,000 2 months ago, want to downgrade to the Aviator White before the annual fee hits in September

Business Cards - win!
Applied for both the Chase Ink Business Cash and AMEX Blue Business Preferred this year, and was accepted for both! Both have 0% APRs until early next year, paying these down. Have been putting some of my larger expenses on these with my work being covid-imapcted. Trying to keep the ding to my personal credit minimal.
CIB ($3182/$6900)
BBP ($2521/6200)

No immediate apps in the future, just want to get my scores up - I have a few inquires falling off next month (3 on TU, 1 on EQ), and that paid off Aviator Red should report next week, which will bring my util down to that 0/1% area. Let the Gardening continue, I have 3 monre inquires that fall off in the next 6 months...this board has been so helpful!

Re: Building my credit

K-in-Boston — Sat, 18 Jul 2020 18:10:17 GMT

As there has been no discussion of the application process for any cards in a year, this thread is now closed. OP, congrats on your success and feel free to start approval threads in Business Credit for your new cards and in Credit Card Approvals for your CLIs.