topic Re: AMEX: Not sure why I was denied. in Credit Card Applications

AMEX: Not sure why I was denied.

Anonymous — Sat, 25 Jul 2020 06:58:25 GMT

FICO8 sitting at 721. Website showed I had a preapproval so applied for AMEX Cash Magnet. Got denied and the letter shows up and says "You are participating in a payment relief or deferral program, receiving modified terms, or credit counseling services, on one or more of your accounts or loans."

I called AMEX to dispute this since I have never filed for any bankruptcy, asked for forebearance, or any of the sort. So I call Experian and explain the situation. We reviewed everything on my report together.....going line by line and Experian rep did not see anything of the sort. Only thing derogatory was a current account with a 30 day late payment about 6.5 years ago. I doubt that would disqualify me for anything since I've applied for multiple tradelines over those 6.5 years without any issue. So the Experian rep said I can't dispute anything that isn't incorrect on my report.

Call AMEX back and explain to them that there is nothing derogatory. Then they tell me that they can submit to underwriting for further review. A few days go by and I follow up and it's still denied. Called today and spoke to a supervisor to ask if I could get a copy of the report that they are using to make that decision which she refused. She said that I could fax in a copy of my Experian report to go to underwriting for reconsideration. She then tells me that it has something to do with my Freedom Mortgage reporting the derogatory remark. Told her that I'm looking at the report and there is nothing derogatory on here. She also went so far as to say that maybe the Experian rep was new any might have missed it. Doubtful As for my mortgage, it's been paid on time and as a matter of fact, we just refinanced and signed the docs about a week ago. My wife confirmed a few days ago that our mortgage was paid in full.

Is there a different approach I can take with AMEX? My wife asked why do I care so much about AMEX...told her it's the principal. They are using incorrect information (not sure where they are getting it) to make a decision about me. At this point I don't care about the card. I just want to find out about this "credit report" they are using.

Makes me think if the credit bureaus use a different report: one for consumer, and one for creditor. Experian rep assured me its the same report. Hmmmm?

Re: AMEX: Not sure why I was denied.

dogmeat — Sat, 25 Jul 2020 07:46:41 GMT

I am assuming you are looking at a recently obtained paper copy of your report sent directly to you via snail mail from Experian? If not, do that, before you do anything else.

(Also, just in case, since you didn't mention it, and the fact that you didn't mention it stands out like a 800lb gorilla, the decline reason sounds very much like they think you have accepted COVID-19 related deferred payments on some account.)

Re: AMEX: Not sure why I was denied.

Anonymous — Sat, 25 Jul 2020 08:09:58 GMT

That's what's frustrating. Never took any deferred payments. Also, assuming that I did, wouldn't it show on my report? I'm trying to find something ok n my report that would give me something to dispute, but there was nothing.

As for paper report, is it different than what I see when I get my report online?

Re: AMEX: Not sure why I was denied.

Brian_Earl_Spilner — Sat, 25 Jul 2020 08:42:12 GMT

Check the comments in your report. Lenders like Wells Fargo have been putting people into a deferment plan without somebody's knowledge claiming that it was a proactive attempt to help them.

Re: AMEX: Not sure why I was denied.

Brian_Earl_Spilner — Sat, 25 Jul 2020 08:46:38 GMT

Sorry, it might have been Citi doing it by example, don't remember right now. Anyways, the government was giving lenders money to help offset deferments, so lenders were putting people in deferment without telling them, and while they were still paying them, and it didn't come to light until something like this happened.

Re: AMEX: Not sure why I was denied.

CreditInspired — Sat, 25 Jul 2020 12:55:42 GMT

Hi OP and welcome to myFICO.

Brian_Earl_Spilner is correct. I even posted about WF in the CreditNews forum.

A question. Why are you only checking EX. AmX may have done a SP on EQ & TU. You should order your reports online for free from www.annualcreditreport.com. You need to confirm that there's nothing in the comment section about a deferment or anything negative.

Also, did you or your wife call any creditor just to ask a question about deferment once the pandemic started. I ask this question because an over anxious CSR may have thought it was a request for deferment. Just trying to figure this out along with you.

Re: AMEX: Not sure why I was denied.

Anonymous — Sat, 25 Jul 2020 18:52:42 GMT

I checked all the comment sections of all reports (online) and nothing mentioned about anything deferred.

Re: AMEX: Not sure why I was denied.

M_Smart007 — Sat, 25 Jul 2020 18:36:15 GMT

@Anonymous wrote:
I checked all the comment sections of all reports and nothing mentioned about anything deferred.

Sorry OP .. Decline is more than likely, due to Amex tightening the purse strings?

(Many lenders have tightened right now)

I would say, wait and re-apply once the Covid-19 storm is over. JMO

You might read on Amex's struggle ...

https://www.reuters.com/article/us-american-express-results/amex-profit-tumbles-85-as-pandemic-related-defaults-loom-idUSKCN24P1AQ

Re: AMEX: Not sure why I was denied.

Anonymous — Sat, 25 Jul 2020 19:08:10 GMT

So I pulled my Tranunion report from annual credit report. There are some remarks under my mortgage. There are two months (March & April) with "AND" annotated under the remarks section. I called in March if they offered deferred which they didn't but could apply for forbearance. I was just on a fact finding mission to get information in case SHTF. I am a salaried Healthcare worker and not impacted by COVID...we actually saw a slight uptick in patients for our surgical center.

Re: AMEX: Not sure why I was denied.

ZackAttack — Sat, 25 Jul 2020 19:48:30 GMT

@Anonymous wrote:
So I pulled my Tranunion report from annual credit report. There are some remarks under my mortgage. There are two months (March & April) with "AND" annotated under the remarks section. I called in March if they offered deferred which they didn't but could apply for forbearance. I was just on a fact finding mission to get information in case SHTF. I am a salaried Healthcare worker and not impacted by COVID...we actually saw a slight uptick in patients for our surgical center.

You say March and April and an annotated, do you happen to be talking about this March and April 2020???

If so, sounds like Amex may have SP another lender to confirm data.

Re: AMEX: Not sure why I was denied.

Loquat — Sat, 25 Jul 2020 22:27:07 GMT

The long and the short of it is that times are tough and lenders are cutting back. Their reasoning may not make sense and I'd be willing to bet that their approval algorithm is changing just as much as the information we get daily on the evening news.

I know we're all free to go about this hobby as we so desire but if I could offer a blanket statement about this hobby in general is that unless one really needs the credit, I wouldn't even bother at the moment.

Chances are that even with an approval the limits aren't going to be as fruitful as they would have been 6 months ago.

We will get this behind us but there is still so much uncertainty in the economy that lenders are smart to tighten up a bit...no matter where the source of the info comes from, one thing is constant is that unemployment is really high and that tends to lead to defaults.

At this point I wouldn't give any thought to what a lender is putting as a reason for denial as none of it probably makes sense during normal times.

Good luck if you decide to push forward with it OP.

Re: AMEX: Not sure why I was denied.

M_Smart007 — Sun, 26 Jul 2020 09:28:39 GMT

@Loquat, Well Stated!!!

Re: AMEX: Not sure why I was denied.

randomguy1 — Sun, 26 Jul 2020 22:38:57 GMT

@Anonymous wrote:
So I pulled my Tranunion report from annual credit report. There are some remarks under my mortgage. There are two months (March & April) with "AND" annotated under the remarks section. I called in March if they offered deferred which they didn't but could apply for forbearance. I was just on a fact finding mission to get information in case SHTF. I am a salaried Healthcare worker and not impacted by COVID...we actually saw a slight uptick in patients for our surgical center.

That looks like it's the case. Get them removed.

Re: AMEX: Not sure why I was denied.

Meanmchine — Mon, 27 Jul 2020 00:40:44 GMT

Sorry abot your denial

You can check the minor bureaus like Sagestream and ChexSystems