topic Re: Application Advice in Credit Card Applications

Application Advice

Anonymous — Sun, 18 Apr 2021 20:35:59 GMT

Hi All,

I'm looking for some pretty quick advice if possible. I'm working on a home purchase, and my lender has told me that I need to apply for a credit card to boost my score a bit (Ficos range from 650-680). I'm at about 38% utilization for CCs currently. I needs to be a major bank card, and I'd like to go through NFCU to apply considering I have a strong realtionship with them, but I also have an open (credit approved) mortgage loan with NFCU while I'm waiting to find a property and I don't want to risk messing that approval up. NFCU is not the lender recommending the CC app.

Any recommendations for a card that I may get an easy approval with? Since I'm being told to apply, I'm hoping for something with a Balance Transfer SUB that I can use to my benefit for the after-closing purchases (furniture, appliances, etc.).

Re: Application Advice

AllZero — Sun, 18 Apr 2021 21:12:10 GMT

@Anonymous wrote:
Hi All,
I'm looking for some pretty quick advice if possible. I'm working on a home purchase, and my lender has told me that I need to apply for a credit card to boost my score a bit (Ficos range from 650-680). I'm at about 38% utilization for CCs currently. I needs to be a major bank card, and I'd like to go through NFCU to apply considering I have a strong realtionship with them, but I also have an open (credit approved) mortgage loan with NFCU while I'm waiting to find a property and I don't want to risk messing that approval up. NFCU is not the lender recommending the CC app.

Any recommendations for a card that I may get an easy approval with? Since I'm being told to apply, I'm hoping for something with a Balance Transfer SUB that I can use to my benefit for the after-closing purchases (furniture, appliances, etc.).

Are those your mortgage scores, EX2, TU4, EQ5?

Do you know your middle score?

If you are in a position to do so, I would recommend lowering your aggregate and individual utilization % for score increases.

Re: Application Advice

GApeachy — Sun, 18 Apr 2021 21:07:28 GMT

...also, you can check certain lenders on this preapproval soft pull thread (ie. wells fargo) to see.

https://ficoforums.myfico.com/t5/General-Credit-Topics/Soft-pull-PREAPPROVALs-Updated-4-15-21/td-p/5938753

Good Luck!!!!!!

Re: Application Advice

Anonymous — Sun, 18 Apr 2021 21:47:08 GMT

Thanks for the advice. I'm definitely working on my utilization. The lender recommended the credit card app in addition as a suggestion from their Rapid Rescore software.

My mortgage scores (he acutally just did an updated pull since I've crossed my 90-day mark) are: Exp: 668 TU:665 and EQF: 613 (one of my student loan companies recently reported a 30-day late to Equifax when the loan should have been reported as in Forebearance.

According to MyFico, my current CC scores are: EQ: 642 TU: 650 and Experian 648

I'll be trying to find a card that uses either TU or Experian Primarily.

Re: Application Advice

Anonymous — Sun, 18 Apr 2021 21:48:59 GMT

Thanks. Up until I started applying for mortgage loans, I was getting a pre-qualified AMEX offer, but when I check their site now, it says I dont' have any pre-qualifides. I was hoping to go with a Citi Card, but I'm nervous that they'll decline me and this is a 1-shot deal. If i get approved, great. If I don't - I hurt myself more in terms of the mortgage.

Re: Application Advice

Ficoproblems247 — Sun, 18 Apr 2021 21:55:14 GMT

This can be a tricky question. Did your LO recommend you to apply solely to lower your aggregate utilization? What's the raw dollar amount we are talking here? With 650-680 scores I'm not saying you're in bad shape, but that doesn't necessarily sound like you're rock solid for a break out approval from a major bank card that is going to drastically lower you aggregate utilization. I know that NFCU can certainly be a big exception to the norm. If your total revolving balance is already on the lower side but you have a low total CL causing the higher utilization I could see where it could come into play. I understand the fundamental thinking behind it, but this just seems counterintuitive to me.

Re: Application Advice

silver_idle — Sun, 18 Apr 2021 21:59:34 GMT

@Anonymous wrote:
Hi All,
I'm looking for some pretty quick advice if possible. I'm working on a home purchase, and my lender has told me that I need to apply for a credit card to boost my score a bit (Ficos range from 650-680). I'm at about 38% utilization for CCs currently. I needs to be a major bank card, and I'd like to go through NFCU to apply considering I have a strong realtionship with them, but I also have an open (credit approved) mortgage loan with NFCU while I'm waiting to find a property and I don't want to risk messing that approval up. NFCU is not the lender recommending the CC app.

Any recommendations for a card that I may get an easy approval with? Since I'm being told to apply, I'm hoping for something with a Balance Transfer SUB that I can use to my benefit for the after-closing purchases (furniture, appliances, etc.).

Have you tried seeing if you can get a CLI instead of opening a new account. Many wont do a HP and CLI will lower your overall utilization and increase your scores without impacting unlike opening a new account which would likely require an HP, new account, which would also have an impact on your AAoA. On top of that, many accounts wont report for the first billing cycle (eg capital one, amex) so applying wont always see a instant improvement in scores.

Re: Application Advice

Ficoproblems247 — Sun, 18 Apr 2021 22:03:13 GMT

@silver_idle wrote:
@Anonymous wrote:
Hi All,
I'm looking for some pretty quick advice if possible. I'm working on a home purchase, and my lender has told me that I need to apply for a credit card to boost my score a bit (Ficos range from 650-680). I'm at about 38% utilization for CCs currently. I needs to be a major bank card, and I'd like to go through NFCU to apply considering I have a strong realtionship with them, but I also have an open (credit approved) mortgage loan with NFCU while I'm waiting to find a property and I don't want to risk messing that approval up. NFCU is not the lender recommending the CC app.

Any recommendations for a card that I may get an easy approval with? Since I'm being told to apply, I'm hoping for something with a Balance Transfer SUB that I can use to my benefit for the after-closing purchases (furniture, appliances, etc.).
Have you tried seeing if you can get a CLI instead of opening a new account. Many wont do a HP and CLI will lower your overall utilization and increase your scores without impacting unlike opening a new account which would likely require an HP, new account, which would also have an impact on your AAoA. On top of that, many accounts wont report for the first billing cycle (eg capital one, amex) so applying wont always see a instant improvement in scores.

^^^Exactly. If you applied and were approved for an AMEX today it would not be on your reports for 2, possibly even 3 months from now.

Re: Application Advice

GApeachy — Sun, 18 Apr 2021 22:03:23 GMT

Applying and receiving a new tl hurts your scores by a few pts. short term. Not all that sure about the affect on mortgage scores though.

How far out are you from apping with this LO/FI?

When my bank hp'd me a couple of weeks ago Amex removed all of their pre-approvals from me.

The only thing I can think of where you "might" save a hp is doing the Comenity SCT. I've gotten some nice visa/mastercards that way but if you're close to apping for a mortgage, most of the time it's advised not to app within a one year timeframe.

Btw, I lost my pre-approvals with citibank for home depot after my bank did that same hp. ...and that included mail offer that was after the hp. I checked online pre-approval and it dried up.

Re: Application Advice

Anonymous — Mon, 19 Apr 2021 01:14:20 GMT

@GApeachy wrote:
Applying and receiving a new tl hurts your scores by a few pts. short term. Not all that sure about the affect on mortgage scores though.
How far out are you from apping with this LO/FI?
When my bank hp'd me a couple of weeks ago Amex removed all of their pre-approvals from me.
The only thing I can think of where you "might" save a hp is doing the Comenity SCT. I've gotten some nice visa/mastercards that way but if you're close to apping for a mortgage, most of the time it's advised not to app within a one year timeframe.
Btw, I lost my pre-approvals with citibank for home depot after my bank did that same hp. ...and that included mail offer that was after the hp. I checked online pre-approval and it dried up.

I'm placing an offer tomorrow and if accepted, I'd basically start the hard app this week. I was familiar with the not apping within the one year time frame, but the lender says that it will likely help. I assume it's to pad my DTI. I've done CLIs across my cards, but they're still recommending I do the app.

Re: Application Advice

Anonymous — Mon, 19 Apr 2021 01:16:51 GMT

@silver_idle wrote:
@Anonymous wrote:
Hi All,
I'm looking for some pretty quick advice if possible. I'm working on a home purchase, and my lender has told me that I need to apply for a credit card to boost my score a bit (Ficos range from 650-680). I'm at about 38% utilization for CCs currently. I needs to be a major bank card, and I'd like to go through NFCU to apply considering I have a strong realtionship with them, but I also have an open (credit approved) mortgage loan with NFCU while I'm waiting to find a property and I don't want to risk messing that approval up. NFCU is not the lender recommending the CC app.

Any recommendations for a card that I may get an easy approval with? Since I'm being told to apply, I'm hoping for something with a Balance Transfer SUB that I can use to my benefit for the after-closing purchases (furniture, appliances, etc.).
Have you tried seeing if you can get a CLI instead of opening a new account. Many wont do a HP and CLI will lower your overall utilization and increase your scores without impacting unlike opening a new account which would likely require an HP, new account, which would also have an impact on your AAoA. On top of that, many accounts wont report for the first billing cycle (eg capital one, amex) so applying wont always see a instant improvement in scores.

I've gotten significant CLIs on a few of my accounts, but they're still recommending that I do the app. I asked all the questions about being sure, and they say that they will enter the new card and limit amount manually into their rapid rescore system to improve my score instead of waiting until the first billing cycle.

Re: Application Advice

Anonymous — Mon, 19 Apr 2021 01:18:09 GMT

@Ficoproblems247 wrote:
This can be a tricky question. Did your LO recommend you to apply solely to lower your aggregate utilization? What's the raw dollar amount we are talking here? With 650-680 scores I'm not saying you're in bad shape, but that doesn't necessarily sound like you're rock solid for a break out approval from a major bank card that is going to drastically lower you aggregate utilization. I know that NFCU can certainly be a big exception to the norm. If your total revolving balance is already on the lower side but you have a low total CL causing the higher utilization I could see where it could come into play. I understand the fundamental thinking behind it, but this just seems counterintuitive to me.

It defintiely seemed counterintuitive to me, so I asked 1,000 questions to be sure, but they assure me that it will help. They said that the new card must have a minimum $500 limit.

Re: Application Advice

Ficoproblems247 — Mon, 19 Apr 2021 01:44:19 GMT

@Anonymous wrote:
@Ficoproblems247 wrote:
This can be a tricky question. Did your LO recommend you to apply solely to lower your aggregate utilization? What's the raw dollar amount we are talking here? With 650-680 scores I'm not saying you're in bad shape, but that doesn't necessarily sound like you're rock solid for a break out approval from a major bank card that is going to drastically lower you aggregate utilization. I know that NFCU can certainly be a big exception to the norm. If your total revolving balance is already on the lower side but you have a low total CL causing the higher utilization I could see where it could come into play. I understand the fundamental thinking behind it, but this just seems counterintuitive to me.
It defintiely seemed counterintuitive to me, so I asked 1,000 questions to be sure, but they assure me that it will help. They said that the new card must have a minimum $500 limit.

Very interesting. There must be more to the equation than just util that they are trying to bolster with an additional CC, especially if they're giving you a minimum $500 amount. As long as your LO has been knowledgeable and trustworthy so far, hopefully they know exactly what they're targeting and how to get you there. Regardless of what happens, I wish you the best of luck, and smooth sailing throughout the process. Let us all know how things pan out!

Re: Application Advice

Anonymous — Mon, 19 Apr 2021 02:06:02 GMT

@Ficoproblems247 wrote:
@Anonymous wrote:
@Ficoproblems247 wrote:
This can be a tricky question. Did your LO recommend you to apply solely to lower your aggregate utilization? What's the raw dollar amount we are talking here? With 650-680 scores I'm not saying you're in bad shape, but that doesn't necessarily sound like you're rock solid for a break out approval from a major bank card that is going to drastically lower you aggregate utilization. I know that NFCU can certainly be a big exception to the norm. If your total revolving balance is already on the lower side but you have a low total CL causing the higher utilization I could see where it could come into play. I understand the fundamental thinking behind it, but this just seems counterintuitive to me.
It defintiely seemed counterintuitive to me, so I asked 1,000 questions to be sure, but they assure me that it will help. They said that the new card must have a minimum $500 limit.
Very interesting. There must be more to the equation than just util that they are trying to bolster with an additional CC, especially if they're giving you a minimum $500 amount. As long as your LO has been knowledgeable and trustworthy so far, hopefully they know exactly what they're targeting and how to get you there. Regardless of what happens, I wish you the best of luck, and smooth sailing throughout the process. Let us all know how things pan out!

Thanks! They've been excellent so far, and willing to answer all of my questions. It's the only reason I trust doing this. I really really want the card to be an NFCU card, but I'm so scared that they will decline me due to the open mortgage app.

Re: Application Advice

Heatt99 — Mon, 19 Apr 2021 07:22:07 GMT

How about BB&T SP app??

Can you get a secured card or it has to be unsecured?

I guess they are asking for a primary account and no AU?

Mortgage and CC are under two different underwriter with Navy, call mortgage underwriter and ask if applying for CC would do harm to mortgage app.

Re: Application Advice

Anonymous — Mon, 19 Apr 2021 17:33:34 GMT

@Heatt99 wrote:
How about BB&T SP app??

Can you get a secured card or it has to be unsecured?

I guess they are asking for a primary account and no AU?

Mortgage and CC are under two different underwriter with Navy, call mortgage underwriter and ask if applying for CC would do harm to mortgage app.

They specifically said that they wanted an inquiry to appear for a major credit card - no mention of AU or CLI being acceptable. I decided not to worry with Navy - just to be sure. I did try BB&T, but didn't get any results.

Re: Application Advice

Anonymous — Mon, 19 Apr 2021 17:37:19 GMT

Just an update for everyone...

I tried the Discover pre-approval checker since I had a card with them already (Discover IT Cash opened 11/2019). I figured it was a long-shot, and I was nervous that even if approved that I would end up with a tiny limit (My first card SL was $500).

After entering my info, Discover came back with 3 offers: Cash Back, Miles, and Gas and Grocery. I went ahead with the miles since Cap1 VentureOne is my only travel card so far, and I have several CB and Gas/Grocery leaning cards. - Approved Automatically w/ a $5000 limit. Also received a 14-months no interest on purchases and BTs.

Thanks so much for all of your help!

Re: Application Advice

FinStar — Mon, 19 Apr 2021 22:54:58 GMT

Thanks for the update and congrats on the approval @Anonymous👍. Glad to hear things worked out.

Locking this thread as you have been approved. Feel free to start a new thread in the Approvals section if you wish to do so.