topic AOD denial for DTI in Credit Card Applications

AOD denial for DTI

GatorGuy — Wed, 26 May 2021 16:11:20 GMT

UPDATE: So after recon they came back and offered $5k. This is half of DW lowest CL. Sounds like they basically denied all of her self employed income although it was stable and from the same companies for years. Never seen anyone bat an eye before including for a mortgage, refi and multiple car loans.

Hopefully they'll give frequent CLI although I'm not holding my breath.😂

Original post:

Wife just got outright denied. I'm trying to see if they will do recon for a lower limit since she applied for $25k but not sure they will since they didn't offer a lower CL.

Reason for denial was DTI but our monthly DTI is 7% and we don't carry any CC balances. She had no inquiries since June of 2020 and had 3 at that time for a refi. Her FICO 8 EQ is 817. $25k would be her second lowest CL. TCL is maybe half our annual income.

Anyone have any luck in getting AOD to recon?

Re: AOD denial for DTI

CreditCuriosity — Tue, 25 May 2021 22:41:47 GMT

@GatorGuy wrote:
Wife just got outright denied. I'm trying to see if they will do recon for a lower limit since she applied for $25k but not sure they will since they didn't offer a lower CL.

Reason for denial was DTI but our monthly DTI is 7% and we don't carry any CC balances. She had no inquiries since June of 2020 and had 3 at that time for a refi. Her FICO 8 EQ is 817. $25k would be her second lowest CL. TCL is maybe half our annual income.

Anyone have any luck in getting AOD to recon?

You sure your DTI is 7% or do you mean utilization?

Re: AOD denial for DTI

Slabenstein — Tue, 25 May 2021 22:51:57 GMT

Reports here seem to indicate that AOD can be pretty picky/conservative about what they consider income. Was the income your wife put down on that app all from her own non-bonus salary/wages, or does she have other sources?

Re: AOD denial for DTI

GatorGuy — Tue, 25 May 2021 23:13:44 GMT

@CreditCuriosity wrote:
@GatorGuy wrote:
Wife just got outright denied. I'm trying to see if they will do recon for a lower limit since she applied for $25k but not sure they will since they didn't offer a lower CL.

Reason for denial was DTI but our monthly DTI is 7% and we don't carry any CC balances. She had no inquiries since June of 2020 and had 3 at that time for a refi. Her FICO 8 EQ is 817. $25k would be her second lowest CL. TCL is maybe half our annual income.

Anyone have any luck in getting AOD to recon?
You sure your DTI is 7% or do you mean utilization?

DTI is 7%. Utilization was 6%.

Re: AOD denial for DTI

GatorGuy — Tue, 25 May 2021 23:14:38 GMT

@Slabenstein wrote:
Reports here seem to indicate that AOD can be pretty picky/conservative about what they consider income. Was the income your wife put down on that app all from her own non-bonus salary/wages, or does she have other sources?

She is self employed but has 1099 income all in her name.

Re: AOD denial for DTI

Slabenstein — Tue, 25 May 2021 23:19:26 GMT

@GatorGuy wrote:
@Slabenstein wrote:
Reports here seem to indicate that AOD can be pretty picky/conservative about what they consider income. Was the income your wife put down on that app all from her own non-bonus salary/wages, or does she have other sources?
She is self employed but has 1099 income all in her name.

If her actual monthly DTI is so low, then it may be that they're not counting all of that income for whatever reason. They should be able to tell her if that's the issue.

Re: AOD denial for DTI

Anonymous — Wed, 26 May 2021 00:35:44 GMT

@GatorGuy wrote:
Wife just got outright denied. I'm trying to see if they will do recon for a lower limit since she applied for $25k but not sure they will since they didn't offer a lower CL.

Reason for denial was DTI but our monthly DTI is 7% and we don't carry any CC balances. She had no inquiries since June of 2020 and had 3 at that time for a refi. Her FICO 8 EQ is 817. $25k would be her second lowest CL. TCL is maybe half our annual income.

Anyone have any luck in getting AOD to recon?

Does DW have SLs on any sort of income based repayment plan?

Re: AOD denial for DTI

babygirl1256 — Wed, 26 May 2021 01:59:25 GMT

@GatorGuy Wow, denial with a 817 credit score is a bummer . . . Hoping that DW is approved on a recon!

Re: AOD denial for DTI

M_Smart007 — Wed, 26 May 2021 14:16:08 GMT

@GatorGuy, Sorry for DW's denial

Re: AOD denial for DTI

GatorGuy — Wed, 26 May 2021 16:12:26 GMT

@Anonymous wrote:
@GatorGuy wrote:
Wife just got outright denied. I'm trying to see if they will do recon for a lower limit since she applied for $25k but not sure they will since they didn't offer a lower CL.

Reason for denial was DTI but our monthly DTI is 7% and we don't carry any CC balances. She had no inquiries since June of 2020 and had 3 at that time for a refi. Her FICO 8 EQ is 817. $25k would be her second lowest CL. TCL is maybe half our annual income.

Anyone have any luck in getting AOD to recon?
Does DW have SLs on any sort of income based repayment plan?

Everything is PIF every month.

Re: AOD denial for DTI

GatorGuy — Wed, 26 May 2021 16:13:50 GMT

@babygirl1256 wrote:
@GatorGuy Wow, denial with a 817 credit score is a bummer . . . Hoping that DW is approved on a recon!

Just posted an update. She was approved for $5k which is practically useless but at least doesn't waste her HP.

Re: AOD denial for DTI

AverageJoesCredit — Wed, 26 May 2021 16:20:21 GMT

@GatorGuy wrote:
@babygirl1256 wrote:
@GatorGuy Wow, denial with a 817 credit score is a bummer . . . Hoping that DW is approved on a recon!
Just posted an update. She was approved for $5k which is practically useless but at least doesn't waste her HP.

Doesnt make sense how a 5k line is useless but i guess when one is accustomed to the higher life of credit , 5k is ridiculous lol. Id recommend looking for lenders who only give out high limits because one will surely be disappointed with vast majority of lenders.

Re: AOD denial for DTI

babygirl1256 — Wed, 26 May 2021 20:37:05 GMT

@GatorGuy Congrts to DW on the approval . . . it's ok to start low -and- progress with time.

Re: AOD denial for DTI

Anonymous — Wed, 26 May 2021 20:56:58 GMT

@GatorGuy wrote:
@Anonymous wrote:
@GatorGuy wrote:
Wife just got outright denied. I'm trying to see if they will do recon for a lower limit since she applied for $25k but not sure they will since they didn't offer a lower CL.

Reason for denial was DTI but our monthly DTI is 7% and we don't carry any CC balances. She had no inquiries since June of 2020 and had 3 at that time for a refi. Her FICO 8 EQ is 817. $25k would be her second lowest CL. TCL is maybe half our annual income.

Anyone have any luck in getting AOD to recon?
Does DW have SLs on any sort of income based repayment plan?
Everything is PIF every month.

Sorry, SLs is student loans. They are very sensitive to them, which causes DTI issues even when on income based repayment plans. They used a 2% calculation of my balance as the monthly payment, even though my payments at the time were $15/mo, they calculated almost $2500/mo in payments!

Re: AOD denial for DTI

FinStar — Wed, 26 May 2021 22:09:23 GMT

As the OP has indicated DW was approved, this thread is now locked and closed to new messages.