topic Re: USAA Credit limit increase in Credit Card Applications

USAA Credit limit increase

Anonymous — Sun, 12 Sep 2021 17:44:14 GMT

I have had a USAA card for several years. The initial limit was a bit sketch at 500.00 but whatever, interest rate was good and figured I could request a limit increase over time or they would grant one.

Every 6 months I take a hard hit from their inquiries only to be declined. PIF every month (I mean, what can you do with that limit) Until today I had both homeowners and auto insurance until I realized I was paying a premium higher than my son although I don't commit to work, clean driving record and drive less than their minimum policy will support.

FICO in the 710 range. My next lowest card, about 10 months old is NFCU has a 6 K limit.

i understand that you can be placed in buckets where what you have is what you get. Don't want to close the card since it's one of my oldest.

Is this card destined only to be used for an occasional Big Mac and live out its life in the sock drawer??

Re: USAA Credit limit increase

FinStar — Sun, 12 Sep 2021 17:56:22 GMT

@Anonymous wrote:
I have had a USAA card for several years. The initial limit was a bit sketch at 500.00 but whatever, interest rate was good and figured I could request a limit increase over time or they would grant one.

Every 6 months I take a hard hit from their inquiries only to be declined. PIF every month (I mean, what can you do with that limit) Until today I had both homeowners and auto insurance until I realized I was paying a premium higher than my son although I don't commit to work, clean driving record and drive less than their minimum policy will support.

FICO in the 710 range. My next lowest card, about 10 months old is NFCU has a 6 K limit.

i understand that you can be placed in buckets where what you have is what you get. Don't want to close the card since it's one of my oldest.

Is this card destined only to be used for an occasional Big Mac and live out its life in the sock drawer??

You mentioned you've been declined at every 6-month interval, what reason(s) is USAA providing with the declined letters?

If the CL hasn't changed since you were approved, it's likely in some sort of risk 'tranche' (i.e. bucket), so it's possible it may not change much in the future.

Was this card obtained during a rebuild or when conditions were less stellar on your credit profile?

Re: USAA Credit limit increase

Anonymous — Sun, 12 Sep 2021 18:52:21 GMT

That may be the case as my score was low 600s when I applied but NO credit limit increases in years regardless of payment history and score? Guess it's my whopper card for now

Re: USAA Credit limit increase

BearsCubsOtters — Mon, 13 Sep 2021 04:04:30 GMT

@Anonymous wrote:
I have had a USAA card for several years. The initial limit was a bit sketch at 500.00 but whatever, interest rate was good and figured I could request a limit increase over time or they would grant one.

Every 6 months I take a hard hit from their inquiries only to be declined. PIF every month (I mean, what can you do with that limit) Until today I had both homeowners and auto insurance until I realized I was paying a premium higher than my son although I don't commit to work, clean driving record and drive less than their minimum policy will support.

FICO in the 710 range. My next lowest card, about 10 months old is NFCU has a 6 K limit.

i understand that you can be placed in buckets where what you have is what you get. Don't want to close the card since it's one of my oldest.

Is this card destined only to be used for an occasional Big Mac and live out its life in the sock drawer??

What were the reasons outlined in the denial letter of explaination sent to you? Had you ever caused a loss to USAA on a previous product in the past?

What type of card is it? If it is the Visa Classic Platinum/American Express Classic Platinum that could be the issue. This card type, along with the secured cards, are no longer offered and are "bucketed." To ad insult to injury, USAA does not allow for product changes. USAA's remaining card's are typically intended for those with good to excellent credit and grow accordingly.

This is the Classic Platinum:

This is the Secured:

If you have a secured card, that would also be a reason for denial. I doubt you have the secured card but I thought I'd mention it just in case.

Re: USAA Credit limit increase

Anonymous — Mon, 13 Sep 2021 04:11:05 GMT

Nope not a secured card and have cards with MUCH higher limits. I was hoping to build with this one simply because of the low interest rate . My daily is an AppleCard. I use other cards for certain rewards and PIF. Otherwise I use a standard 2 percenter in places that don't take Apple Pay and I have nothing with better rewards. Not thrilled with the rotating cash back on Discover but it gets the hardest workout in the last quarter

@BearsCubsOtters wrote:
@Anonymous wrote:
I have had a USAA card for several years. The initial limit was a bit sketch at 500.00 but whatever, interest rate was good and figured I could request a limit increase over time or they would grant one.

Every 6 months I take a hard hit from their inquiries only to be declined. PIF every month (I mean, what can you do with that limit) Until today I had both homeowners and auto insurance until I realized I was paying a premium higher than my son although I don't commit to work, clean driving record and drive less than their minimum policy will support.

FICO in the 710 range. My next lowest card, about 10 months old is NFCU has a 6 K limit.

i understand that you can be placed in buckets where what you have is what you get. Don't want to close the card since it's one of my oldest.

Is this card destined only to be used for an occasional Big Mac and live out its life in the sock drawer??

What were the reasons outlined in the denial letter of explaination sent to you? Had you ever caused a loss to USAA on a previous product in the past?

What type of card is it? If it is the Visa Classic Platinum/American Express Classic Platinum that could be the issue. This card type, along with the secured cards, are no longer offered and are "bucketed." To ad insult to injury, USAA does not allow for product changes. USAA's remaining card's are typically intended for those with good to excellent credit and grow accordingly.

This is the Classic Platinum:
This is the Secured:
If you have a secured card, that would also be a reason for denial. I doubt you have the secured card but I thought I'd mention it just in case.

When I applied for this back whe

Re: USAA Credit limit increase

FinStar — Mon, 13 Sep 2021 04:13:51 GMT

@Anonymous wrote:
That may be the case as my score was low 600s when I applied but NO credit limit increases in years regardless of payment history and score? Guess it's my whopper card for now

What reasons have they cited for each denial @Anonymous?

Re: USAA Credit limit increase

Anonymous — Mon, 13 Sep 2021 04:18:03 GMT

Actually I asked about that and it appears to be a cookie cutter response. I was 30 days late with a creditor 3 years ago after surgery so I assume that is serious delinquency?

That late payment does not cover previous denials. It's funny that it affects them so much but I have no issues with other creditors if that is what the issue is.

Re: USAA Credit limit increase

pizza1 — Mon, 13 Sep 2021 15:57:10 GMT

A late from 3 years wouldn't be a deal breaker from obtaining a CLI on your card. Heck, they were IIB for me in my BK with a decent chunk, and approved me again 5 years later with a BK still on file, EXP scores 680's, SL $5K, and within 8 mo had my card to $15K, which is where is sits currently.

I think you have a bucketed card IMO, especially if it's a card they no longer carry. Sometimes, you just have to reapply for a different card to get out of that bucket.

The denial letters are usually generic...they have to mention something. Have you tried contacting the company that reported you late, and tried to get it removed, especially since its medically related??

Re: USAA Credit limit increase

brk1971 — Mon, 13 Sep 2021 21:01:23 GMT

I have two cards with USAA, checking/savings, and home + auto insurance as well. I evaluated my insurance needs last year and found myself to be paying far more than market rates. So I switched insurers. The agent I spoke with was incredulous that I was switching to another national brand at less than half the cost. 'You'll regret this decision when you have a claim and your new provider doesn't pay the claim." I remember shaking my head at the arrogance. As if I don't know how to look up claims performance on a state insurance department website (or digest the information there). I did not argue or even respond at the time, but it really cemented in my opinion.

Moved my primary banking needs to NFCU. Evaluated my IRA fees and ended up moving that to Principal.

As for the 2 cards, they are completely sock drawered - I will never request a CLI while they require a HP. The APR on each is far too high, and they don't ever lower it. They don't product change. The rewards card earning rate is not competitive. The score model they use is more than a decade old. I could go on.

Basically, I think USAA is too big and inflexible as a financial institution. They have an endless supply of new target customers (young military members with no or bad credit), so I don't have faith they will change. I don't think their performance lives up to the advertisements.

(No bitterness, just matter of factness... As a consumer with options, I look for mutually beneficial financial relationships. This one merits precisely the level of effort and investment I currently put into it.)

So can you get your cards to grow? Possibly they are bucketed. But beware of the work you put into this relationship, as that same work (elsewhere placed) would net far greater positive results IMO.

ETA: Holy rant of rants Batman. Didn't mean to sound off like that... Just know you have better options.

Re: USAA Credit limit increase

cashorcharge — Mon, 13 Sep 2021 21:28:51 GMT

So I guess if the message isn't clear yet...stop asking for CLI's with USAA.

You can use those valuble HP's at other banks that are more willing to work with you. NFCU is nice as their CLI's are typically SP when self-initiated online and following the timelines detailed in other threads. PenFed...who also has an insurance affiliation with another company...unlike USAA who does it all....is also fairly generous for less than perfect files as you'll read in other threads...but their self-initiated CLI's are EQ HP so be aware of that.

As for insurance, I shopped my current rates with USAA and they were higher and they too shared their reliability story about paying claims etc...it didn't outweigh the overpaying for me and my current provider has never denied a claim.

Go shopping...for a new CC and an insurance company. You may be surprised...

Re: USAA Credit limit increase

wingennis — Mon, 13 Sep 2021 23:41:26 GMT

@brk1971 wrote:
I have two cards with USAA, checking/savings, and home + auto insurance as well. I evaluated my insurance needs last year and found myself to be paying far more than market rates. So I switched insurers. The agent I spoke with was incredulous that I was switching to another national brand at less than half the cost. 'You'll regret this decision when you have a claim and your new provider doesn't pay the claim." I remember shaking my head at the arrogance. As if I don't know how to look up claims performance on a state insurance department website (or digest the information there). I did not argue or even respond at the time, but it really cemented in my opinion.

Moved my primary banking needs to NFCU. Evaluated my IRA fees and ended up moving that to Principal.

As for the 2 cards, they are completely sock drawered - I will never request a CLI while they require a HP. The APR on each is far too high, and they don't ever lower it. They don't product change. The rewards card earning rate is not competitive. The score model they use is more than a decade old. I could go on.

Basically, I think USAA is too big and inflexible as a financial institution. They have an endless supply of new target customers (young military members with no or bad credit), so I don't have faith they will change. I don't think their performance lives up to the advertisements.
(No bitterness, just matter of factness... As a consumer with options, I look for mutually beneficial financial relationships. This one merits precisely the level of effort and investment I currently put into it.)

So can you get your cards to grow? Possibly they are bucketed. But beware of the work you put into this relationship, as that same work (elsewhere placed) would net far greater positive results IMO.

ETA: Holy rant of rants Batman. Didn't mean to sound off like that... Just know you have better options.

May be a rant but not unwarranted. Their auto insurance rates are getting way out of control.

Re: USAA Credit limit increase

Anonymous — Tue, 14 Sep 2021 03:48:57 GMT

This is their lowest interest rate card and still good but I am with you on being bucketed. That's the only thing I can think of. My entire purpose for initially applying for the card was to transfer higher interest from another card but the limit was laughable.

Re: USAA Credit limit increase

Anonymous — Tue, 14 Sep 2021 05:42:41 GMT

Love my NFCU card but it's the damned principal of 500.00. Maybe because they have not made one red cent of me in all these years in interest. What are you gonna do with that limit that won't damage your score? I tried playing in full before posting, playing in full aftrr posting. I just went through my statement 0 interest every year I have had the card. For almost a year the only thing put on it was a Netflix subscription. I give up.