topic Re: Shopping Cart Trick? in Credit Card Applications

Shopping Cart Trick?

Anonymous — Thu, 18 Dec 2014 00:27:42 GMT

I read that the worst thing to do is the shopping cart trick because the cards will put you in a separate scoring bucket than regular credit cards and will keep your score low. Is this true and why if it is true? I was approved for 2 cards (VS & Overstock) via the shopping cart trick and didn't think too much of it other than it would help to decrease my utilization.

Re: Shopping Cart Trick?

coldnmn — Thu, 18 Dec 2014 01:34:07 GMT

Congrats on the cards! The only harm I see from the shopping cart is making yourself look desperate for credit by going overboard. If you only get cards you will use and use them responsibly no harm to you or your score in my opinion. Thanks for sharing.

Re: Shopping Cart Trick?

Anonymous — Thu, 18 Dec 2014 02:32:37 GMT

@coldnmn wrote:
Congrats on the cards! The only harm I see from the shopping cart is making yourself look desperate for credit by going overboard. If you only get cards you will use and use them responsibly no harm to you or your score in my opinion. Thanks for sharing.

But if you can get approved for real credit cards (V/MC), It is better.

Re: Shopping Cart Trick?

CBrent — Wed, 21 Jan 2015 18:46:24 GMT

I'd also like evidence that the shopping cart trick, owning store cards, actually puts one in a different category and supresses one's credit score. Does anyone actually have evidence of this?

Re: Shopping Cart Trick?

mongstradamus — Wed, 21 Jan 2015 18:49:49 GMT

@CBrent wrote:
I'd also like evidence that the shopping cart trick, owning store cards, actually puts one in a different category and supresses one's credit score. Does anyone actually have evidence of this?

In my opinion getting cards via shopping cart trick will be detrimental to your credit building. The new TL will hurt an lot for an card in most instances you will rarely use. Butchering your AAOA will hurt an lot. Just because you can get card now doesn't mean you should.

Re: Shopping Cart Trick?

Anonymous — Wed, 21 Jan 2015 18:56:30 GMT

+1.

A lot.

Re: Shopping Cart Trick?

dragonfly66 — Thu, 22 Jan 2015 01:18:12 GMT

@coldnmn wrote:
Congrats on the cards! The only harm I see from the shopping cart is making yourself look desperate for credit by going overboard. If you only get cards you will use and use them responsibly no harm to you or your score in my opinion. Thanks for sharing.

This is true. I don't think it puts you in a different credit category. I've always heard that they are simply weighted differently in the FICO scoring models than the regular bank credit cards. As long as you use them responsibly, they will only help your score. I just wouldn't go overboard with the store cards. I was able to establish my credit initially with just a Macy's card, and because of how I managed it, it allowed me to get a number of other bank cards (but that was a lifetime ago).

Re: Shopping Cart Trick?

Anonymous — Thu, 22 Jan 2015 13:49:21 GMT

@CBrent wrote:
I'd also like evidence that the shopping cart trick, owning store cards, actually puts one in a different category and supresses one's credit score. Does anyone actually have evidence of this?

It's just a suburban legend.

The gazillion small limits don't kill you. Having a million store cards doesn't kill you either. They don't stop you from getting "Prime" credit.

As the guys have said, it severely butchers your AAoA ... that is the worst impact.

Re: Shopping Cart Trick?

Anonymous — Thu, 22 Jan 2015 14:32:06 GMT

@Anonymous wrote:
@CBrent wrote:
I'd also like evidence that the shopping cart trick, owning store cards, actually puts one in a different category and supresses one's credit score. Does anyone actually have evidence of this?
It's just a suburban legend.

The gazillion small limits don't kill you. Having a million store cards doesn't kill you either. They don't stop you from getting "Prime" credit.

As the guys have said, it severely butchers your AAoA ... that is the worst impact.

Manual review may indicate aggressive credit seeking as well...Just sayin'

Re: Shopping Cart Trick?

Anonymous — Thu, 22 Jan 2015 14:41:19 GMT

@Anonymous wrote:
@Anonymous wrote:
@CBrent wrote:
I'd also like evidence that the shopping cart trick, owning store cards, actually puts one in a different category and supresses one's credit score. Does anyone actually have evidence of this?
It's just a suburban legend.

The gazillion small limits don't kill you. Having a million store cards doesn't kill you either. They don't stop you from getting "Prime" credit.

As the guys have said, it severely butchers your AAoA ... that is the worst impact.
Manual review may indicate aggressive credit seeking as well...Just sayin'

But that happens with both store cards and "Prime" cards.

Not really fair to peg that on ye old lowly store card.

If you get a buncha credit (Prime or Store card) all at once you'll get

"Aggressive credit seeking" or that lovely and equally ambiguous "Debt Pyramiding"

Re: Shopping Cart Trick?

Anonymous — Thu, 22 Jan 2015 14:41:21 GMT

@Anonymous wrote:
@Anonymous wrote:
@Anonymous wrote:
@CBrent wrote:
I'd also like evidence that the shopping cart trick, owning store cards, actually puts one in a different category and supresses one's credit score. Does anyone actually have evidence of this?
It's just a suburban legend.

The gazillion small limits don't kill you. Having a million store cards doesn't kill you either. They don't stop you from getting "Prime" credit.

As the guys have said, it severely butchers your AAoA ... that is the worst impact.
Manual review may indicate aggressive credit seeking as well...Just sayin'
But that happens with both store cards and "Prime" cards.

Not really fair to peg that on ye old lowly store card.

If you get a buncha credit (Prime or Store card) all at once "Aggressive credit seeking" or that lovely and equally ambiguous "Debt Pyramiding"

Well of course it can happen with either.

In any case. Moderation and lender diversity is key.

Re: Shopping Cart Trick?

Imperfectfuture — Thu, 22 Jan 2015 16:31:18 GMT

@Anonymous wrote:
@CBrent wrote:
I'd also like evidence that the shopping cart trick, owning store cards, actually puts one in a different category and supresses one's credit score. Does anyone actually have evidence of this?
It's just a suburban legend.

The gazillion small limits don't kill you. Having a million store cards doesn't kill you either. They don't stop you from getting "Prime" credit.

As the guys have said, it severely butchers your AAoA ... that is the worst impact.

Google is your friendl. Store cards are not credit cards, they are charge accounts. It's not urban legend. Folks want it to be (and comenity likes it, is that the banks name?).

Charge accounts are scored differently than credit cards, considered a form of consumer finance (google consumer finance and fico scoring). They are considered revolvers, so do not add to mix of credit. My sis started with Macy's and VS, but was AU on hubby's Amex, and finally got banana republic visa. Her only other credit card now is southwest plus rapid rewards (though 18k limit, but she carries balances, doesn't really care about score). Since she is divorced, no longer AU on Amex,

My score was in toilet with just a charge account. Adding a secured card (even reporting secured) jumped it up 60 pts in less than a year.

Re: Shopping Cart Trick?

Anonymous — Thu, 22 Jan 2015 19:03:32 GMT

Congratulations on the shopping cart trick, when I found out about it i went a little overboard i was just so excited about getting approved

Re: Shopping Cart Trick?

Anonymous — Thu, 22 Jan 2015 20:15:14 GMT

@Imperfectfuture wrote:
@Anonymous wrote:
@CBrent wrote:
I'd also like evidence that the shopping cart trick, owning store cards, actually puts one in a different category and supresses one's credit score. Does anyone actually have evidence of this?
It's just a suburban legend.

The gazillion small limits don't kill you. Having a million store cards doesn't kill you either. They don't stop you from getting "Prime" credit.

As the guys have said, it severely butchers your AAoA ... that is the worst impact.
Google is your friendl. Store cards are not credit cards, they are charge accounts. It's not urban legend. Folks want it to be (and comenity likes it, is that the banks name?).

Charge accounts are scored differently than credit cards, considered a form of consumer finance (google consumer finance and fico scoring). They are considered revolvers, so do not add to mix of credit. My sis started with Macy's and VS, but was AU on hubby's Amex, and finally got banana republic visa. Her only other credit card now is southwest plus rapid rewards (though 18k limit, but she carries balances, doesn't really care about score). Since she is divorced, no longer AU on Amex,

My score was in toilet with just a charge account. Adding a secured card (even reporting secured) jumped it up 60 pts in less than a year.

As I said, it is just an urban legend. All of my Commenity cards report as revolvers, not consumer finance

Just try to Google what makes a "consumer finance loan" and nobody will tell you Commenity cards are consumer finance

I do believe they are not weighted as high as real credit cards but they sure as heck dont hurt your credit

Add in that account mix is only 10% of your score and that is just a fraction of youe total score. Now factor in that payment history weighs in at 30% of your score and you see the net result positive payments on store cards have a much higher positive impact on your score than the perceived ding of "consumer finance"

I have 45 "store cards" and I never get the "too many consumer finance accounts" denial

It hasnt stopped me from getting any prime cards

The only thing stopping me now is I have too many new accounts and have to garden. No different than anybody else forced into gardening

Re: Shopping Cart Trick?

Anonymous — Thu, 22 Jan 2015 20:30:11 GMT

45 store cards? Wow, never knew there were 45 stores worth shopping at 😀

Re: Shopping Cart Trick?

Anonymous — Thu, 22 Jan 2015 20:41:36 GMT

@Anonymous wrote:
45 store cards? Wow, never knew there were 45 stores worth shopping at 😀

Correction. I never knew there were 45 stores with lines of credit available worth shopping at.

Re: Shopping Cart Trick?

Imperfectfuture — Thu, 22 Jan 2015 21:01:29 GMT

@Anonymous wrote:
@Imperfectfuture wrote:
@Anonymous wrote:
@CBrent wrote:
I'd also like evidence that the shopping cart trick, owning store cards, actually puts one in a different category and supresses one's credit score. Does anyone actually have evidence of this?
It's just a suburban legend.

The gazillion small limits don't kill you. Having a million store cards doesn't kill you either. They don't stop you from getting "Prime" credit.

As the guys have said, it severely butchers your AAoA ... that is the worst impact.
Google is your friendl. Store cards are not credit cards, they are charge accounts. It's not urban legend. Folks want it to be (and comenity likes it, is that the banks name?).

Charge accounts are scored differently than credit cards, considered a form of consumer finance (google consumer finance and fico scoring). They are considered revolvers, so do not add to mix of credit. My sis started with Macy's and VS, but was AU on hubby's Amex, and finally got banana republic visa. Her only other credit card now is southwest plus rapid rewards (though 18k limit, but she carries balances, doesn't really care about score). Since she is divorced, no longer AU on Amex,

My score was in toilet with just a charge account. Adding a secured card (even reporting secured) jumped it up 60 pts in less than a year.
As I said, it is just an urban legend. All of my Commenity cards report as revolvers, not consumer finance

Just try to Google what makes a "consumer finance loan" and nobody will tell you Commenity cards are consumer finance

I do believe they are not weighted as high as real credit cards but they sure as heck dont hurt your credit

Add in that account mix is only 10% of your score and that is just a fraction of youe total score. Now factor in that payment history weighs in at 30% of your score and you see the net result positive payments on store cards have a much higher positive impact on your score than the perceived ding of "consumer finance"

I have 45 "store cards" and I never get the "too many consumer finance accounts" denial

It hasnt stopped me from getting any prime cards

The only thing stopping me now is I have too many new accounts and have to garden. No different than anybody else forced into gardening

You misread, they report as charge account. Good luck with getting score over 720 with store cards, never happens (google that and why).

They are bucketed between consumer finance and credit cards. I never said they were consumer finance loans.

you must feel the need to defend your position, following credit addict?

Re: Shopping Cart Trick?

Anonymous — Thu, 22 Jan 2015 21:26:07 GMT

@Imperfectfuture wrote:
@Anonymous wrote:
@Imperfectfuture wrote:
@Anonymous wrote:
@CBrent wrote:
I'd also like evidence that the shopping cart trick, owning store cards, actually puts one in a different category and supresses one's credit score. Does anyone actually have evidence of this?
It's just a suburban legend.

The gazillion small limits don't kill you. Having a million store cards doesn't kill you either. They don't stop you from getting "Prime" credit.

As the guys have said, it severely butchers your AAoA ... that is the worst impact.
Google is your friendl. Store cards are not credit cards, they are charge accounts. It's not urban legend. Folks want it to be (and comenity likes it, is that the banks name?).

Charge accounts are scored differently than credit cards, considered a form of consumer finance (google consumer finance and fico scoring). They are considered revolvers, so do not add to mix of credit. My sis started with Macy's and VS, but was AU on hubby's Amex, and finally got banana republic visa. Her only other credit card now is southwest plus rapid rewards (though 18k limit, but she carries balances, doesn't really care about score). Since she is divorced, no longer AU on Amex,

My score was in toilet with just a charge account. Adding a secured card (even reporting secured) jumped it up 60 pts in less than a year.
As I said, it is just an urban legend. All of my Commenity cards report as revolvers, not consumer finance

Just try to Google what makes a "consumer finance loan" and nobody will tell you Commenity cards are consumer finance

I do believe they are not weighted as high as real credit cards but they sure as heck dont hurt your credit

Add in that account mix is only 10% of your score and that is just a fraction of youe total score. Now factor in that payment history weighs in at 30% of your score and you see the net result positive payments on store cards have a much higher positive impact on your score than the perceived ding of "consumer finance"

I have 45 "store cards" and I never get the "too many consumer finance accounts" denial

It hasnt stopped me from getting any prime cards

The only thing stopping me now is I have too many new accounts and have to garden. No different than anybody else forced into gardening
You misread, they report as charge account. Good luck with getting score over 720 with store cards, never happens (google that and why).

They are bucketed between consumer finance and credit cards. I never said they were consumer finance loans.

you must feel the need to defend your position, following credit addict?

It's true. My mother could never seem to get past 770 until her 2 of her store cards were closed for inactivity.

She was already well into the 8yr+ AAoA bucket.

Re: Shopping Cart Trick?

Imperfectfuture — Thu, 22 Jan 2015 21:29:50 GMT

Creditflunky also has problems in the checking department.

Long time till in prime.

Re: Shopping Cart Trick?

Anonymous — Fri, 23 Jan 2015 05:37:06 GMT

@Imperfectfuture wrote:
You misread, they report as charge account. Good luck with getting score over 720 with store cards, never happens (google that and why).

They are bucketed between consumer finance and credit cards. I never said they were consumer finance loans.

you must feel the need to defend your position, following credit addict?

I did not misread.

Credit cards AND charge cards are "revolvers". Look it up.

And my score as of last month was already 765

CreditAddict is unique and certainly not somebody you can copycat.