topic Re: Here's my credit denial reason for my unobtainable Dillard's card: in Credit Card Applications

Here's my credit denial reason for my unobtainable Dillard's card:

Anonymous — Fri, 05 Jun 2015 15:52:40 GMT

AMT OF UNUSED BANKCARD CREDIT LIMITS .....seems counterintuitive; am i wrong?

Re: Here's my credit denial reason for my unobtainable Dillard's card:

Anonymous — Fri, 05 Jun 2015 15:57:35 GMT

That's funny. I guess you need to be deeply in debt in order for them to extend credit. I'm not smart enough to understand high finance...

Re: Here's my credit denial reason for my unobtainable Dillard's card:

tufa4311 — Sat, 06 Jun 2015 04:32:12 GMT

@Anonymous wrote:
AMT OF UNUSED BANKCARD CREDIT LIMITS .....seems counterintuitive; am i wrong?

Having a very high amount of unused credit is a credit risk - under these circumstances the consumer has the ability to get themselves into a high debt situation, perhaps one that they will not be able to dig themselves out of. Think about it - many people, if not a majority of people, have total available credit greater than their yearly gross income. That credit is avaialble for their use and they could go out tomorrow and charge 100% of that - something they may not be able to get out of.

It is simply one of the factors that can lend itself to credit risk.

Re: Here's my credit denial reason for my unobtainable Dillard's card:

Credit-hoarder — Sat, 06 Jun 2015 09:25:09 GMT

@tufa4311 wrote:
@Anonymous wrote:
AMT OF UNUSED BANKCARD CREDIT LIMITS .....seems counterintuitive; am i wrong?
Having a very high amount of unused credit is a credit risk - under these circumstances the consumer has the ability to get themselves into a high debt situation, perhaps one that they will not be able to dig themselves out of. Think about it - many people, if not a majority of people, have total available credit greater than their yearly gross income. That credit is avaialble for their use and they could go out tomorrow and charge 100% of that - something they may not be able to get out of.

It is simply one of the factors that can lend itself to credit risk.

This may be true....but also having high UTIL or having too many accts. with balnces (even small ones) makes you a credit risk also. Seems to me like d**ned if you do and d**ned if you don't.

Re: Here's my credit denial reason for my unobtainable Dillard's card:

newhis — Sat, 06 Jun 2015 17:38:46 GMT

The 'problem' with all the 'credit competition' in the USA is that you can have credit cards for 3X or more your income. Some lenders will say that is risky and will not give more credit, others will see your report and will take the risk and give you more credit.

There are rules in other countries about the limit that a person can have on their credit, so if you get at that point you will not get another credit card. If you really want a new card you will need to close other card to make room for new credit.

I bet you can get other credit cards, maybe this lender put more risk on that than others. Don't worry about it.

Re: Here's my credit denial reason for my unobtainable Dillard's card:

tonyjones — Sat, 06 Jun 2015 18:14:28 GMT

@newhis wrote:
The 'problem' with all the 'credit competition' in the USA is that you can have credit cards for 3X or more your income. Some lenders will say that is risky and will not give more credit, others will see your report and will take the risk and give you more credit.

There are rules in other countries about the limit that a person can have on their credit, so if you get at that point you will not get another credit card. If you really want a new card you will need to close other card to make room for new credit.

I bet you can get other credit cards, maybe this lender put more risk on that than others. Don't worry about it.

That's why I say always use 1-10% of total credit available........ being in debt is better than not being in debt. <- According to Lenders.

Re: Here's my credit denial reason for my unobtainable Dillard's card:

Imhotrodcrazy — Sat, 06 Jun 2015 18:29:14 GMT

@Anonymous wrote:
AMT OF UNUSED BANKCARD CREDIT LIMITS .....seems counterintuitive; am i wrong?

I don't deal with lenders who think like this. I also don't accept the "thinking" that I "may" max out all of my cards. I have never even come near maxing out a card. I have never gone past 10% reporting on a card.

Re: Here's my credit denial reason for my unobtainable Dillard's card:

Anonymous — Sat, 06 Jun 2015 19:46:06 GMT

The entire credit "game" is very, very, strange. We try and get huge credit lines because we know we can only use 9% of our CL or our scores will suffer. Thus a 5K CL to us, means we can only carry a max of $490.00 or so. Which really goes against the need to receive a credit line increase. So we only have $490.00 on our 5K CC and are requesting a higher CL. Why do we need a higher CL when we still have over $4500.00 available ??? Because FICO tells us that our scores will suffer if we go over 10% UTI.
Credit is "game" we all play, and like Monopoly, some people are really good, while others are not. Knowledge obviously helps, and the FICO Forums are "school". The nuances are incredible and never ending while the outcome is many times surprising. Best of luck to all player's !!!! 🙈🙉🙊

Re: Here's my credit denial reason for my unobtainable Dillard's card:

Anonymous — Sat, 06 Jun 2015 20:02:41 GMT

@Anonymous wrote:
AMT OF UNUSED BANKCARD CREDIT LIMITS .....seems counterintuitive; am i wrong?

I've been tracked for credit scoring I guess for 35 years or so. This is a new one to me, however I didn't start even looking at things like good credit over the past decade. I wonder if they spun the wheel and this is the reason it landed on or something.

Interesting replies to this thread though. Never really thought about the amount of available credit being more than we make in a years time. I know I fall into that category. And, I also maxed out two CC back in the early 2000s after a job loss and dug a hole I almost didn't come out of. It's too easy to fall back on the CC and I know it almost ruined my life.

Re: Here's my credit denial reason for my unobtainable Dillard's card:

Anonymous — Sat, 06 Jun 2015 20:07:38 GMT

@Anonymous wrote:
The entire credit "game" is very, very, strange. We try and get huge credit lines because we know we can only use 9% of our CL or our scores will suffer. Thus a 5K CL to us, means we can only carry a max of $490.00 or so. Which really goes against the need to receive a credit line increase. So we only have $490.00 on our 5K CC and are requesting a higher CL. Why do we need a higher CL when we still have over $4500.00 available ??? Because FICO tells us that our scores will suffer if we go over 10% UTI.
Credit is "game" we all play, and like Monopoly, some people are really good, while others are not. Knowledge obviously helps, and the FICO Forums are "school". The nuances are incredible and never ending while the outcome is many times surprising. Best of luck to all player's !!!! 🙈🙉🙊

You are correct! It will never be a one size fits all scenario. That's why it's so important to understand your own credit file and finances. It is always an educated guess. Knowledge is power!!!

Re: Here's my credit denial reason for my unobtainable Dillard's card:

Anonymous — Sat, 06 Jun 2015 22:36:42 GMT

Dillard's card is put out by Wells Fargo if that makes any difference. I don't have any previous credit with them.

Re: Here's my credit denial reason for my unobtainable Dillard's card:

Platinum — Sun, 07 Jun 2015 00:26:35 GMT

It's Wells Fargo, enough said. They come up with most ridiculous reasons. I've got denied for not having deposit accounts with them. 818 FICO.

Re: Here's my credit denial reason for my unobtainable Dillard's card:

Anonymous — Sun, 07 Jun 2015 15:47:59 GMT

@Anonymous wrote:
AMT OF UNUSED BANKCARD CREDIT LIMITS .....seems counterintuitive; am i wrong?

Very interesting, I got the 'Denial' message when applying for $5K for Pella Windows as Wells Fargo was the underwriter I learned.

I called their support number and that was the exact reason I was denied. They said I had too much 'open/available credit" Go figure...

I was really surprised.

I suppose in retrospect that was a good thing because reading the APR it was 27.99 APR!