topic Re: Not Sending In 4506T For Amex CLI (Questions) in Credit Cards

Not Sending In 4506T For Amex CLI (Questions)

sosabe77 — Sun, 30 Nov 2014 01:23:07 GMT

I recently requested a CLI to $25K on my Amex BCE. I got hit with the 4506T.

1.) I thought we could request up to, and including, $25K without them asking for a 4506T. Was I mistaken? Is it really >$25K?

2.) If I don't send back the form, will I be outright denied or will they counter with another limit like a usual CLI request?

3.) If I get denied any CLI, do I just wait the usual 90 days from the denial letter date to try again?

Thanks.

Re: Not Sending In 4506T For Amex CLI (Questions)

TheGardner — Sun, 30 Nov 2014 01:30:32 GMT

$25k is a theory being kicked around. There is a poster here with 35k never asked for tax forms. I imagine it has to do with current balances on all accounts and usage on the card as well as set internal limits for your wage bracket.

If you don't send it in the CLI will be declined.

Future CLIs will require the information before they will be processed I believe has been said.

Re: Not Sending In 4506T For Amex CLI (Questions)

Marcos8 — Sun, 30 Nov 2014 01:39:55 GMT

What was your limit on the BCE? From your sig you also have a BCP at 25k so you have prob hit max exposure with Amex and will require proof of income/tax returns for them to increase their exposure.

Re: Not Sending In 4506T For Amex CLI (Questions)

Anonymous — Sun, 30 Nov 2014 01:53:27 GMT

@TheGardner wrote:

$25k is a theory being kicked around. There is a poster here with 35k never asked for tax forms. I imagine it has to do with current balances on all accounts and usage on the card as well as set internal limits for your wage bracket.

If you don't send it in the CLI will be declined.

Future CLIs will require the information before they will be processed I believe has been said.

There was at least one case here where the person resubmitted (with slightly different income stated the second time) and got the increase without being asked for 4506-T.

But in general, if nothing much changes they would ask for it again

Re: Not Sending In 4506T For Amex CLI (Questions)

sosabe77 — Sun, 30 Nov 2014 01:59:37 GMT

@TheGardner wrote:

$25k is a theory being kicked around. There is a poster here with 35k never asked for tax forms. I imagine it has to do with current balances on all accounts and usage on the card as well as set internal limits for your wage bracket.

If you don't send it in the CLI will be declined.

Future CLIs will require the information before they will be processed I believe has been said.

Even CLI requests at a lower requested limit will require the tax information?

Re: Not Sending In 4506T For Amex CLI (Questions)

sosabe77 — Sun, 30 Nov 2014 02:01:42 GMT

@Marcos8 wrote:
What was your limit on the BCE? From your sig you also have a BCP at 25k so you have prob hit max exposure with Amex and will require proof of income/tax returns for them to increase their exposure.

Sorry, that sig is outdated information. The BCP was closed some time ago due to divorce. Right now, I just have the BCE ($18K) and SimplyCash business card ($10K).

This is my 2nd CLI request after my initial 3X request from $6K --> $18K.

Re: Not Sending In 4506T For Amex CLI (Questions)

trumpet-205 — Sun, 30 Nov 2014 01:59:26 GMT

You can get hit with 4506-T request with any CLI request. It is just that we generally see it happening more to those with high CLI request or already have high CL.

Re: Not Sending In 4506T For Amex CLI (Questions)

Anonymous — Sun, 30 Nov 2014 03:15:54 GMT

If you don't send it in most likely the credit limits will stay where they are at for a while without an increase. I have seen where people get an increase later on without sending in but seemed like a decent amount of time had passed.

Re: Not Sending In 4506T For Amex CLI (Questions)

TheGardner — Sun, 30 Nov 2014 03:46:33 GMT

No experience, was going off what others have posted / experienced.

Re: Not Sending In 4506T For Amex CLI (Questions)

EvilR-T — Sun, 30 Nov 2014 11:52:48 GMT

Why don't you just send it? Problem solved.

Re: Not Sending In 4506T For Amex CLI (Questions)

Anonymous — Sun, 30 Nov 2014 12:07:30 GMT

@EvilR-T wrote:
Why don't you just send it? Problem solved.

Because some people have privacy concerns?

Re: Not Sending In 4506T For Amex CLI (Questions)

Anonymous — Sun, 30 Nov 2014 13:11:51 GMT

@Anonymous wrote:
@EvilR-T wrote:
Why don't you just send it? Problem solved.
Because some people have privacy concerns?

Exactly. If I'm ever asked I'm going to strongly consider not sending it in

Re: Not Sending In 4506T For Amex CLI (Questions)

EvilR-T — Sun, 30 Nov 2014 13:36:56 GMT

So you'll let a creditor know your social, address and phone number, mother's maiden name, when, where and what you buy, where you work, and willingly let them know income. But proving income is where you draw the line? I'm not trying to start an argument here, I'm just trying to understand the logic.

Re: Not Sending In 4506T For Amex CLI (Questions)

empiror22 — Sun, 30 Nov 2014 13:48:25 GMT

evilr-t

I agree with you so much i have been a part of this forum for a year or so. I always read how people get upset with a company whom is loaning you money or credit (some as loaning money) ask for reasonable documentation about your income. its a business relationship, you have their cards and they want to ensure you can pay them.

Re: Not Sending In 4506T For Amex CLI (Questions)

Anonymous — Sun, 30 Nov 2014 14:58:18 GMT

@empiror22 wrote:
evilr-t
I agree with you so much i have been a part of this forum for a year or so. I always read how people get upset with a company whom is loaning you money or credit (some as loaning money) ask for reasonable documentation about your income. its a business relationship, you have their cards and they want to ensure you can pay them.

There is quite a difference between providing say pay-stubs, or even a W2, and a tax transcript. If you are filing jointly, the transcript provides private financial info about someone who may not be on the card. It can also show stuff you have no interest in Amex knowing, if you are blind, number of dependents etc, it is WAY more intrusive than it needs to be (see what other companies do with exactly the same concerns). It also doesn't provide asset information, so doesn't really answer the question of whether you can pay.

Just because you don't have concerns doesn't mean the question isn't entirely valid. Amex's process is outside the norm.

Re: Not Sending In 4506T For Amex CLI (Questions)

techiegirl — Sun, 30 Nov 2014 15:35:30 GMT

I just refinanced and had to provide w-2 and tax returns to the bank for the mortgage. I don't see what difference is it if cc companies see that information as well. A loan is a loan. Granted, the amount is different.

Re: Not Sending In 4506T For Amex CLI (Questions)

sosabe77 — Sun, 30 Nov 2014 15:49:47 GMT

@EvilR-T wrote:
So you'll let a creditor know your social, address and phone number, mother's maiden name, when, where and what you buy, where you work, and willingly let them know income. But proving income is where you draw the line? I'm not trying to start an argument here, I'm just trying to understand the logic.

Some of us might be members of an international criminal conglomerate and don't wanna bring any extra heat on our friends in Mejico or Mother Russia.

Re: Not Sending In 4506T For Amex CLI (Questions)

sosabe77 — Sun, 30 Nov 2014 16:50:40 GMT

@techiegirl wrote:
I just refinanced and had to provide w-2 and tax returns to the bank for the mortgage. I don't see what difference is it if cc companies see that information as well. A loan is a loan. Granted, the amount is different.

Well, there's obviously a difference...evidenced by the fact that mortgage companies always ask for that information and CC companies rarely, if ever, do. Lol.

Re: Not Sending In 4506T For Amex CLI (Questions)

NRB525 — Sun, 30 Nov 2014 17:00:51 GMT

@sosabe77 wrote:
@techiegirl wrote:
I just refinanced and had to provide w-2 and tax returns to the bank for the mortgage. I don't see what difference is it if cc companies see that information as well. A loan is a loan. Granted, the amount is different.
Well, there's obviously a difference...evidenced by the fact that mortgage companies always ask for that information and CC companies rarely, if ever, do. Lol.

As one begins to cross $25k in available credit on a single card, however, the exposure the lender has grows, the potential difficulty in collecting grows. As the AMEX CLI are granted, you are given one little box to assure them "Yeah, I make $XXX per year" and they trust you. Beyond a certain point, however, they have to ask "Show us we can trust you".

You can choose not to provide the 4506-T when asked, and will just be capped with the existing credit limit.

And yes, I realize you may not ever use that $26k CL, but the nature of credit lines is, if granted, it's there. And they have little subsequent control over you using that. So, they put up this gate to re-baseline their trust for you. You choose whether you really need the CL.

Cheers!

Re: Not Sending In 4506T For Amex CLI (Questions)

sosabe77 — Sun, 30 Nov 2014 17:06:07 GMT

@NRB525 wrote:
@sosabe77 wrote:
@techiegirl wrote:
I just refinanced and had to provide w-2 and tax returns to the bank for the mortgage. I don't see what difference is it if cc companies see that information as well. A loan is a loan. Granted, the amount is different.
Well, there's obviously a difference...evidenced by the fact that mortgage companies always ask for that information and CC companies rarely, if ever, do. Lol.
As one begins to cross $25k in available credit on a single card, however, the exposure the lender has grows, the potential difficulty in collecting grows. As the AMEX CLI are granted, you are given one little box to assure them "Yeah, I make $XXX per year" and they trust you. Beyond a certain point, however, they have to ask "Show us we can trust you".

You can choose not to provide the 4506-T when asked, and will just be capped with the existing credit limit.

And yes, I realize you may not ever use that $26k CL, but the nature of credit lines is, if granted, it's there. And they have little subsequent control over you using that. So, they put up this gate to re-baseline their trust for you. You choose whether you really need the CL.

Cheers!

I understand why they do it. I was just addressing her comment that there's no difference because "a loan is a loan". That was an oversimplification that completely disregarded installment vs revolving, inherent term length, etc.