topic Re: Bank of America lied to me about secured credit card reporting in Credit Cards

Bank of America lied to me about secured credit card reporting

skorpyo3 — Fri, 24 Apr 2015 02:01:40 GMT

I was recently declined for BofA 123 Visa and counter offered with 123 secured card. Before I apllied for the secured card, I called and asked some questions. One of my conditions was how the card would report to the bureaus. From what I've read on here, it reports as secured. I asked a rep and confirmed with a manager, and both of them told me it would not indicate secured. I was happy, so I said OK. I applied online while still on the phone, and entered my checking acct info for my $3000 deposit. Then, I called back to ask a few more questions and to confirm how the tradeline would be reported. The rep said it will definitely show as secured! I was so pissed! I told her to cancel the app for the wrong info by two other reps. She said I was already approved and would have to wait to get card, and then close it. I told her that it better not show up as an open then closed tradeline on my credit report, as that will look bad. She said it may, and I could try to get them to remove it. In the meantime, I sent a PM to BofA on Facebook. I also called my bank where the deposit is coming from and inquired about stopping the ACH transfer. There will be a $15 fee and advised BofA may charge me an insuffient fund fee as well. My question is, if I stop the deposit, will the account never be generated and then not report? I didn't really need the card as my scores are 660-680. I have 3 Cap 1 cards $3,000, $5,000 and $15,000, Barclays $3000, and Patelco CU $5000. I just wanted to establish a relationship with the biggest bank in America, but I definitely made a mistake!

Re: Bank of America lied to me about secured credit card reporting

Anonymous — Fri, 24 Apr 2015 02:09:22 GMT

Does it really matter that much that it reports to secured? My scores shot up the second my secured card reported. They are great about reporting every month. 3months after being with them I got prequalifed for Chase Freedom.

Re: Bank of America lied to me about secured credit card reporting

skorpyo3 — Fri, 24 Apr 2015 02:19:18 GMT

@Bananas1, if I didn't already have all unsecured cards, it wouldn't really matter. Just concerned what a potential lender may think. BofA did tell me 3 times that I could call back in 5 months to be considered for graduation. That is good news. What really bothered me was the fact that I was lied to twice. That's awesome with the Chase Freedom. I was approved last week by them, then delined! I called for reconsideration, but no go. I was called by their EO per my request, and will get a final decision tomorrow. The reason for decline was BK in 2012. I have seen others approved on here with BK for that card. Wish me luck!

Re: Bank of America lied to me about secured credit card reporting

Anonymous — Fri, 24 Apr 2015 02:20:11 GMT

It is inexcusable how they misled you. I would be so annoyed.

That being said, it looks like you don't really need a secured card after all. However, if you didn't mind depositing 3K to begin with, the fact that they report as secured shouldn't be the game changer in my opinion. I have never heard of an analyst that looks down upon secured cards. Plus, the card can be unsecured later.

Re: Bank of America lied to me about secured credit card reporting

Callandra — Fri, 24 Apr 2015 02:21:07 GMT

^A lot of times CSRs just don't know. (Or they tell you what you want to hear) There are countless stories on here about CSRs saying XX will be a SP and then it's really a HP. I would actually trust the stuff you read here more than the CSRs with certain issues.

Chase might be a hard approval at only a few years out of BK but good luck!

Re: Bank of America lied to me about secured credit card reporting

skorpyo3 — Fri, 24 Apr 2015 02:22:49 GMT

@LearningFast14, Thank you. I may keep it. I heard that BofA is really good about graduating by 1 year. Hopefully with my 3k deposit, they will raise my CL as well. I was told that they won't waive $39 AF, but I may qualify for a product change or upgrade wtihout fee.

Re: Bank of America lied to me about secured credit card reporting

Anonymous — Fri, 24 Apr 2015 02:23:50 GMT

So you just said that you read here that it reports as secured yet you did it anyway. You're going to believe front end CSRs vs real life people that have the card on this site? And as the other person already said, who cares how it reports. It's a great product and it helps you either way. Bottom line is its going to report to the credit bureaus so you might as well keep it.

Re: Bank of America lied to me about secured credit card reporting

skorpyo3 — Fri, 24 Apr 2015 02:24:02 GMT

@Callandra, Thanks! Yep, I should have known better! Ugh!

Re: Bank of America lied to me about secured credit card reporting

Anonymous — Fri, 24 Apr 2015 02:24:24 GMT

@skorpyo3 wrote:
@Anonymous, if I didn't already have all unsecured cards, it wouldn't really matter. Just concerned what a potential lender may think. BofA did tell me 3 times that I could call back in 5 months to be considered for graduation. That is good news. What really bothered me was the fact that I was lied to twice. That's awesome with the Chase Freedom. I was approved last week by them, then delined! I called for reconsideration, but no go. I was called by their EO per my request, and will get a final decision tomorrow. The reason for decline was BK in 2012. I have seen others approved on here with BK for that card. Wish me luck!

Yes, I understand that you were led to believe it would report otherwise. I was on the fence about this as well but after research it seems that it really doesn't hurt you. I've been banking with them for eons. It was my first credit card after almost seven years so I understood the need for a secured card. But at least it was for a strong bank. I was told they would graduate me in less than 12 months. We will see! I don't have a Bk so honestly consider yourself lucky they offered that because I've noticed they don't let many in with BK. I say you go for it and get that foot in the door. You already took the hard pull!

Re: Bank of America lied to me about secured credit card reporting

FinStar — Fri, 24 Apr 2015 02:25:21 GMT

@Anonymous wrote:
Does it really matter that much that it reports to secured? My scores shot up the second my secured card reported. They are great about reporting every month. 3months after being with them I got prequalifed for Chase Freedom.

Right. The real mistake (IMO) was not accepting the offer. But to each their own and what's done is done. Honestly, lots of people would like to re-establish a BoA relationship (or begin one), especially with the 99/500 product.

So, technically the CSR/supervisors were uninformed and provided incorrect information. However, anecdotal evidence on here (and outside these forums) clearly indicates that BoA secured cards will report as secured on CRAs. After the initial commitment of having the card for 6-12 months with positive history, the card graduates to unsecured and the secured reporting goes *poof*.

I suppose some people don't want to see it on their report (ego) whereas others don't care. It's only temporary!

Re: Bank of America lied to me about secured credit card reporting

skorpyo3 — Fri, 24 Apr 2015 02:26:23 GMT

@solongtj, You're right! What the hell was I thinking! Well, at least they didn't do another HP for secured app. My only concern now is a new account after recently being approved for Barclays card. Hopefully 1 account after Barclays won't freak them out!

Re: Bank of America lied to me about secured credit card reporting

Anonymous — Fri, 24 Apr 2015 02:26:29 GMT

@skorpyo3 wrote:
@Anonymous, Thank you. I may keep it. I heard that BofA is really good about graduating by 1 year. Hopefully with my 3k deposit, they will raise my CL as well. I was told that they won't waive $39 AF, but I may qualify for a product change or upgrade wtihout fee.

They waived my AF! Just go to a local branch and speak to the manager there.

Re: Bank of America lied to me about secured credit card reporting

skorpyo3 — Fri, 24 Apr 2015 02:29:48 GMT

@FinStar, I did accept the offer. Guess in the long run I will be happy about it!

Re: Bank of America lied to me about secured credit card reporting

skorpyo3 — Fri, 24 Apr 2015 02:31:21 GMT

@Bananas1, Congrats! I have hope, and pretty darn persuasive too!

Re: Bank of America lied to me about secured credit card reporting

FinStar — Fri, 24 Apr 2015 02:39:22 GMT

@skorpyo3 wrote:
@FinStar, I did accept the offer. Guess in the long run I will be happy about it!

Ok good. Give them an opportunity and then see if you can qualify to get the AF waived down the road. You'll see countless posts about how folks love their secured products (which eventually graduate) and provide an opportunity for growth in the future.

Honestly, the "secured" reporting information on the CRAs matters not (IMO). You're not scored higher or lower based on how it displays. On manual review *if* (and a big *if*) it comes up in a conversation (i.e. recon ) - they won't even ask you about it. They'll likely focus on the overall health of your CR and other factors. And, based on your other accounts and what you've shared above, I don't think you have much to worry about. Sure, the BK might be a big factor overall, but you've been able to get approved for others without much issue!

Re: Bank of America lied to me about secured credit card reporting

Anonymous — Fri, 24 Apr 2015 02:41:44 GMT

Good! I've had nothing but positive feedback with them. Yes, it does suck to have to pay often so I can keep using card due to low limit, but when I see many with higher scores and/or thicker file get declined, I don't feel so bad

Re: Bank of America lied to me about secured credit card reporting

skorpyo3 — Fri, 24 Apr 2015 03:05:02 GMT

IS IT POSSIBLE THAT MY STARTING CL WILL BE HIGHER THAN $3000 SECURITY DEPOSIT?

A minimum security deposit of $300 is required to open this account. Your maximum credit limit (up to $4,900) will be determined by your income, ability to pay and the amount of the security deposit you provide.

Re: Bank of America lied to me about secured credit card reporting

Anonymous — Fri, 24 Apr 2015 03:07:16 GMT

Do you think that what people say in the forums is a lie. Reps from big banks don't really know what they are talking about. I hope your matter gets resolved.

Re: Bank of America lied to me about secured credit card reporting

Anonymous — Fri, 24 Apr 2015 03:10:24 GMT

@skorpyo3 wrote:
IS IT POSSIBLE THAT MY STARTING CL WILL BE HIGHER THAN $3000 SECURITY DEPOSIT?

A minimum security deposit of $300 is required to open this account. Your maximum credit limit (up to $4,900) will be determined by your income, ability to pay and the amount of the security deposit you provide.

It sounds like you may get the partially secured card. So your limit may be higher than your deposit.

Re: Bank of America lied to me about secured credit card reporting

skorpyo3 — Fri, 24 Apr 2015 03:11:17 GMT

@medwar1, No I don't. I was hopeful that BofA was reporting differently now and believed them over my fellow Fico buddies. :/