topic Re: Chase's Recon Policy Confirmed with Analyst (06-13-2015) in Credit Cards

Chase's Recon Policy Confirmed with Analyst (06-13-2015)

Anonymous — Sat, 13 Jun 2015 21:48:35 GMT

So, for anyone else reading this, I reconned and was denied for too many accounts. The analyst I spoke with was very nice and took the time to explain the reason which is in keeping with Finstar's link concerning Chase's policy changes. They want to see a nice sized credit history with credit accounts, and they believe that two years is optimum. He did stress that other types of recons could still be successful, such as disputing derogatory information (delinquent medical accounts, etc.). My credit profile is positive, but he did state that account history is pretty straightforward and denials based on this were generally not overturned.

I hope this helps others who are considering recons based on easily disputed information, so go for it if this is the case.

Re: Chase's Recon Policy Confirmed with Analyst (06-13-2015)

Kostya1992 — Sat, 13 Jun 2015 21:56:25 GMT

Don't worry they'll be crawling back when nobody wants to apply for their cards because of this stupidity.

Re: Chase's Recon Policy Confirmed with Analyst (06-13-2015)

FinStar — Sat, 13 Jun 2015 22:12:14 GMT

@Kostya1992 wrote:
Don't worry they'll be crawling back when nobody wants to apply for their cards because of this stupidity.

An item to keep in mind, the forum members and most other CC boards in general (including bloggers and whatnot) represent a tiny uiverse (let's emphasize that again - TINY, ooops I made it too big) when compared to all of Chase's cardholders. Do you have any clue as to the number of outstanding credit card receivables that Chase holds? and the total of CC customers worldwide? This is about shareholder value, numbers on the street matter more than people being fussy on their recent CC policies. People abuse or circumvent, they simply adapt.

Typically, and from previous trends, Chase tends to stick to their guns for most UW policies (i.e. APR reductions, CLIs, etc). So, I suppose we'll see what the future brings!

Re: Chase's Recon Policy Confirmed with Analyst (06-13-2015)

myjourney — Sat, 13 Jun 2015 22:18:01 GMT

@FinStar wrote:
@Kostya1992 wrote:
Don't worry they'll be crawling back when nobody wants to apply for their cards because of this stupidity.
An item to keep in mind, the forum members and most other CC boards in general (including bloggers and whatnot) represent a tiny uiverse (let's emphasize that again - TINY, ooops I made it too big) when compared to all of Chase's cardholders. Do you have any clue as to the number of outstanding credit card receivables that Chase holds? and the total of CC customers worldwide? This is about shareholder value, numbers on the street matter more than people being fussy on their recent CC policies. People abuse or circumvent, they simply adapt.

Typically, and from previous trends, Chase tends to stick to their guns for most UW policies (i.e. APR reductions, CLIs, etc). So, I suppose we'll see what the future brings!

+1000 this new policy will not break or make them in any, way, shape or form

In fact these forums are such a small minority that the average consumer who by the way does not do app sprees won't even know there was a policy change

Re: Chase's Recon Policy Confirmed with Analyst (06-13-2015)

FinStar — Sat, 13 Jun 2015 22:19:33 GMT

@Anonymous wrote:
So, for anyone else reading this, I reconned and was denied for too many accounts. The analyst I spoke with was very nice and took the time to explain the reason which is in keeping with Finstar's link concerning Chase's policy changes. They want to see a nice sized credit history with credit accounts, and they believe that two years is optimum. He did stress that other types of recons could still be successful, such as disputing derogatory information (delinquent medical accounts, etc.). My credit profile is positive, but he did state that account history is pretty straightforward and denials based on this were generally not overturned.

I hope this helps others who are considering recons based on easily disputed information, so go for it if this is the case.

Well, that link is actually one that got started by Yes-Its-Me due to some UW/policy changes that have surfaced recently. I just started catching up on some of the reading since I was traveling when I stumbled into the thread.

I would say that I barely... I mean *barely* squeezed by with my recent Chase IHG approval (thankfully it went to verification and was literally already approved) and then they contacted me and I was asked some general questions regarding new accounts and whatnot (I mean let's face it I am no Saint when it comes to new accounts or inquiries ). I am a firm believer that if the conversation goes well with the UW/verification team and you provide satisfactory and tangible reasons, then that can swing the pendulum in one's favor. But, given what I've read, it appears they're not budging a whole lot!

Re: Chase's Recon Policy Confirmed with Analyst (06-13-2015)

Anonymous — Sat, 13 Jun 2015 22:51:43 GMT

Well, I've gone a little nuts recently. I think it's time to "garden" (a term I just learned and need to do). How long do you recommend that I wait to apply for the Chase Sapphire card? I suppose the two classes I wanted to buy will just have to eat up some of my utilization for the time being.

Re: Chase's Recon Policy Confirmed with Analyst (06-13-2015)

Anonymous — Sat, 13 Jun 2015 22:52:21 GMT

Unitl you don't have 5 new accounts in the last 2 years or you start to hear that they've changed the policy

Re: Chase's Recon Policy Confirmed with Analyst (06-13-2015)

kdm31091 — Sat, 13 Jun 2015 23:05:51 GMT

Don't go crazy with apps and you're fine. Not just w chase. With any lender.

Re: Chase's Recon Policy Confirmed with Analyst (06-13-2015)

JSS3 — Sat, 13 Jun 2015 23:19:51 GMT

What are the latest assumptions as to why Chase has this new policy?

Re: Chase's Recon Policy Confirmed with Analyst (06-13-2015)

FinStar — Sat, 13 Jun 2015 23:23:35 GMT

@Anonymous wrote:
Unitl you don't have 5 new accounts in the last 2 years or you start to hear that they've changed the policy

Agree. Which defers my plans for Hyatt and/or AARP for sometime (which is fine), but it's always good to check periodically for trends just in the event things change direction. For the time being, probably some "quiet time" to age the newer accounts and leverage any future Chase approval.

Re: Chase's Recon Policy Confirmed with Analyst (06-13-2015)

Anonymous — Sun, 14 Jun 2015 00:11:19 GMT

@FinStar wrote:
@Anonymous wrote:
Unitl you don't have 5 new accounts in the last 2 years or you start to hear that they've changed the policy
Agree. Which defers my plans for Hyatt and/or AARP for sometime (which is fine), but it's always good to check periodically for trends just in the event things change direction. For the time being, probably some "quiet time" to age the newer accounts and leverage any future Chase approval.

I'm pretty sure this is only for the CSP/Freedom/Slate...i was just auto-approved for $32k on the hyatt with 5 new accounts and 3 new au accounts in the last 2 years 3 days ago.

Re: Chase's Recon Policy Confirmed with Analyst (06-13-2015)

Anonymous — Sun, 14 Jun 2015 00:18:25 GMT

@Anonymous wrote:
@FinStar wrote:
@Anonymous wrote:
Unitl you don't have 5 new accounts in the last 2 years or you start to hear that they've changed the policy
Agree. Which defers my plans for Hyatt and/or AARP for sometime (which is fine), but it's always good to check periodically for trends just in the event things change direction. For the time being, probably some "quiet time" to age the newer accounts and leverage any future Chase approval.
I'm pretty sure this is only for the CSP/Freedom/Slate...i was just auto-approved for $32k on the hyatt with 5 new accounts and 3 new au accounts in the last 2 years 3 days ago.

Which is precisely what the Chase dude told YIM.

Re: Chase's Recon Policy Confirmed with Analyst (06-13-2015)

FinStar — Sun, 14 Jun 2015 00:23:45 GMT

@Anonymous wrote:
@FinStar wrote:
@Anonymous wrote:
Unitl you don't have 5 new accounts in the last 2 years or you start to hear that they've changed the policy
Agree. Which defers my plans for Hyatt and/or AARP for sometime (which is fine), but it's always good to check periodically for trends just in the event things change direction. For the time being, probably some "quiet time" to age the newer accounts and leverage any future Chase approval.
I'm pretty sure this is only for the CSP/Freedom/Slate...i was just auto-approved for $32k on the hyatt with 5 new accounts and 3 new au accounts in the last 2 years 3 days ago.

I suppose it's YMMV since there have also been some denials documented here and on other boards for co-branded cards (Disney, Marriott, Hyatt, etc). This question also came up during my verification routine for the IHG approval. So, while the majority of the focus seems to point to CSP/Slate/Freedom, it's fairly possible that similar UW algorithms flag co-branded cards as well and could also face the same outcome.

Re: Chase's Recon Policy Confirmed with Analyst (06-13-2015)

Kostya1992 — Sun, 14 Jun 2015 00:35:07 GMT

@myjourney wrote:
@FinStar wrote:
@Kostya1992 wrote:
Don't worry they'll be crawling back when nobody wants to apply for their cards because of this stupidity.
An item to keep in mind, the forum members and most other CC boards in general (including bloggers and whatnot) represent a tiny uiverse (let's emphasize that again - TINY, ooops I made it too big) when compared to all of Chase's cardholders. Do you have any clue as to the number of outstanding credit card receivables that Chase holds? and the total of CC customers worldwide? This is about shareholder value, numbers on the street matter more than people being fussy on their recent CC policies. People abuse or circumvent, they simply adapt.

Typically, and from previous trends, Chase tends to stick to their guns for most UW policies (i.e. APR reductions, CLIs, etc). So, I suppose we'll see what the future brings!
+1000 this new policy will not break or make them in any, way, shape or form
In fact these forums are such a small minority that the average consumer who by the way does not do app sprees won't even know there was a policy change

This just sets a precedent. If they see that they can get away with this type of stupid policy they'll add more to "reduce risk".

Re: Chase's Recon Policy Confirmed with Analyst (06-13-2015)

FinStar — Sun, 14 Jun 2015 00:58:02 GMT

@Kostya1992 wrote:
@myjourney wrote:
@FinStar wrote:
@Kostya1992 wrote:
Don't worry they'll be crawling back when nobody wants to apply for their cards because of this stupidity.
An item to keep in mind, the forum members and most other CC boards in general (including bloggers and whatnot) represent a tiny uiverse (let's emphasize that again - TINY, ooops I made it too big) when compared to all of Chase's cardholders. Do you have any clue as to the number of outstanding credit card receivables that Chase holds? and the total of CC customers worldwide? This is about shareholder value, numbers on the street matter more than people being fussy on their recent CC policies. People abuse or circumvent, they simply adapt.

Typically, and from previous trends, Chase tends to stick to their guns for most UW policies (i.e. APR reductions, CLIs, etc). So, I suppose we'll see what the future brings!
+1000 this new policy will not break or make them in any, way, shape or form
In fact these forums are such a small minority that the average consumer who by the way does not do app sprees won't even know there was a policy change
This just sets a precedent. If they see that they can get away with this type of stupid policy they'll add more to "reduce risk".

I mean, it is what it is. At the end of the day, individuals have options/choices.

Re: Chase's Recon Policy Confirmed with Analyst (06-13-2015)

Anonymous — Sun, 14 Jun 2015 00:59:33 GMT

I was also just approved for the Hyatt card (with only $4500 limit - about in line with the rest of my cards) and I have 6 new accounts from the past year.

Re: Chase's Recon Policy Confirmed with Analyst (06-13-2015)

red259 — Sun, 14 Jun 2015 01:22:13 GMT

@FinStar wrote:
@Kostya1992 wrote:
Don't worry they'll be crawling back when nobody wants to apply for their cards because of this stupidity.
An item to keep in mind, the forum members and most other CC boards in general (including bloggers and whatnot) represent a tiny uiverse (let's emphasize that again - TINY, ooops I made it too big) when compared to all of Chase's cardholders. Do you have any clue as to the number of outstanding credit card receivables that Chase holds? and the total of CC customers worldwide? This is about shareholder value, numbers on the street matter more than people being fussy on their recent CC policies. People abuse or circumvent, they simply adapt.

Typically, and from previous trends, Chase tends to stick to their guns for most UW policies (i.e. APR reductions, CLIs, etc). So, I suppose we'll see what the future brings!

If chase stays on this path I think the end result will be a blow to their profits. There criteria is too restrictive (heck there have been reports of people with three or four cards in the past two years having issues) and I do not think having three to five accounts in the prior two years is necessarily a lot. There are people rebuilding or people with income that get constant offers. If someone with high income gets an offer from chase and they app and get rejected do you really think that person is going to be inclined to do business with chase in the future? I can tell you that my friends in high income brackets (the ones who aren't into the rewards game) would take that has a slight and would just go to a competitor. These are people who spend real money on their cards and don't even bother maximizing their redemptions (its suprising how many of them just redeem for gift cards). People don't like being rejected, especially when they have rock solid credit and significant income.

Re: Chase's Recon Policy Confirmed with Analyst (06-13-2015)

red259 — Sun, 14 Jun 2015 01:28:28 GMT

@FinStar wrote:
@Anonymous wrote:
@FinStar wrote:
@Anonymous wrote:
Unitl you don't have 5 new accounts in the last 2 years or you start to hear that they've changed the policy
Agree. Which defers my plans for Hyatt and/or AARP for sometime (which is fine), but it's always good to check periodically for trends just in the event things change direction. For the time being, probably some "quiet time" to age the newer accounts and leverage any future Chase approval.
I'm pretty sure this is only for the CSP/Freedom/Slate...i was just auto-approved for $32k on the hyatt with 5 new accounts and 3 new au accounts in the last 2 years 3 days ago.
I suppose it's YMMV since there have also been some denials documented here and on other boards for co-branded cards (Disney, Marriott, Hyatt, etc). This question also came up during my verification routine for the IHG approval. So, while the majority of the focus seems to point to CSP/Slate/Freedom, it's fairly possible that similar UW algorithms flag co-branded cards as well and could also face the same outcome.

I have seen numerous reports of people being denied freedom then turning around and being instant approved for a co-branded card. Its pretty clear co-branded cards are not held to same standard and people having to recon on those are likely people that would have had to go through a recon under the old policies (and part of the old recon was looking at number of new accounts).

Re: Chase's Recon Policy Confirmed with Analyst (06-13-2015)

kdm31091 — Sun, 14 Jun 2015 01:28:45 GMT

@red259 wrote:
@FinStar wrote:
@Kostya1992 wrote:
Don't worry they'll be crawling back when nobody wants to apply for their cards because of this stupidity.
An item to keep in mind, the forum members and most other CC boards in general (including bloggers and whatnot) represent a tiny uiverse (let's emphasize that again - TINY, ooops I made it too big) when compared to all of Chase's cardholders. Do you have any clue as to the number of outstanding credit card receivables that Chase holds? and the total of CC customers worldwide? This is about shareholder value, numbers on the street matter more than people being fussy on their recent CC policies. People abuse or circumvent, they simply adapt.

Typically, and from previous trends, Chase tends to stick to their guns for most UW policies (i.e. APR reductions, CLIs, etc). So, I suppose we'll see what the future brings!
If chase stays on this path I think the end result will be a blow to their profits. There criteria is too restrictive (heck there have been reports of people with three or four cards in the past two years having issues) and I do not think having three to five accounts in the prior two years is necessarily a lot. There are people rebuilding or people with income that get constant offers. If someone with high income gets an offer from chase and they app and get rejected do you really think that person is going to be inclined to do business with chase in the future? I can tell you that my friends in high income brackets (the ones who aren't into the rewards game) would take that has a slight and would just go to a competitor. These are people who spend real money on their cards and don't even bother maximizing their redemptions (its suprising how many of them just redeem for gift cards). People don't like being rejected, especially when they have rock solid credit and significant income.

I don't see this as a potential "blow to profits".

First of all the number of everyday consumers who are applying for several credit cards a year is pretty low. This site with reward/bonus chasers represents a small portion of the population. Nobody on here is really representative of a "typical" customer. So them tightening up on the few people (relatively speaking) who this impacts is not going to make them go bankrupt. Your typical consumer also does not go through recon or even know it exists. They just assume if declined that it's final and they move on with their lives.

I think people are making this a lot more than what it is. Chase simply doesn't want people who have obtained a ton of cards recently. It's really not terribly complicated or surprising. Unfortunately, whether it's fair or not, you're percieved as more of a risk if you have 6 accounts, let's say, opened in the past six months. It's just how it is.

And also, the heavy recent appers may not have luck with a competitor anyway -- they can get declined for the same reason! Too many new accounts is too many new accounts, period. While every lender has its own timeframe, it's not an uncommon denial reason.

It sucks getting declined but it is honestly not the end of the world. You just wait it out and try again later. Nobody needs a credit card so badly that it cannot possibly wait. Chase is just forcing people to slow down with them, whether we like it or not. It is what it is.

Re: Chase's Recon Policy Confirmed with Analyst (06-13-2015)

JSS3 — Sun, 14 Jun 2015 01:29:25 GMT

It keeps being stated that Myfico'rs are an anomaly(which I agree with). That the vast majority of normal people do NOT spree and do not open as many cards as we do in a lifetime. Why the need to enact such a restrictive policy that the overwhelmingly majority of people are already doing?