topic Re: Pre quallified for Chase advice please in Credit Cards

Pre quallified for Chase advice please

Anonymous — Sat, 30 Apr 2016 05:57:36 GMT

Im looking for advice..

I am planning to refinance my auto loan in mid to late may.

Would i be making a huge mistake by applying for another credit card?

I just went to chase websie to see if i was pre qualified for a card and it says that im qualified for chase freedom and slate.

Im excited about having a new card other than capial one.

Fingerhut $70/900 Opened 11/2015

Overstock $164/ 350 Opened 11/2015

Victoria Secret $0/1200 Opened 2/2015

Kay Jewellers $115/900 Opened 4/2012

Capital One Platinum Secured $165/500 Opened 8/2014

Capital One Platinum Unsecured $380/1500 Opened 11/2015

Lumber Liquidators $380/1500 Opened 3/2016

Personal Loan $40/500 Opened 5/2015

Auto Loan $12,015/13500 19% apr Opened 8/2015

I currently have 8-10 Inquires

Average Age of Accounts 1 year 2 months

No late payments

1 account in collections $600 from 2012

Current credit score is 643 (vintage 3)

Of course most importantly i need to refinance my car so if this will be very harmful to my credit than i wont go for the chase. Hopefully i can still be prequalified after i refinance.

Also can anyone tell me what kind of results i can expect on my credit profile once my small personal loan of 500$ will be complete?

Also

I dont believe i have a ho shot with the slate card as the prequal says but maybe i can get the Chase freedom

Re: Pre quallified for Chase advice please

Kevin86475391 — Sat, 30 Apr 2016 06:09:14 GMT

I'd definitely recommend waiting. Mid-to-late May is just a couple of weeks (to a month) away. That's really no time at all. In fact I kinda think it's good to just spend that long thinking about whether or not you truly want to apply for a card before you pull the trigger.

The refinancing is clearly a much bigger priority and the time horizon on this is so short. Please just sit tight.

Good luck getting a great new rate on your refinancing!

Re: Pre quallified for Chase advice please

Anonymous — Sat, 30 Apr 2016 06:19:32 GMT

kevin thank you for reconfirming!

I should definately wait i have been rying to wai since December when my credit union had a special on auto financing...

I just kept putting the apply for refinance off... and here we are a few days away from may and I would really hate to mess this up.

All of my cards will have reported one last time by may 20th before i go in with HIGH HOPES!

My car insurance and car payment are eating my funds up... I hope to get 10-6 % apr

Re: Pre quallified for Chase advice please

CreditDunce — Sat, 30 Apr 2016 21:16:47 GMT

I think you could get away with adding one more account without hurting your score that much. One more TL should not drop your AAoA below the 1 year mark. When you are ready to re-fi (I am assuming you are waiting to pretty up your credit report before the re-fi), apply for the freedom or slate. Just in case Chase denies you for 5/24, I would have a backup card to apply for. Something like Barclay rewards card, Discover IT, etc. If you get denied, it isn't a big deal. Just hang out in the garden for a year and try again.

Note: By pretty-up, I mean all but one credit card report zero balance. The one with a balance should have less than 10% utilization showing.

Re: Pre quallified for Chase advice please

Aahz — Sat, 30 Apr 2016 22:01:59 GMT

@Anonymous wrote:
Im looking for advice..
I am planning to refinance my auto loan in mid to late may.
Would i be making a huge mistake by applying for another credit card?
I just went to chase websie to see if i was pre qualified for a card and it says that im qualified for chase freedom and slate.

Fingerhut $70/900 Opened 11/2015
Overstock $164/ 350 Opened 11/2015
Victoria Secret $0/1200 Opened 2/2015
Capital One Platinum Secured $165/500 Opened 8/2014
Capital One Platinum Unsecured $380/1500 Opened 11/2015
Lumber Liquidators $380/1500 Opened 3/2016

The prequal site does not take into account the number of new cards you've opened. You have 6 new cards in the last 24 months which means you will be denied for both the Freedom or Slate card without the possibility of reconsideration. Don't waste the hard pull and look to another lender for your next card.

Re: Pre quallified for Chase advice please

Anonymous — Sat, 30 Apr 2016 22:07:08 GMT

The prequal should take that into account because they SP your report. They're hit and miss though but people have gotten away with getting a new chase card outside the 5/24 rule at a branch. But, as stated, definitely just refi first because of that inquiry drops your score some then you could get a higher APR

Also don't just app because you got a prequal. The car is more important and you're paying WAYYYYY too much in interest.

Re: Pre quallified for Chase advice please

Anonymous — Sat, 30 Apr 2016 22:09:02 GMT

And also, before apping for either (car or card), DEFINITELY pay some of those balances off. You're reporting a balance on every card you own. Even if you pay off 1-3 of those small ones you should see a score increase by late May and get a possible lower APR

Re: Pre quallified for Chase advice please

Aahz — Sat, 30 Apr 2016 22:21:49 GMT

@Anonymous wrote:
The prequal should take that into account because they SP your report.

It should, but it doesn't. I got denied for 5/24 last May despite site and mailer and the site has shown me prequalified every month since.

Re: Pre quallified for Chase advice please

taxi818 — Sat, 30 Apr 2016 23:13:39 GMT

Getting that card will have very little if any effect on you refinancing your car. I thought like you did and when i went to the dealer to buy my car. No one cared about the number of inquiries or how many cards i had. Not even how much credit card debt i was showing. i got great rate. <5% with no problem. I apped chase in november 2014. Denied. july 2015 got the pre approval. Jumped on it and went to verification. But ulitmately was approved after sending my driver license in. Good luck. Get it while you can.

Re: Pre quallified for Chase advice please

UncleB — Sat, 30 Apr 2016 23:30:05 GMT

@Aahz wrote:
@Anonymous wrote:
The prequal should take that into account because they SP your report.
It should, but it doesn't. I got denied for 5/24 last May despite site and mailer and the site has shown me prequalified every month since.

I think this might be YMMV... in my own case, for months I had a "standing" pre-qual for Freedom and Slate, and within weeks of my two new accounts reporting back in August I ceased to have a pre-qual for anything with Chase - and my credit score had gone up.

I'm not saying it's perfect (it did take a few weeks to catch up), but at least in my case it did seem to "know" I was beyond the rule, which I appreciated (otherwise I might have wasted a HP).

Re: Pre quallified for Chase advice please

Anonymous — Sun, 01 May 2016 00:11:40 GMT

Taxi, I am not saying the cards nor the accounts will affect it, but the inquiries and utility affect the SCORE which could effect the APR.

Re: Pre quallified for Chase advice please

Anonymous — Sun, 01 May 2016 00:14:21 GMT

I Hadn't used Fingerhut and overstock in quite some time so I made a purchase to show some activity... I didn't know having a balance on my cards were bad if my utilization is good... Hopefully that doesn't hurt when I apply for refinance..

The overstock limit is so darn small I try not to pay off immediately so it gets a chance to report...

I can PIF overstock, Kay, and Fingerhut

I don't think the fingerhut statement has come out yet.. I haven't used the card since November so should wait to pay that balance untill the statement comes out right?

Re: Pre quallified for Chase advice please

CreditDunce — Sun, 01 May 2016 01:33:34 GMT

Since you are planning to app/re-fi, I would pay the fingerhut balance now. The usage will keep the account open even if it doesn't report a statement balance. While you are at it, you might as well pay the other small balances off. The % of cards reporting a balance is a small factor with FICO 08. None the less, no need to leave points on the table.

I will stand by my earlier post. Re-fi the card and apply for 1 or 2 cards at the same time. Do the app's before the new account hits and potentially lowers your score. If Chase denies you, no big deal. INQs aren't a big deal if you are going to be in the garden for the next 12 months. However, I would think about a second card you might want to apply for at the same time. It would be good for you to have three regular, unsecured credit cards. A personal fav' of mine is Discover IT for thin files. However, Discover is unpredictable if you would be approved. You can find many other choices for "average" credit.

Good Luck!

Re: Pre quallified for Chase advice please

Anonymous — Sun, 01 May 2016 01:46:14 GMT

Before we recommend cards we should probably get an actual fico. The vantage isn't going to be very accurate and discover pulls fico 08

Re: Pre quallified for Chase advice please

Anonymous — Sun, 01 May 2016 02:04:01 GMT

Thanks for all of the advice.. I'm going to prioritize the refinance of car.. At my credit union I'll have to apply by paper application and it usually takes five days b4 I'll know results.. At least that how it was when I applied for a personal loan... So unfortunately I won't know what exact day they pull my credit. So after that I'll got for a mother credit card or two... I'm pretty sure I could get one of the quick silvers and also I'll try for discover or chase... I won't worry about any inquires once I get that refinance taken care of and this time next year my profile should show much improvement...

If I don't get the refinance from my credit union I'll just apply with an online lender and hope for the best... I've had pre qualifications in the mail from open road, avant, and capital one (capital one was a new car loan) but I'd probably just try cap one... We will see...

Re: Pre quallified for Chase advice please

Anonymous — Sun, 01 May 2016 02:30:06 GMT

Depending on your year, I wouldn't try cap1 (or any BANK for that matter). If you look at their site you'll see that the APR goes up as the age goes up. Most credit unions don't do that garbage.

Re: Pre quallified for Chase advice please

Anonymous — Sun, 01 May 2016 02:33:47 GMT

It's a 2013... Thanks for the info... It's fairly new...

Re: Pre quallified for Chase advice please

Anonymous — Sun, 01 May 2016 02:46:21 GMT

Good luck

Re: Pre quallified for Chase advice please

Anonymous — Sun, 01 May 2016 04:23:42 GMT

@CreditDunce wrote:
I think you could get away with adding one more account without hurting your score that much. One more TL should not drop your AAoA below the 1 year mark. When you are ready to re-fi (I am assuming you are waiting to pretty up your credit report before the re-fi), apply for the freedom or slate. Just in case Chase denies you for 5/24, I would have a backup card to apply for. Something like Barclay rewards card, Discover IT, etc. If you get denied, it isn't a big deal. Just hang out in the garden for a year and try again.

Note: By pretty-up, I mean all but one credit card report zero balance. The one with a balance should have less than 10% utilization showing.

I completely disagree (If you are saying it is ok to apply for the card before refi) and am feel like the default advice sometimes is to "go for it". given the short timeframe, regardless of what "might" happen, the prudent thing is to wait. If one cannot wait 30days to apply for a credit card in order to ensure they are in the best possible place for a refi I would question their overall credit judgement.

While we can all sit here as potificate that 1 more inquiry will not hurt, the OP is the one that has to deal with the consequences. What if that 1 inquriy for the CU meant the difference between a 6% loan and a 10% loan.

OP, while you may get it and it may not hurt you just never know. The Chase cards will always be there. Don't risk your ability to get that 19% APR down and save yourself some cash....

Re: Pre quallified for Chase advice please

Anonymous — Sun, 01 May 2016 04:36:55 GMT

Thanks starz... I've taken everyone's advice... You've all helped me feel a little more confident for when I apply for the refinance...

I won't be applying for anymore cards until after I get a my refinance loan taken care of...

As of tonight I brought my utilization down to $937 out of $7,000 credit limit which brings me to about 14% utilization.

I tried my luck and got 200$ increase which brought my total credit lines to $7000 it was $6800 so any bit helps...

I feel that I'm prepared!

I'll be happy w/ 10% apr rather than 19% but if I get any thing under 8% apt I am throwing a party! ☺️