topic Re: Cancelling immediately after application the secured credit card in Credit Cards

Cancelling immediately after application the secured credit card

Anonymous — Tue, 28 Aug 2018 01:30:07 GMT

Hello all,

I am a new college student and some days ago I applied in a bank for a credit card. The teller told me that I can apply for 2 credit student cards (0 apr, unsecured) and receive both. However, I was rejected for both of them and when I went back he told me that these things happen in random (the rejections) and that the bank offers me a counteroffer which is a secured version (non student) of one of the aforementioned cards. Naive I was, I signed and gave a small deposit. However, I see many of my college student friends were approved for the student card in the same or other banks. Now, I want to cancel the secured one and go somewhere else to receive a student credit card, taking back my deposit. Is this gonna affect my credit score? Moreover, the fact that I was rejected had to do with the fact that I applied for two student credit cards at once?( the teller told me there won't be an issue with applying for two of those)

Re: Cancelling immediately after application the secured credit card

Anonymous — Tue, 28 Aug 2018 01:35:16 GMT

I personally would leave it open for 6 months to establish positive credit history.

Did you check Discover’s pre-qual for the student card?

Re: Cancelling immediately after application the secured credit card

Anonymous — Tue, 28 Aug 2018 01:38:28 GMT

Thank you for your answer.

I will check out the card you referring to. So you propose just to leave it open, without using it for 6 months?

Re: Cancelling immediately after application the secured credit card

Anonymous — Tue, 28 Aug 2018 01:44:07 GMT

I’d leave it open and show usage with low utility.

Re: Cancelling immediately after application the secured credit card

Gokuva — Tue, 28 Aug 2018 04:05:11 GMT

@Anonymous wrote:
I’d leave it open and show usage with low utility.

Agreed.

Re: Cancelling immediately after application the secured credit card

NRB525 — Tue, 28 Aug 2018 09:02:55 GMT

OP, which brand student card did you apply for?

Which brand of secured card did you get?

Banks will often try to help in this way, trying to provide some reduced credit card if there are reasons they do not grant the card applied for. I was rejected for a regular PenFed CC in 2014 due to high utilization on other cards, and zero history with PenFed. They allowed me to use the same HP to open a secured card for $500. I used that for just over a year, then applied for the PenFed Promise and closed the secured card after that.

However, depending on which bank this is, I would suggest calling their customer service line, or asking to see the branch manager. No teller should be encouraging you to apply for two student credit cards at the same time. This bad advice needs to be noted to either the phone support or the branch manager, because the most likely situation is the teller is trying to go for some bonus for getting customers to apply for cards.

Because you got bad advice, raising this issue to management makes them aware, and you should ask to be reconsidered for the student credit card. You should ask nicely, but firmly and persistently.

Let us know how it goes. Good luck!

Re: Cancelling immediately after application the secured credit card

Anonymous — Tue, 28 Aug 2018 15:33:48 GMT

Op has the BOA secured cc, which imo is one of the better ones.

There are some other details which may have played a factor on the credit decision. I’ll allow op to share if they choose too.

Re: Cancelling immediately after application the secured credit card

Anonymous — Wed, 29 Aug 2018 18:49:36 GMT

Hello all

The fact that needs to be added in all of this is that I am an international student and thus I don’t have an SSN number yet. Although the bank stated that I can get a card without SSN (I will get a SSN in a couple days)

Also, the fact that I was rejected for two credit (even that I have 0 credit history) will affect the credit score in the future ?

Re: Cancelling immediately after application the secured credit card

NRB525 — Wed, 29 Aug 2018 19:15:26 GMT

No, it is just the HP. The effect of those / that fades in 6 months and a year, to no effect after a year.

Re: Cancelling immediately after application the secured credit card

Anonymous — Wed, 29 Aug 2018 20:09:02 GMT

The good thing @Anonymous, since it was BOA, more than likely you will only receive one HP showing on your credit report. Although you didn’t get the card you applied for, you were approved for a card.

1 HP = 1 card balances out.