topic Re: Advice on velocity in Credit Cards

Advice on velocity

Anonymous — Tue, 09 Apr 2019 06:28:20 GMT

Hi guys, just needed some advice. Im working on my 5/24 cards. Currently I have capital one quicksilver, discover it, freedom unlimited. How long should I wait till I apply for the ink cash card? Should I garden for awhile? Goal is to have the CSR and Hyatt cards as last two slots of 5/24. But sneak in one ink card.

Here's the age of my cards:
QS- September 2018
Discover- February 2019
Chase FU- March 2019

Fico 9- 762
Experian-715
Credit karma-TU-700/EX-700

My income is 50k and I do have a legit side hustle

Re: Advice on velocity

Anonymous — Tue, 09 Apr 2019 07:53:47 GMT

I recommend 6 months between Chase apps.

Re: Advice on velocity

sarge12 — Tue, 09 Apr 2019 08:13:41 GMT

@Anonymous wrote:
Hi guys, just needed some advice. Im working on my 5/24 cards. Currently I have capital one quicksilver, discover it, freedom unlimited. How long should I wait till I apply for the ink cash card? Should I garden for awhile? Goal is to have the CSR and Hyatt cards as last two slots of 5/24. But sneak in one ink card.

Here's the age of my cards:
QS- September 2018
Discover- February 2019
Chase FU- March 2019

Fico 9- 762
Experian-715
Credit karma-TU-700/EX-700

My income is 50k and I do have a legit side hustle

If you have discover card, why are you listing the credit Karma scores for TU and EX? The free fico08 score for TU comes with the credit card account, and discovers creditscorecard.com provides a EX fico08 free to everybody. No need to display a meaningless Vantage 3.0 score that lenders do not use. Just curious, but thought you may not realize that was available.

Re: Advice on velocity

Anonymous — Tue, 09 Apr 2019 08:43:22 GMT

Didn't know what was relevant. So I just put those up. The fico 9 model is from my wells fargo investment account. The discover fico 8 score I have is 746.
Hopefully this helps with my question about when I can apply next.

Re: Advice on velocity

Anonymous — Tue, 09 Apr 2019 08:45:00 GMT

Whoo... 6 months? That's a long time. Is it cause of my aaoa or is it just a general guideline? ⌛

Re: Advice on velocity

Caught750 — Tue, 09 Apr 2019 09:33:54 GMT

There are many reasons for it but there are 2 big ones, 1 card every 6 months keeps you under 5/24. Secondly, the are many reports on here of Chase being skittish and closing ALL OF YOUR ACCOUNTS with them if they feel that you are asking for too much too fast.

I have not had any issue with Chase, personally, and they are currently my primary FI. I have actually found them to be very generous with my profile and that they were far more lenient of certain thresholds than many here believe them to be.

That said, what income are you working with? That may also dampen your plans if it isn’t sufficient for solid CLs across that many cards. Regardless I’d wait an absolute minimum of 3 months, and more comfortably 6 months, between Chase apps.

Re: Advice on velocity

CreditInspired — Tue, 09 Apr 2019 10:42:12 GMT

@Anonymous wrote:
Hi guys, just needed some advice. Im working on my 5/24 cards. Currently I have capital one quicksilver, discover it, freedom unlimited. How long should I wait till I apply for the ink cash card? Should I garden for awhile? Goal is to have the CSR and Hyatt cards as last two slots of 5/24. But sneak in one ink card.

Here's the age of my cards:
QS- September 2018
Discover- February 2019
Chase FU- March 2019

Fico 9- 762
Experian-715
Credit karma-TU-700/EX-700

My income is 50k and I do have a legit side hustle

Hi and welcome

Since the AoYA is 0 months and your file is really thin, IMHO, I suggest waiting until that card is 12 months.

Re: Advice on velocity

sarge12 — Tue, 09 Apr 2019 11:32:13 GMT

OK, If you only have 3 credit cards, all obtained since September, I am assuming you are very young with a short credit history. You mentioned no other type of debt such as installment loans like a car. Three cards is enough credit cards to build your score, but I do not really know if establishing good credit scores is a goal you are looking for. If in fact, that is your only credit lines of any type, applying for that fourth card may make even your current card issuers nervous. Obtaining too many cards quickly at the beginning of your credit history can trigger red flags on even your current credit card accounts. Attempting to rush getting too many cards may cost you some of the cards you already have, or cause them to decrease your credit limits. Also I do not know what you mean by a side hustle...is it reportable income for which you receive W2 forms for? If not you might not want to put it down as income on a credit application. I am not trying to be judgemental or anything, but you are giving me or anyone else very little to base any experience based advice on, so I am using assumptions that may not even apply to you at all. You might be 40 with a motgage and a car loan with 20 years of other types of credit, I just don't have any way of knowing. If you have a lengthy credit history with debts other than cards, any advise I give you might be different. I hope this helps, but if not, I gave the best advice I could with what you posted, based on my assumptions of other debt.

Re: Advice on velocity

sarge12 — Tue, 09 Apr 2019 12:05:43 GMT

OP...I forgot to add...you said you did not know what was relevent for credit scores. Vantage 3.0 scores are real credit scores. They are real scores that no lenders or credit card issuers ever pull, so even though they are real scores, they are not relevent. They are worth what you pay for them, which is nothing, barely. Also do not get tangled in the weeds on any of these ridiculous credit estimators that you enter an action for it to predict how it will affect your scores. They are all wrong more often than they are right, and that includes the one on myfico site. They are even worth less than the Vantage 3.0 scores. There are just too many variables in credit profiles to make predictions. The members here are often very experienced with credit issues, but we cannot say for sure if applying for a card will be a bad move. We just draw on our own experience as well as reading many thousands of discussions here where others have shared their own experinces. We are all guessing, but it is usually educated guesses. My best guess is to wait till the first card is 12 months old in September. It is just an educated guess though, and is not even very educated if I am making the wrong assumptions of any other credit you have.

Re: Advice on velocity

AverageJoesCredit — Tue, 09 Apr 2019 12:41:35 GMT

Credit Karma does not give Experian scores, only TU and EQ

Re: Advice on velocity

AverageJoesCredit — Tue, 09 Apr 2019 12:45:34 GMT

My advice on velocity is slow down. The credit environment right now does not favor the bold. Build your profile , especially with Chase, at a nice pace. As stated upthread, Chase doesnt like alot of apping in short time period. Please add more info about your credit profile to get best advice, like Sarge said, you are off to a great start, no need to damage yourself by apping too soon

Re: Advice on velocity

zerofire — Wed, 10 Apr 2019 02:37:12 GMT

I agree with AverageJoe. You have a good start with your profile where your off the starting line and are clearly flying down the track. However if you add another credit card you are prone to blowing a piston, losing your momentum, and basically get your existing limits dropped. You have pretty much maxed out on available cards until a year has gone by as your history is thin and fresh but needs to be cooked in the oven a bit with time.

Re: Advice on velocity

Anonymous — Wed, 10 Apr 2019 03:04:10 GMT

Hey sarge, and everyone who replied. Thank you all for the advice. That really helped alot. So, yeah I guess I should've given more info. But the general advice all of you gave were resoundingly similar. So I'll garden for awhile and wait till my oldest card is a minimum of one year. I do have other loans (two autos) but I paid both off early and they only show about 6 months of history. That's why I didn't even think to add them.

I teach scuba diving as a side hustle. I am considered an independent contractor.

Anyway with all that being said. I guess when it's time I'll app for the CIC, get the minimum spend then go for the sapphire. Then after another 6 months (?) Go for the Hyatt card as my last 5/24.

Planning on keeping and using all these for long term. The only other card I might consider in the future is the venture card. Otherwise, not interested in amex or citi.

Once again thank you all!!!

Re: Advice on velocity

sarge12 — Wed, 10 Apr 2019 03:51:47 GMT

Asnknight 5... having satisfactorily paid installment loans in you history does matter a lot. It would matter even more if an installment debt was actually open. Credit scores would be a good bit higher if one was open in September. Having two different kinds of credit could cause a higher score after a short loss of points due to an added new account. Many people even open new installment loans and immediately pay all but a small portion off to show installment loan with low utilization. I am not saying you should do that, but many people here do that. edit: The increased score is due to the credit mix...lenders like to see you can handle both well.

Re: Advice on velocity

Anonymous — Wed, 10 Apr 2019 04:00:24 GMT

🤙🏼 wow thank you for the tip/advice!!! You should do this for a living. The only time I've ever received advice this valuable is through my fiduciary! Lol

Since September is the 1 year anniversary of my oldest card, should I wait till October since the credit reports all seem to be one month behind schedule?

Re: Advice on velocity

sarge12 — Wed, 10 Apr 2019 04:18:34 GMT

@Anonymous wrote:
🤙🏼 wow thank you for the tip/advice!!! You should do this for a living. The only time I've ever received advice this valuable is through my fiduciary! Lol

Since September is the 1 year anniversary of my oldest card, should I wait till October since the credit reports all seem to be one month behind schedule?

Probably. In order to obtain a perfect 850 score you need just one open installment loan account. There are some credit unions an such that let you take the loan, and pay it all but the last payment right away, and the last payment need not be paid till the last month. I have never done this, but many in these boards have and can tell you where to get the loan. It will cost you a little interest. but for many, the improved scores are worth it. I would fully recomend this if someone does not mess up and not remember to make that last payment. It is just a way to get an installment loan in the mix at a small cost in interest. Go to the rebuilders section to search for some posts about it.

Re: Advice on velocity

sarge12 — Wed, 10 Apr 2019 23:39:28 GMT

@Anonymous wrote:
🤙🏼 wow thank you for the tip/advice!!! You should do this for a living. The only time I've ever received advice this valuable is through my fiduciary! Lol

Since September is the 1 year anniversary of my oldest card, should I wait till October since the credit reports all seem to be one month behind schedule?

If you really want to get the most possible credit score points, here is what you need. At least 3 credit cards, more will help make utilization easier, but 3 is enough to get a perfect score if all else is good. You need 1 installment loan that does not have very high utilization, and installment loans utilization is not the same as the credit cards and is balance compared to starting balance. If you have a mortgage it will help your score go up faster, but many have acheived 850 scores without a mortgage. You will need the overall credit card utilization to be less than 9%, with no single cards utilization being over 29%. The utilization is a point in time metric though, so as long as the utilization is there when applying, you will get maximum points. Keep in mind this is reported balances, so you would need those balances to be there at each cards statement closing, which is different than the due date. Everything else is mainly time related...it takes a long time to get perfect scores. EDIT::: you do of course have to have perfect payment history for 7 years, with no derogatories.

Re: Advice on velocity

sarge12 — Wed, 10 Apr 2019 23:50:11 GMT

Rather than edit my last post again, I wanted to say...perfect payment history for seven years is not necessarily accurate because I think some have gotten it with less than 7 years credit history period, and I think the effects of a 30 day late does not last that long. After 7 years most derogetory data ages off of your report. If any serious delinquincies over 90 days late, collections, judgements etc. is on your report, it will prevent a 850 score. You may be able to get 850 in less than 7 years with a totally clean report.

Re: Advice on velocity

kdm31091 — Thu, 11 Apr 2019 00:05:21 GMT

My general advice on velocity is to keep apps few and far between. The credit landscape has changed since many of the forum or blog posts you may have read that were written 2, 3, 5, etc years ago. Lenders have really cracked down on aggressive credit seeking and even a few apps in a short period of time is abnormal relative to the general population - not a good thing to be abnormal when you're trying to build a solid history.

I would space out apps at least six months, build history with a product/lender, rinse and repeat until you get to where you want to be. I don't suggest collecting cards just for the sake of it, but only you can decide what the final number is.

Re: Advice on velocity

sarge12 — Thu, 11 Apr 2019 00:18:12 GMT

I agree, which is why I am in the garden myself. I do know that it is just a matter of time till one of the issuers offer me some crazy 200 dollar SUB. It is also likely that I then get another card that I use long enough to get the SUB, then throw it in the sock drawer with all the other unused cards that gav me some fairly high SUB. What makes it even crazier is...I do not need the money!!! It feels like I am being a sellout, but 200 bucks for 1 measly inquiry is a hard thing to pass on.