topic Re: Thinking about apping for some new cards. in Credit Cards

Thinking about apping for some new cards.

Thediamond — Sun, 12 Dec 2021 22:26:45 GMT

Hi everyone! Long time lurker first time poster in need of some advice.

cards I have currently:

1. BofA Cash Rewards: 5,700 limit. Opened in April 2012 with 700 limit. 20.99 current apr.

2. Citi forward, now double cash: 1,820 limit. Originally got it up to 4500 but with a job loss and pandemic they lowered it down to this. Have had the card since October of 2012. 10.99 APR.

3. Discover more: 6,400 limit. Opened this card the same day as citi forward/double cash. Started with 1500 and they have been nothing but kind to me and raised it when they can. 17.24 apr

4. chase freedom: opened in may of 2013 with a 2,400 limit. With Job loss and pandemic hit they've lowered it 1000 now. 18.99 apr

5. chase southwest rapid rewards plus. Opened in June of 2013, 3600 limit. 15.24 APR.

6. Amex BCE: December of 2013. 2000 limit. 23.99 APR.

7. Amex SPG, now Marriott bonvoy. December of 2013. Originally started with 4000 limit. Now at 5k.
8. capital one venture one: 10k limit. Opened in September of 2015. 21.90 APR.

9. Citi Aadvantage Platinum Select: opened in September of 2015 with a 4K limit. With the pandemic again and job loss from before they brought the limit down to 2,380.

with all that being said, I had 70% utilization at the beginning of the year. With finding a new job and graduating and combining my unemployment checks I have brought my debts down from 28,500 to about 12,800. As on capital one I have a balance of 4023.46, on discover I have a balance of 3527.72 and my other Amex I have a balance of 4870.05. I do have enough money in my savings that I can use to pay off one other card I'm really interested in the CSP, Citi premier, and US Bank Cash plus as I haven't applied for a card in about 6 years and would like to increase my overall lines as well. I have a current income of 32,500 and I live at home. I do have some travel coming up and my parents are more then happy to reimburse me back for any charges if they need to. What do my chances look like? Any advice? Also current scores as of the 7th: EX: 712, TU: 704, and EQ: 686. AAOA: 8 years or so

Thanks everyone!

-D

Re: Thinking about apping for some new cards.

xenon3030 — Mon, 13 Dec 2021 00:35:49 GMT

Based on your post, the only parameter that impacts your Fico8 is your high utilization ratio. Your debt is not very high and if you can pay it almost off, you may boost your credit score to ~770+. Afterward, you may apply for a few decent cards with high SUB.

CSP earlier this year had a SUB of ~100k (AF waived) but I guess, it requires better credit score (check Chase prequal). Its SUB got reduced recently and you may consider other cards for the moment.

If you have upcoming travels, you may consider Amex Gold. It has AF~250$, while high SUB also (check Amex prequal).

Re: Thinking about apping for some new cards.

Thediamond — Mon, 13 Dec 2021 00:53:15 GMT

Hi xenon! Thank you for taking the time to respond back to my post.

I'm sort of getting there. I currently have about 4600 in my checking account and about 2200 in my savings. I can take about 2000 of that and payoff my old SPG or either my discover or capital one. Or I can continue to pay the minimum on time and save and then get rid of a card balance in one go. For some reason I can never get the chase prequal

to show up haha. I've had a PRG in the past that I've had and closed since I didn't get much use out of it then. I heard chase has a 5/24 rule now so I'm not sure what to make of that. I should also add that I've never had a missed payment or any lates. Ever so I assume that helps. What would you recommend as those are really the only cards that I'm interested in. I have pretty much everything else I could need credit wise. I've always wanted a CSP (for the dining and UR) and the Cash plus would be idea since I pay my family's phone bill every month, Citi premier because I like their rewards structure and have been a customer for years. I'm guessing the utilization would probably deny me for all 3 cards?

I appreciate it! Sorry, brand new to the forums but I've learned a lot in my short time here some of these threads.

Re: Thinking about apping for some new cards.

SoCalGardener — Mon, 13 Dec 2021 01:35:32 GMT

Welcome aboard, @Thediamond! You're in a great place for all things credit-related.

Something jumped off the page at me: your credit limits are very low, and your APRs are very high, considering how old some of your accounts are. With your current scores, I'm wondering why?! Have you requested credit limit increases and/or APR decreases with any of your accounts? If not, you might want to consider doing that with the banks that don't do a hard pull for CLI requests. In other words, you won't be hurting your scores by asking for CLIs, as long as the bank involved doesn't do a hard pull. If you need guidance on which banks do or don't, just ask! You could increase your overall credit limit--which would also decrease your overall utilization--without having to apply for any new cards this way.

This troubles me:

"I currently have about 4600 in my checking account and about 2200 in my savings. I can take about 2000 of that and payoff my old SPG or either my discover or capital one. Or I can continue to pay the minimum on time and save and then get rid of a card balance in one go."

In my opinion, making minimum payments should be reserved for when you have no other choice, such as job loss. Looking at your APRs, and thinking about only making minimum payments....ugh....my head hurts thinking about all the interest you'll accrue! This is my personal advice, my $0.02 worth, which you can take or leave: ALWAYS pay more than the minimum, unless you're literally unable to. Even if you're zeroing in on paying off one card, don't neglect the others by only making minimum payments. This is a good habit to get into. An even better one is to pay in full every month, but all in due time!

Re: Thinking about apping for some new cards.

Thediamond — Mon, 13 Dec 2021 01:59:03 GMT

Hello SoCal! (Are you from SoCal? If so, I am too!).

I haven't requested anything in years. I basically lost my job from a car accident (got hit by a driver without any insurance+no medical insurance). So in order to pay my bills I used my credit cards and piled on more debt. I just figured with all that debt I could slowly start paying all of it off here and there but unfortunately for me many of the banks either cut my limits or raised my APR. In that time I'm fortunate that I haven't missed any payments or other issues other then that debt. I've tried with Citi on my DC (AA doesn't have an option for me on there weirdly enough) and they just saw the spend is to low and too much revolving debt. Discover however bumped up my CL from 5500 to 6400 a couple weeks ago. I know! Believe me I hate paying the interest and I'm fortunate enough that I have a job again that pays okay for now and can make more headway into it (yay for living at home). If I could PIF all of them right now, I would. That and I stuck with paying in cash for years so as to avoid adding more debt. Does any of this make sense? Lol. That and I don't want to scare AMEX for a CLI. I'm more of looking as to what the best course of action would be. I'd love to apply for them around my birthday (in may). Or if I have a chance of getting approved now, I don't mind burning an inquiry or two. Unfortunately I'll be paying the minimum for a little while longer but I think I've made progress PIFing 6 out of 9 cards and cutting it down from 70 overalls util to about 33 or so.

again, thank you for reading my post. Much appreciated!

Re: Thinking about apping for some new cards.

JFox418 — Mon, 13 Dec 2021 15:18:27 GMT

@Thediamond what are your individual card utilizations? I'm in a similar situation that I started really getting aggressive about a few months ago. Some cards around %90 UTIL. I've been trying to formulate a plan that saves me interest and bumps my scores at the same time. Getting each account below %49 made a big difference in my scores but even then when I app'd few a few new cards I got a pretty low SL (assuming because of current balances, even with scores over 800)

Re: Thinking about apping for some new cards.

Thediamond — Mon, 13 Dec 2021 15:24:44 GMT

@JFox418 - on my old SPG: about 95 %.
Discover: 55%, and about 40% on my venture one. Everything else is PIF'ed as of rn.

Re: Thinking about apping for some new cards.

JFox418 — Mon, 13 Dec 2021 15:28:01 GMT

@Thediamond wrote:
@JFox418 - on my old SPG: about 95 %.
Discover: 55%, and about 40% on my venture one. Everything else is PIF'ed as of rn.

Can you make a payment on the SPG to get it down to %48? Then a payment on Discover to get it down to %48 as well? SPG is dinging you hard right now. I just picked up 28 points by getting two cards over %50 down to %48. The next tier is getting them down to around %28.

Re: Thinking about apping for some new cards.

Thediamond — Mon, 13 Dec 2021 16:22:56 GMT

I could but I'd rather just PIF a card and not have to think about it.

Re: Thinking about apping for some new cards.

JFox418 — Mon, 13 Dec 2021 17:02:30 GMT

@Thediamond wrote:
I could but I'd rather just PIF a card and not have to think about it.

Guess it all depends on what you want to do and when. I'd definitely worry most about that %95 card. That one is hurting you the most and would most likely keep you from being approved for anything. If that was PIF then your %55 card would be the worst one and like I said, over %50 dings you pretty bad.

Re: Thinking about apping for some new cards.

Thediamond — Mon, 13 Dec 2021 17:10:06 GMT

Yeah, it does. So if i PIF that one but not the venture one or my discover would I still have a shot of being approved?

Re: Thinking about apping for some new cards.

JFox418 — Mon, 13 Dec 2021 17:22:18 GMT

@Thediamond wrote:
Yeah, it does. So if i PIF that one but not the venture one or my discover would I still have a shot of being approved?

I can't really say. I was approved yesterday for a Chase Freedom Flex with a $5600 SL @ %23.74. My EX was 808 when they pulled it. I have 5 accounts showing balances, all at %48 or better UTIL. So IMO I barely squeeked past a Chase approval. FNBO Evergreen approved me for $15k SL @ %14.99 which I think is their best offer. They pulled EX as well.

Here's a thread I started with my high UTIL and score changes as they've been paid down.

Re: Thinking about apping for some new cards.

Thediamond — Mon, 13 Dec 2021 17:32:41 GMT

**bleep**. It gives me some hope aha. I mean I want the cards, but I can't say if it's worth doing it now or waiting it out.

Re: Thinking about apping for some new cards.

SouthJamaica — Mon, 13 Dec 2021 17:39:33 GMT

@Thediamond wrote:
Hi everyone! Long time lurker first time poster in need of some advice.

cards I have currently:

1. BofA Cash Rewards: 5,700 limit. Opened in April 2012 with 700 limit. 20.99 current apr.
2. Citi forward, now double cash: 1,820 limit. Originally got it up to 4500 but with a job loss and pandemic they lowered it down to this. Have had the card since October of 2012. 10.99 APR.
3. Discover more: 6,400 limit. Opened this card the same day as citi forward/double cash. Started with 1500 and they have been nothing but kind to me and raised it when they can. 17.24 apr
4. chase freedom: opened in may of 2013 with a 2,400 limit. With Job loss and pandemic hit they've lowered it 1000 now. 18.99 apr
5. chase southwest rapid rewards plus. Opened in June of 2013, 3600 limit. 15.24 APR.
6. Amex BCE: December of 2013. 2000 limit. 23.99 APR.
7. Amex SPG, now Marriott bonvoy. December of 2013. Originally started with 4000 limit. Now at 5k.
8. capital one venture one: 10k limit. Opened in September of 2015. 21.90 APR.
9. Citi Aadvantage Platinum Select: opened in September of 2015 with a 4K limit. With the pandemic again and job loss from before they brought the limit down to 2,380.

with all that being said, I had 70% utilization at the beginning of the year. With finding a new job and graduating and combining my unemployment checks I have brought my debts down from 28,500 to about 12,800. As on capital one I have a balance of 4023.46, on discover I have a balance of 3527.72 and my other Amex I have a balance of 4870.05. I do have enough money in my savings that I can use to pay off one other card I'm really interested in the CSP, Citi premier, and US Bank Cash plus as I haven't applied for a card in about 6 years and would like to increase my overall lines as well. I have a current income of 32,500 and I live at home. I do have some travel coming up and my parents are more then happy to reimburse me back for any charges if they need to. What do my chances look like? Any advice? Also current scores as of the 7th: EX: 712, TU: 704, and EQ: 686. AAOA: 8 years or so

Thanks everyone!

-D

I think you'll get a decent score boost in your FICO 8's if you use your savings to bring the Capital One, Discover, and Amex cards down to 28% or less of their limits.

Then, once all 3 have reported, go for the CSP.

Re: Thinking about apping for some new cards.

Thediamond — Mon, 13 Dec 2021 17:53:16 GMT

@SouthJamaica would you suggest spreading the amounts or just paying off one card? At this point if I don't go for the CSP, do I even stand a chance for the other two cards I mentioned? I have no relationship with US bank. Citi I only am a credit card customer with them and chase I have a banking relationship with them as well, but only about 500$ in checking and savings with them. Would that make any difference?

Re: Thinking about apping for some new cards.

JFox418 — Mon, 13 Dec 2021 20:26:57 GMT

@Thediamond wrote:
@SouthJamaica would you suggest spreading the amounts or just paying off one card? At this point if I don't go for the CSP, do I even stand a chance for the other two cards I mentioned? I have no relationship with US bank. Citi I only am a credit card customer with them and chase I have a banking relationship with them as well, but only about 500$ in checking and savings with them. Would that make any difference?

I don't know for sure, someone else who might can chime in but from what I've read I think having all your accounts showing less than %28 will be better than having one show over %50. If you don't have immediate plans for the cards other than wanting them I would try and wait. I really wanted to wait to app for mine but I want to capitalize on the %0 APR balance transfer to save interest and help pay down my balances faster.

Re: Thinking about apping for some new cards.

Thediamond — Mon, 13 Dec 2021 21:21:27 GMT

I honestly don't mind waiting. More or less I'm trying to figure out the best course of action to get them and to see if it makes sense to get them now or later. Last thing I want to do is to spook a lender or something.

Re: Thinking about apping for some new cards.

SouthJamaica — Mon, 13 Dec 2021 22:46:06 GMT

@Thediamond wrote:
@SouthJamaica would you suggest spreading the amounts or just paying off one card? At this point if I don't go for the CSP, do I even stand a chance for the other two cards I mentioned? I have no relationship with US bank. Citi I only am a credit card customer with them and chase I have a banking relationship with them as well, but only about 500$ in checking and savings with them. Would that make any difference?

I would recommend spreading them as I indicated. That will give you more of a boost in your FICO 8's and 9's, which are the most likely scores for credit card applications.

All 3 cards are about the same in degree of difficulty to obtain. You have an edge with Chase and Citi in that they both will like that you haven't added any accounts in many years.

I think you have a good shot at any one of the 3, but will have a much better shot once you've gotten rid of high utilization accounts (defined by me as 30% or more).

Since you have travel coming up, it seems to me that you should go for CSP or Premier.

I doubt that your Chase checking account will mean anything but it gives you the opportunity to check for prequalifications on the website.

Re: Thinking about apping for some new cards.

Thediamond — Tue, 14 Dec 2021 00:21:41 GMT

I think I should wait then as if I can cut it down even more in terms of overall debt, it'll increase my overall chances. However do you think the CLD's that citi and chase did on my accounts have any bearings on future approvals?

Re: Thinking about apping for some new cards.

Thediamond — Wed, 12 Jan 2022 20:45:38 GMT

Hello everyone! A bit of an update. I managed to pay off the old SPG (Marriott Bonvoy card, only balance on there is 124.00, with 95.00 AF and 29$ in interest). Is it a better time to go for the cards or still wait it out?

Thanks y'all.