topic Re: The Next Step in Credit Cards

The Next Step

Oh_Canada — Mon, 07 Sep 2009 23:38:23 GMT

I only have a 2 1/2 year credit history but I have never missed a payment. I have 3 CC accounts with the oldest being a $500 Macy's account I don't touch. I'm an authorized user on two cards, one being an Amex/Costco card for $2,000 and the other a Chase Visa card for about $8,000.

My scores are the following: Transunion: 719, EQ: 689, EX:??

I want to apply for a card today with a $10,000 limit. Do you folks think I have a chance? What are the best credit cards to apply for in my situation?

Thanks

Re: The Next Step

Anonymous — Mon, 07 Sep 2009 23:50:57 GMT

Not to get personal but what's the credit history like any baddies<-----really hate that word.

Re: The Next Step

Oh_Canada — Tue, 08 Sep 2009 00:01:08 GMT

No baddies. The only thing is lack of history. Everything has been paid on time though and there are no negative dings on the credit report.

Re: The Next Step

RobertEG — Tue, 08 Sep 2009 00:03:05 GMT

If you app for a high CL unsecured, card, they will pull your full CR. While your AU status may be helping your FICO score,it wont impress new creditors much, for it doesnt reflect your personal payment history or credit worthiness.

A Macy's store card, which you dont use, doesnt tell them much about you as a consumer.

I would start by apping for a lower CL, secured card.

Re: The Next Step

Oh_Canada — Tue, 08 Sep 2009 00:08:03 GMT

@RobertEG wrote:
If you app for a high CL unsecured, card, they will pull your full CR. While your AU status may be helping your FICO score,it wont impress new creditors much, for it doesnt reflect your personal payment history or credit worthiness.
A Macy's store card, which you dont use, doesnt tell them much about you as a consumer.

I would start by apping for a lower CL, secured card.

Thanks Robert...is a quality card like a Discover or Amex Blue Cash out of the question? Should I just start with a capital 1. I have a wedding coming up in 2 months and was hoping to get some 0% intro cards to help with the cash float.

Re: The Next Step

Anonymous — Tue, 08 Sep 2009 01:03:40 GMT

@Oh_Canada wrote:
@RobertEG wrote:
If you app for a high CL unsecured, card, they will pull your full CR. While your AU status may be helping your FICO score,it wont impress new creditors much, for it doesnt reflect your personal payment history or credit worthiness.
A Macy's store card, which you dont use, doesnt tell them much about you as a consumer.

I would start by apping for a lower CL, secured card.

Thanks Robert...is a quality card like a Discover or Amex Blue Cash out of the question? Should I just start with a capital 1. I have a wedding coming up in 2 months and was hoping to get some 0% intro cards to help with the cash float.

I think it would be "iffy" for Discover or Amex based on your limited credit history. I'm not a big fan of Cap1. If they do approve, it would probably be a low starting CL with limited upward potential.

IMO, check out a local CU in your area, or one of the prominent national CUs mentioned in these threads. Alliant would be a good choice with open membership by joining PTA. Or Addison CU. If you meet eligiblity requirements NFCU or PSECU have been highly recommended. I think you have greater long-term potential with a CU, rather than a major bank in this particular economic environment.

Message Edited by illtakecreditforthat on 09-07-2009 06:03 PM

Re: The Next Step

clocktick — Tue, 08 Sep 2009 02:12:52 GMT

@Oh_Canada wrote:

Thanks Robert...is a quality card like a Discover or Amex Blue Cash out of the question? Should I just start with a capital 1. I have a wedding coming up in 2 months and was hoping to get some 0% intro cards to help with the cash float.

I don't think they're out of the question however I think an immediate $10k limit is. You'll have to prove yourself to these companies and basically "earn" your CLIs. Your limit also depends on what you put down as your income as well.

Re: The Next Step

Anonymous — Tue, 08 Sep 2009 04:18:06 GMT

Discover in particular is not going to go first with a higher CL. They lead and do not follow. On top of which $10K is a very high opening CL with them for anybody! I would recommend you go the CU route if you want a CL that large. Also, you hopefully have the sufficient income to justify a $10K CL. Be prepared to document whatever income you claim on your app.

Re: The Next Step

Oh_Canada — Tue, 08 Sep 2009 04:21:01 GMT

@Anonymous wrote:
Discover in particular is not going to go first with a higher CL. They lead and do not follow. On top of which $10K is a very high opening CL with them for anybody! I would recommend you go the CU route if you want a CL that large. Also, you hopefully have the sufficient income to justify a $10K CL. Be prepared to document whatever income you claim on your app.
Seems like 10k is out of the question but not a problem. However, work verification might be a problem at a CU. I'm currently in the middle of a career search but my wife makes over 100k. Do they go by personal or household income?

Re: The Next Step

Anonymous — Tue, 08 Sep 2009 04:31:18 GMT

@Oh_Canada wrote:
@Anonymous wrote:
Discover in particular is not going to go first with a higher CL. They lead and do not follow. On top of which $10K is a very high opening CL with them for anybody! I would recommend you go the CU route if you want a CL that large. Also, you hopefully have the sufficient income to justify a $10K CL. Be prepared to document whatever income you claim on your app.
Seems like 10k is out of the question but not a problem. However, work verification might be a problem at a CU. I'm currently in the middle of a career search but my wife makes over 100k. Do they go by personal or household income?

Some HHI, some individual. If you can honestly put down a $100K HHI and support it you might get something from Discover. I showed them $90K and got an $8.1K opening CL from them (which by Discover standings is quite high), but I also had a $10K CL reporting which they did not meet. Discover is now my single highest reporting revolving CL at $10.1K, but I have two PenFed CC's totalling $18.6K (separate by my choice) so they are not my highest issuer. BTW - I would forget about PenFed, they work on individual income, not HHI.

Why do you need a $10K CL?

Re: The Next Step

wmarat — Tue, 08 Sep 2009 06:16:53 GMT

JMHO. CREDIT UNION.

Re: The Next Step

Oh_Canada — Tue, 08 Sep 2009 19:47:17 GMT

@Anonymous wrote:

Why do you need a $10K CL?

My wedding is coming up so I wanted to put as much of those expenses I can on a credit card with a 0% intro rate.

Re: The Next Step

Anonymous — Tue, 08 Sep 2009 19:49:41 GMT

@Oh_Canada wrote:
@Anonymous wrote:

Why do you need a $10K CL?
My wedding is coming up so I wanted to put as much of those expenses I can on a credit card with a 0% intro rate.

Does it matter who's name the card is in? (Don't even think about joint app'ing!) How is her CBR/score?

Re: The Next Step

Oh_Canada — Tue, 08 Sep 2009 22:03:37 GMT

@Anonymous wrote:

Does it matter who's name the card is in? (Don't even think about joint app'ing!) How is her CBR/score?

She has excellent credit....I just came to the U.S. recently so I'm still building mine. I just applied for a Discover Card and Capital One which gave me a combined $1500 so I am now humbled. It mattered for pride reasons but it looks like she's gonna start off being the breadwinner.

Re: The Next Step

Anonymous — Tue, 08 Sep 2009 22:39:00 GMT

I started with two basic cards when rebuilding my credit...a MasterCard and a Visa. In this particularly credit-harsh economy, I think your credit score is way, way too low for a 10k CL.

I think you've done the right thing by starting the credit history as soon as possible, but time-wise you still have a while to go. Never miss a payment in the next 4 or 5 years and you should be in the upper 700's.

Once you reach the high 700's / 800's promised land I can tell you it's nice to have, when you need to make that call and pull that "card" out of the hat. The talk about citi annual fees pushed me toward my first new cc in three years (my first Discover card) and they're bending over backwards for me.

Re: The Next Step

Anonymous — Wed, 09 Sep 2009 00:06:32 GMT

There's a little more to it than that. I got my first $10K CL card while I was sporting a 690 EQ FICO. (And EQ was pulled for the app.) So it is possible. The question is: What will work for the OP?