topic Re: Credit card application in Credit Cards

Credit card application

Anonymous — Sat, 28 Jan 2012 05:33:45 GMT

I would love for someone to explain to me why it is that I paid for the Equifax Fico score. I purchased the score and then applied for a credit card (one day apart) and was subsequently denied in part due to my Equifax Fico score. The version that I purchased here was 50 points higher than what I received in the denial letter from the cc company. If the number I purchase "at the source" is that much different than what is provided to anyone else, what good is it? Seems like a complete waste of money for false information. It seems better to apply for credit and see what they tell them, because you can't trust what FICO tells you. I'm feeling ripped off. Happen to anyone else?

Re: Credit card application

Anonymous — Sat, 28 Jan 2012 05:36:42 GMT

Most creditors use the FICO score but some have their own in-house formula they use, e.g. Amex. Since you mentioned Equifax I think Citi also uses their own modified Equifax which goes up to 900 something instead of the standard 850.

Re: Credit card application

Anonymous — Sat, 28 Jan 2012 05:38:56 GMT

Did the letter explain what their main issues were with your app? Regardless of what scoring model is used, those are generally the same points dragging down your score on any model. You can also call the backdoor number and try to get a recon.

Re: Credit card application

android01 — Sat, 28 Jan 2012 05:44:19 GMT

@Anonymous wrote:
I would love for someone to explain to me why it is that I paid for the Equifax Fico score. I purchased the score and then applied for a credit card (one day apart) and was subsequently denied in part due to my Equifax Fico score. The version that I purchased here was 50 points higher than what I received in the denial letter from the cc company. If the number I purchase "at the source" is that much different than what is provided to anyone else, what good is it? Seems like a complete waste of money for false information. It seems better to apply for credit and see what they tell them, because you can't trust what FICO tells you. I'm feeling ripped off. Happen to anyone else?

So what were your scores - here at MyFico - and what the lender pulled, and what card did you apply for?

Re: Credit card application

Anonymous — Sat, 28 Jan 2012 05:45:46 GMT

@Anonymous wrote:
I would love for someone to explain to me why it is that I paid for the Equifax Fico score. I purchased the score and then applied for a credit card (one day apart) and was subsequently denied in part due to my Equifax Fico score. The version that I purchased here was 50 points higher than what I received in the denial letter from the cc company. If the number I purchase "at the source" is that much different than what is provided to anyone else, what good is it? Seems like a complete waste of money for false information. It seems better to apply for credit and see what they tell them, because you can't trust what FICO tells you. I'm feeling ripped off. Happen to anyone else?

The problem is that not all creditors use FICO scores. A bunch of them use their own scoring, or some kind of FAKO score. But they don't tell you upfront what they use.

Re: Credit card application

Anonymous — Sat, 28 Jan 2012 05:47:56 GMT

I can understand that, but the letter states it is my actual Equifax FICO number, ranging from 300-850. If the number they state is accurate, so be it. But, it wasn't even close to the number that I was given. Word for word, the letter states, "We also obtained your credit score from this consumer reporting agency in making our decision. Type of credit score FICO" It says Equifax FICO credit score. Thanks for your reply, by the way...

Re: Credit card application

Anonymous — Sat, 28 Jan 2012 05:52:18 GMT

@android01 wrote:
@Anonymous wrote:
I would love for someone to explain to me why it is that I paid for the Equifax Fico score. I purchased the score and then applied for a credit card (one day apart) and was subsequently denied in part due to my Equifax Fico score. The version that I purchased here was 50 points higher than what I received in the denial letter from the cc company. If the number I purchase "at the source" is that much different than what is provided to anyone else, what good is it? Seems like a complete waste of money for false information. It seems better to apply for credit and see what they tell them, because you can't trust what FICO tells you. I'm feeling ripped off. Happen to anyone else?
So what were your scores - here at MyFico - and what the lender pulled, and what card did you apply for?

By the way Welcome to the Forum!

Re: Credit card application

android01 — Sat, 28 Jan 2012 05:53:08 GMT

@Anonymous wrote:
I can understand that, but the letter states it is my actual Equifax FICO number, ranging from 300-850. If the number they state is accurate, so be it. But, it wasn't even close to the number that I was given. Word for word, the letter states, "We also obtained your credit score from this consumer reporting agency in making our decision. Type of credit score FICO" It says Equifax FICO credit score. Thanks for your reply, by the way...

I don't see how we can help you unless we know what your scores are, and what your credit profile looks like.

Re: Credit card application

Anonymous — Sat, 28 Jan 2012 05:54:57 GMT

It was a discover card. myFICO purchase gave me 693, with the cc company giving me 643. Not great by any means, but probably on the border of being approved or not. My problem is not being denied. I don't really need the card anyway. It is the fact I paid for this service and it wasn't the same as what they give to others. It makes me feel like its a waste.

Re: Credit card application

Anonymous — Sat, 28 Jan 2012 05:57:09 GMT

@Anonymous wrote:
It was a discover card. myFICO purchase gave me 693, with the cc company giving me 643. Not great by any means, but probably on the border of being approved or not. My problem is not being denied. I don't really need the card anyway. It is the fact I paid for this service and it wasn't the same as what they give to others. It makes me feel like its a waste.

The score Discover provided is it an EQ or TU Fico Score?

Re: Credit card application

Anonymous — Sat, 28 Jan 2012 05:59:05 GMT

It says Equifax.

Re: Credit card application

android01 — Sat, 28 Jan 2012 06:13:13 GMT

The Equifax score that is provided here, I believe, is Beacon 5.0. Most lenders seem to use this model. Discover might use a credit card enhanced version, or some additional internal model, that could give you a different score. They may have used Equfiax data, but the score based on their internal model may be different than a standard FICO score. OR, your score may have changed in the interim when you applied and when you pulled your FICO score from here. In short there are so many factors other than your actual score that could be considered if your application went to manual review vs. a computer generated one. You aren't giving enough details on your credit history to let us see where you're at. Score isn't everything.

Re: Credit card application

Anonymous — Sat, 28 Jan 2012 06:25:09 GMT

Thanks, it just seems so much in its own section that it doesn't seem like it's manipulated. They say previously in the letter that they do have a scoring system they use, but this section says 'in addition to' their scoring system, which infers separate. A bankruptcy is the primary reason. 8 yrs ago, so it's almost gone. The other stuff dorm credit report is short length of accounts, proportion of loan balance to loan amounts too high, and too few accounts currently paid as agreed. As for the good stuff listed on myFico! It says no missed payments, Low credit usage, and recent cc use.

Re: Credit card application

Anonymous — Sat, 28 Jan 2012 06:27:05 GMT

Sorry it says, "we also obtained your credit score from" blah blah blah. Making it sound like its an untampered score.

Re: Credit card application

Anonymous — Sat, 28 Jan 2012 06:36:52 GMT

@Anonymous wrote:
Did the letter explain what their main issues were with your app? Regardless of what scoring model is used, those are generally the same points dragging down your score on any model. You can also call the backdoor number and try to get a recon.

What's the backdoor number and recon? Reconsideration?

Re: Credit card application

android01 — Sat, 28 Jan 2012 06:38:52 GMT

@Anonymous wrote:
Thanks, it just seems so much in its own section that it doesn't seem like it's manipulated. They say previously in the letter that they do have a scoring system they use, but this section says 'in addition to' their scoring system, which infers separate. A bankruptcy is the primary reason. 8 yrs ago, so it's almost gone. The other stuff dorm credit report is short length of accounts, proportion of loan balance to loan amounts too high, and too few accounts currently paid as agreed. As for the good stuff listed on myFico! It says no missed payments, Low credit usage, and recent cc use.

Thanks! A lot of what you mentioned are the reasons for your denial regardless of your score, although it explains the difference in your scores if they use an internal "enhancement". Discover, I've read is not BK friendly, doesn't like a lot of recent inquiries, or high utilization on existing accounts. They don't like to see recent 30, 60 or 90 day lates - which may come under the "too few accounts paid as agreed statement". How many credit accounts do you have, and what is the history on them? What is your average age of accounts?

Re: Credit card application

Anonymous — Sat, 28 Jan 2012 06:40:00 GMT

@Anonymous wrote:
@Anonymous wrote:
Did the letter explain what their main issues were with your app? Regardless of what scoring model is used, those are generally the same points dragging down your score on any model. You can also call the backdoor number and try to get a recon.
What's the backdoor number and recon? Reconsideration?

Discover: 888-676-3695 (Recon)

You can call Discover and ask for them to reconsider a denied application. They may do a manual review, pull an additional credit report, etc. But since you already took a hit with the inquiry there's no reason not to at least call and find out. Good luck!

Re: Credit card application

Anonymous — Sat, 28 Jan 2012 06:47:49 GMT

6 credit accounts! No mortgage account, Recent car loan started in oct '11. Haven't been late on anything in years and years, basically since bankruptcy 8 yrs. I don't use all credit accounts every month, but the ones I do use are paid off every month. I have no debt except the car payment.

Re: Credit card application

Anonymous — Sat, 28 Jan 2012 06:50:04 GMT

@Anonymous wrote:
@Anonymous wrote:
@Anonymous wrote:
Did the letter explain what their main issues were with your app? Regardless of what scoring model is used, those are generally the same points dragging down your score on any model. You can also call the backdoor number and try to get a recon.
What's the backdoor number and recon? Reconsideration?
Discover: 888-676-3695 (Recon)

You can call Discover and ask for them to reconsider a denied application. They may do a manual review, pull an additional credit report, etc. But since you already took a hit with the inquiry there's no reason not to at least call and find out. Good luck!

Thanks, will try that.

Re: Credit card application

Anonymous — Sat, 28 Jan 2012 07:27:08 GMT

@Anonymous wrote:
It was a discover card. myFICO purchase gave me 693, with the cc company giving me 643. Not great by any means, but probably on the border of being approved or not. My problem is not being denied. I don't really need the card anyway. It is the fact I paid for this service and it wasn't the same as what they give to others. It makes me feel like its a waste.

Why did you choose to apply for a discover card if you don't really need it or seem to care for one?