topic Re: Amex financial review - help in Credit Cards

Amex financial review - help

Anonymous — Fri, 29 Mar 2013 19:48:07 GMT

I got hit with Amex Financial Review yesterday. My 3 Amex cards have their charging suspended now. I had been using Card#1 for 8 months, Card#2 for 5 months and Card#3 for 2 months. I have only 2.x years of credit history and credit score ~730. I pay their balances each month. I did purchase of VR’s on CVS last couple of months and I assume that’s the reason for trigger.

I am not comfortable to fill up the form 4506T and send it back to them as I exaggerated(60% more – it was not really mean, but I did not earn as expected) my income during cc applications as I was/am self-employed. I am afraid if Amex would close my accounts even if I send them the filled 4506T.

I have balances now on the cards (statements have not closed for all 3 cards) and I will be paying the balances today. I plan to close my 3 Amex cards in a day or two before the deadline to submit my FR. Will this be a good idea? If I do so, will I be able to get Amex cards in future? Basically I am not confident with 4506T fill-up and I do not want Amex to close my accounts. Can I do the request for account closure (for all 3 accounts) via Phone or secure message? What could be a good reason from me to Amex for closure request of my accounts?

I would appreciate your answers/ suggestions. Thank you for your help.

Re: Amex financial review - help

Happychap — Fri, 29 Mar 2013 19:53:41 GMT

They would probably just place an hard limit on your charge cards and maybe lower the limit on your revolving. They very rarely close accounts in good standing. You have 8 months of good history with them.

Re: Amex financial review - help

Anonymous — Fri, 29 Mar 2013 20:03:49 GMT

each card has only 2k spend limit (very low CL).

Re: Amex financial review - help

Blurbz — Fri, 29 Mar 2013 20:04:10 GMT

I second the above. As long as you've paid taxes, hopefully you can escape with just CLD/hard limits.

How much were the VR's for? How often did you purchase them? (I assume VR = Visa Reloadable? Right?)

Re: Amex financial review - help

LS2982 — Fri, 29 Mar 2013 20:04:13 GMT

If your not comfortable with it axe them. FR is too intrusive.

I would close them rather than AMEX doing it.

Re: Amex financial review - help

ibmrad7 — Fri, 29 Mar 2013 20:07:51 GMT

Anyway you are thinking to close the account, why not take a chance and send them the form. Who knows your luck works out well.

Re: Amex financial review - help

ibmrad7 — Fri, 29 Mar 2013 20:08:31 GMT

@Blurbz wrote:
I second the above. As long as you've paid taxes, hopefully you can escape with just CLD/hard limits.

How much were the VR's for? How often did you purchase them? (I assume VR = Visa Reloadable? Right?)

Vanilla Reloads.

Re: Amex financial review - help

winner88 — Fri, 29 Mar 2013 20:09:47 GMT

That is probably a bad idea. Submit the form requested, if they decide to close your accounts (which is not guarrantted) they usually tell you account is on queue to be closed and give you some days (redeed MR points, pay off balances whatever).

If you come to that point, then go ahead and request for it to be closed yourself prior to them closing it.. don't do it before.. Unless of course you dont to close the accounts regardless.

Re: Amex financial review - help

Anonymous — Fri, 29 Mar 2013 20:10:59 GMT

@Blurbz - I did 6 or 7 reloads within 2 months but I shared among 3 amex cc's.

@LS2982 - Thanks. That will be my primary plan. Will closing cc on consumer request during FR has anyting to do with future amex cc apps?

@ibmrad - I am afraid to take risk. Closing account on consumer request would be okay rather the CC company does it. Also I think if Amex closes my account, will I be able to get future amex cc?

Re: Amex financial review - help

shakalaka — Fri, 29 Mar 2013 20:12:21 GMT

@Anonymous wrote:
I got hit with Amex Financial Review yesterday. My 3 Amex cards have their charging suspended now. I had been using Card#1 for 8 months, Card#2 for 5 months and Card#3 for 2 months. I have only 2.x years of credit history and credit score ~730. I pay their balances each month. I did purchase of VR’s on CVS last couple of months and I assume that’s the reason for trigger.

I am not comfortable to fill up the form 4506T and send it back to them as I exaggerated(60% more – it was not really mean, but I did not earn as expected) my income during cc applications as I was/am self-employed. I am afraid if Amex would close my accounts even if I send them the filled 4506T.

I have balances now on the cards (statements have not closed for all 3 cards) and I will be paying the balances today. I plan to close my 3 Amex cards in a day or two before the deadline to submit my FR. Will this be a good idea? If I do so, will I be able to get Amex cards in future? Basically I am not confident with 4506T fill-up and I do not want Amex to close my accounts. Can I do the request for account closure (for all 3 accounts) via Phone or secure message? What could be a good reason from me to Amex for closure request of my accounts?

I would appreciate your answers/ suggestions. Thank you for your help.

Sorry to hear that. I believe they will hit you with a F/R again, if you open an new card in the future and do not go through it now.

Re: Amex financial review - help

winner88 — Fri, 29 Mar 2013 20:16:04 GMT

Another point thou, if your cards have only $2k limit .. the income needed to support such a low limit isn't that much .. unless you made absolutely 0 last year, you probably stand a chance. You exaggerated, yes.. but they take into account.. what limit your Actual real income would have qualified you for; assuming ofcourse everything is good with your credit.

Re: Amex financial review - help

scottwagnon — Fri, 29 Mar 2013 20:16:38 GMT

i am curious of the outcome OP, if you do go through with the review. good luck to you.

Re: Amex financial review - help

LS2982 — Fri, 29 Mar 2013 20:17:15 GMT

Youll likely be FRed immediately after approval for future cards.

Re: Amex financial review - help

Anonymous — Fri, 29 Mar 2013 21:22:00 GMT

i got Financial Review last week, and i gave them the form 4506T 1 week later back to normal, i told them that i make $105,000 wich is true but i only report under $30,000 and they let me keep both card... also they want 2011 tax year..just give it to them it will be fine

Re: Amex financial review - help

Anonymous — Fri, 29 Mar 2013 21:34:54 GMT

@LS2982 wrote:
Youll likely be FRed immediately after approval for future cards.

And that might be OK, when you apply you can supply the real earnings figure supported by your taxes and thus pass that FR.

A lot depends on your situation, if the 6K is a large portion of your CL, you might want to comply and see what happens, but otherwise it may not be worth it, since a) you lied on the form, and b) use cash equivalents to generate spend

so you are not in a great position!

Re: Amex financial review - help

Sevenfeet — Fri, 29 Mar 2013 22:12:00 GMT

This thread is a cautionary tale that should be read by everyone. Most of us here like playing the credit card game and getting the best deal for your financial situation. But lying on an application about income or other things is a recipe for disaster. Don't forget that these banks are lending us their money. And they do have a right to know who they are lending to and their ability to repay. Some people say that F/Rs are too intrusive. Honestly, they don't happen that often and any of the lenders have a right to do it...it's just Amex that's more known for it. And honestly, a F/R is a way to verify that the customer is in a good standing as opposed to just closing the account without warning, which some other banks have been known to do.

I'd just send them the 4506T, be prepared to answer their questions, be honest with them, take your medicine and move on. And yes, Vanilla Reloads do attract attention.

Re: Amex financial review - help

UFGuy2006 — Fri, 29 Mar 2013 22:14:09 GMT

@Sevenfeet wrote:
This thread is a cautionary tale that should be read by everyone. Most of us here like playing the credit card game and getting the best deal for your financial situation. But lying on an application about income or other things is a recipe for disaster. Don't forget that these banks are lending us their money. And they do have a right to know who they are lending to and their ability to repay. Some people say that F/Rs are too intrusive. Honestly, they don't happen that often and any of the lenders have a right to do it...it's just Amex that's more known for it. And honestly, a F/R is a way to verify that the customer is in a good standing as opposed to just closing the account without warning, which some other banks have been known to do.

I'd just send them the 4506T, be prepared to answer their questions, be honest with them, take your medicine and move on. And yes, Vanilla Reloads do attract attention.

Completely agree! Also, for those of you who use AP to generate spend... that attracts attention too.

Re: Amex financial review - help

LS2982 — Fri, 29 Mar 2013 22:20:53 GMT

OK what is a Vanilla Reload??

Re: Amex financial review - help

L0RDAVENTAD0R — Fri, 29 Mar 2013 22:27:17 GMT

This is going to be a dumb question but what is a, "Vaniella Reload ?" Don't want to use my work computer to Google it since I don' t know what it is. Lol.

Re: Amex financial review - help

Blurbz — Fri, 29 Mar 2013 22:28:51 GMT

Basically a pre-paid debit card.

People use them to meet spend requirements and get "free" points. You buy them at grocery stores/drug stores that typically give higher rewards points amount and then use them elsewhere to effectively get the higher reward amounts on all of their purchases. This practice is forbidden by the CC companies and fairly easy to catch but people do it anyway, for some reason!