topic Re: Which AMEX card should I apply for? (Warning: myFICO noobie!) in Credit Cards

Which AMEX card should I apply for? (Warning: myFICO noobie!)

Anonymous — Fri, 19 Apr 2013 00:43:49 GMT

Greetings and thank you for taking the time to read this thread and, hopefully, lend a helping hand to a noobie.

I am in my late 20's and myFICO reports that my FICO from TU is 667 and Equifax 647 as of today, April 18. I also have membership over at FCS

and they report my scores as 680 (Experian), 671 (Equifax), and 661 (TU). I have $0 debt as I finished paying everything off in January. The most debt I ever had was about $7,000 because of my neglect which I'll get to.

Okay, now to why I'm here. I want to ultimately get an American Express Platinum card. I own a small business and my salary reported to the IRS

was $251,000 after everything was said and done. In August of 2012 my average credit score was 508.

How did this happen? Well, when I was in college I took out a credit card. Got sick. Forgot about the card. Had a death in the family. And neglected

my credit. After a few years I started to make money and I thought to myself since I have cash in the bank then credit doesn't really matter. So I let

the Citibank credit card account go to hell and they ended up wanting to take me to court over it ($3,500) and I paid it off and it got closed. The Sallie Mae

loan (about $3,500 also) went to crap too. I wanted to pay it all off over a year ago, but they said I had to do a rehab program for my credit first and that it

would lead to the negative being removed. It did. After finishing my credit went from like 590 to where it is today.

Then I started to get a wake up call. Last year I got the urge to buy a 2012 Mercedes e350. Well, I went to two dealerships and told them I was ready

to put $10,000 down and I got denied by both. I got to the point where I offered to put $30,000 and I was still getting denied. Finally, I decided to just

buy the car cash which I did and now proudly own.

This was wake up call #1. Then I decided to start looking into buying a house and the realtor and everyone told me I really had to do something

about my credit and now my credit scores are where they are at. I have a house being built right now and the builder and bank and I are looking forward

to closing later this year after the house is finished. They told me I should not really do anything with my credit until after the closing.

I have 3 credit cards with limits of $2,000, $2,000 and $300. The two $2,000 were opened in April 2012. The $300 card, a secured card, was opened in September of 2010. I have another revolving credit line (it was termed equity line when I opened it at the bank) of $5,000. This was a secured line of credit and the balance on it is $0 along with all of my cards. I pay them off every month.

FINALLY to my questions...

1) Being that I have an above average income, would this help me apply for an AMEX?

2) Is it possible for me to apply for the AMEX Platinum right now and get approved?

3) If not—which AMEX card should I apply for, if any at all?

Again... my ultimate goal is to get up to the AMEX Platinum because I spend about $25,000 to $40,000 a week on my business. Right now it is being charged to my business debit card and I figure I might as well start trying to get rewards for it. So every month I'm spending over $100,000 on my business debit card with zero rewards.

Please assist and thank you SO MUCH for taking the time to help.

GOD BLESS YOU.

Regards,

OrlandoProfit

Re: Which AMEX card should I apply for? (Warning: myFICO noobie!)

myjourney — Fri, 19 Apr 2013 00:51:03 GMT

Welcome to the forum

First thing to consider is the time frame of closing..No credit app's 6 months before closing is the general rule

Re: Which AMEX card should I apply for? (Warning: myFICO noobie!)

LS2982 — Fri, 19 Apr 2013 00:55:21 GMT

@Anonymous wrote:
Greetings and thank you for taking the time to read this thread and, hopefully, lend a helping hand to a noobie.

I am in my late 20's and myFICO reports that my FICO from TU is 667 and Equifax 647 as of today, April 18. I also have membership over at FCS
and they report my scores as 680 (Experian), 671 (Equifax), and 661 (TU). I have $0 debt as I finished paying everything off in January. The most debt I ever had was about $7,000 because of my neglect which I'll get to.

Okay, now to why I'm here. I want to ultimately get an American Express Platinum card. I own a small business and my salary reported to the IRS
was $251,000 after everything was said and done. In August of 2012 my average credit score was 508.

How did this happen? Well, when I was in college I took out a credit card. Got sick. Forgot about the card. Had a death in the family. And neglected
my credit. After a few years I started to make money and I thought to myself since I have cash in the bank then credit doesn't really matter. So I let
the Citibank credit card account go to hell and they ended up wanting to take me to court over it ($3,500) and I paid it off and it got closed. The Sallie Mae
loan (about $3,500 also) went to crap too. I wanted to pay it all off over a year ago, but they said I had to do a rehab program for my credit first and that it
would lead to the negative being removed. It did. After finishing my credit went from like 590 to where it is today.

Then I started to get a wake up call. Last year I got the urge to buy a 2012 Mercedes e350. Well, I went to two dealerships and told them I was ready
to put $10,000 down and I got denied by both. I got to the point where I offered to put $30,000 and I was still getting denied. Finally, I decided to just
buy the car cash which I did and now proudly own.

This was wake up call #1. Then I decided to start looking into buying a house and the realtor and everyone told me I really had to do something
about my credit and now my credit scores are where they are at. I have a house being built right now and the builder and bank and I are looking forward
to closing later this year after the house is finished. They told me I should not really do anything with my credit until after the closing.

I have 3 credit cards with limits of $2,000, $2,000 and $300. The two $2,000 were opened in April 2012. The $300 card, a secured card, was opened in September of 2010. I have another revolving credit line (it was termed equity line when I opened it at the bank) of $5,000. This was a secured line of credit and the balance on it is $0 along with all of my cards. I pay them off every month.

FINALLY to my questions...

1) Being that I have an above average income, would this help me apply for an AMEX? It definitely helps. Income is only one factor in many they go off of in making decisions for approval.
2) Is it possible for me to apply for the AMEX Platinum right now and get approved? I think you have a decent CC history and plenty of income but it all hinges on your EX file. What does your Experian file look like currently??
3) If not—which AMEX card should I apply for, if any at all? All AMEX charge cards are based on ther same eligibility requirements (ex. if you qualify for Green you qualify for Platinum). If your approved for the charge card i would immediately app for whatever revolver your interested in. If denied your only hit for 1HP same if approved they will base both apps on 1 HP.

Again... my ultimate goal is to get up to the AMEX Platinum because I spend about $25,000 to $40,000 a week on my business. Right now it is being charged to my business debit card and I figure I might as well start trying to get rewards for it. So every month I'm spending over $100,000 on my business debit card with zero rewards.

Please assist and thank you SO MUCH for taking the time to help.

GOD BLESS YOU.

Regards,
OrlandoProfit

Welcome to the forums!!!!!

Advice is above in red.

Re: Which AMEX card should I apply for? (Warning: myFICO noobie!)

LS2982 — Fri, 19 Apr 2013 00:57:00 GMT

@myjourney wrote:
Welcome to the forum
First thing to consider is the time frame of closing..No credit app's 6 months before closing is the general rule

This is big as well. You must wait until the house is closed on before apping (and this will help you as well because you have more positive history on your other accounts).

Re: Which AMEX card should I apply for? (Warning: myFICO noobie!)

Anonymous — Fri, 19 Apr 2013 01:15:46 GMT

Okay. I'll wait until the house is done and I close on it. The house is $410,000 and I am putting between $50,000 and $75,000 down. Would this also help?

1) Being that I have an above average income, would this help me apply for an AMEX? It definitely helps. Income is only one factor in many they go off of in making decisions for approval.

2) Is it possible for me to apply for the AMEX Platinum right now and get approved? I think you have a decent CC history and plenty of income but it all hinges on your EX file. What does your Experian file look like currently??

3) If not—which AMEX card should I apply for, if any at all? All AMEX charge cards are based on ther same eligibility requirements (ex. if you qualify for Green you qualify for Platinum). If your approved for the charge card i would immediately app for whatever revolver your interested in. If denied your only hit for 1HP same if approved they will base both apps on 1 HP.

What do you mean revolver? Is that another term for a charge card? I had read on several boards that Platinum requirements were higher, just like Centurion's requirements are higher.

Regarding my Experian file. What specifically would you like to know?

Re: Which AMEX card should I apply for? (Warning: myFICO noobie!)

LS2982 — Fri, 19 Apr 2013 01:18:12 GMT

@Anonymous wrote:
Okay. I'll wait until the house is done and I close on it. The house is $410,000 and I am putting between $50,000 and $75,000 down. Would this also help?

1) Being that I have an above average income, would this help me apply for an AMEX? It definitely helps. Income is only one factor in many they go off of in making decisions for approval.
2) Is it possible for me to apply for the AMEX Platinum right now and get approved? I think you have a decent CC history and plenty of income but it all hinges on your EX file. What does your Experian file look like currently??
3) If not—which AMEX card should I apply for, if any at all? All AMEX charge cards are based on ther same eligibility requirements (ex. if you qualify for Green you qualify for Platinum). If your approved for the charge card i would immediately app for whatever revolver your interested in. If denied your only hit for 1HP same if approved they will base both apps on 1 HP.

What do you mean revolver? Is that another term for a charge card? I had read on several boards that Platinum requirements were higher, just like Centurion's requirements are higher.

Regarding my Experian file. What specifically would you like to know?

Revolver is slang for a regular credit card that you can carry a balance on monthly.

As far as your EX file:

-INQ's

-Any baddies??

-AAoA (Average age of accounts)

Do you subscribe to any credit monitoring service by chance??

Re: Which AMEX card should I apply for? (Warning: myFICO noobie!)

myjourney — Fri, 19 Apr 2013 01:19:53 GMT

@Anonymous wrote:
Okay. I'll wait until the house is done and I close on it. The house is $410,000 and I am putting between $50,000 and $75,000 down. Would this also help?

1) Being that I have an above average income, would this help me apply for an AMEX? It definitely helps. Income is only one factor in many they go off of in making decisions for approval.
2) Is it possible for me to apply for the AMEX Platinum right now and get approved? I think you have a decent CC history and plenty of income but it all hinges on your EX file. What does your Experian file look like currently??
3) If not—which AMEX card should I apply for, if any at all? All AMEX charge cards are based on ther same eligibility requirements (ex. if you qualify for Green you qualify for Platinum). If your approved for the charge card i would immediately app for whatever revolver your interested in. If denied your only hit for 1HP same if approved they will base both apps on 1 HP.

What do you mean revolver? Is that another term for a charge card? I had read on several boards that Platinum requirements were higher, just like Centurion's requirements are higher.

Regarding my Experian file. What specifically would you like to know?

Of course it will but the important thing to remember is right now you don't want a drop in scores so you get the best rate for the loan.....Get a new card and scores drop and now your looking at different loan terms

Good luck

Re: Which AMEX card should I apply for? (Warning: myFICO noobie!)

Odiseous — Fri, 19 Apr 2013 01:24:09 GMT

@myjourney wrote:
Welcome to the forum
First thing to consider is the time frame of closing..No credit app's 6 months before closing is the general rule

Feel free to disregard this general rule; if you are paying cash, or are comfortable with taking a (rather substantial) chance on your lender backing out of funding the mortgage.

If you are taking out a mortgage loan, your lender *will* check your cedit reports again before they fund the loan. Any new activity (new inquiries, new accounts, etc..) ould easily lead to you losing the house.

Check out the Mortgage Loans sections of the myFICO forums for more info.

Re: Which AMEX card should I apply for? (Warning: myFICO noobie!)

webhopper — Fri, 19 Apr 2013 02:11:36 GMT

@Anonymous wrote:
Greetings and thank you for taking the time to read this thread and, hopefully, lend a helping hand to a noobie.

FINALLY to my questions...

1) Being that I have an above average income, would this help me apply for an AMEX?
2) Is it possible for me to apply for the AMEX Platinum right now and get approved?
3) If not—which AMEX card should I apply for, if any at all?

Again... my ultimate goal is to get up to the AMEX Platinum because I spend about $25,000 to $40,000 a week on my business. Right now it is being charged to my business debit card and I figure I might as well start trying to get rewards for it. So every month I'm spending over $100,000 on my business debit card with zero rewards.

Please assist and thank you SO MUCH for taking the time to help.

GOD BLESS YOU.

Regards,
OrlandoProfit

Hey!
Welcome to MyFico Community Forums!

If you decide to go for an Amex for your business spending, I highly recommend that you look at some of the business cards that Amex offers.

They can be fairly generous with your credit lines, provided that you are willing to submit the appropriate tax transcript request forms.

You can get both business and personal Amex cards, which will help for both business and personal spending.

Also, check out the Business Credit forum, they have some pretty great advice as far as competitive business credit products on the market.

I recommend a charge card based on the spending you quoted. Charge cards have internal limits wich can grow really well. Mine is at over 10k on my PRG, with income much less than what you're stating.

Good luck!

Re: Which AMEX card should I apply for? (Warning: myFICO noobie!)

09Lexie — Fri, 19 Apr 2013 03:09:37 GMT

Welcome to the forum! Like the previous advice given, I agree that an Amex business card would be best. However, do not apply for anything until your home closes. You might also consider the Chase Ink

Good luck!

Re: Which AMEX card should I apply for? (Warning: myFICO noobie!)

jamie123 — Fri, 19 Apr 2013 04:15:34 GMT

First off you need to do a few things for us to be able to give you accurate advice.

We need to know who the lenders are for your existing credit cards and how old those cards are.

Why do you want an AMEX card?

Why, if your banker and home builder told you not to do anything with your credit, you are not taking their advice?

There are things you could do to improve your score but getting a new credit card right now isn't one of them.

EDIT: AMEX will not allow you to put business expenses on a personal credit or charge card. Well, maybe an airline ticket and hotel occasionally but certainly not $30K a week. You need their business credit card for that.

Re: Which AMEX card should I apply for? (Warning: myFICO noobie!)

Anonymous — Fri, 19 Apr 2013 05:56:56 GMT

I think you could get the business AMEX Plat right now, but it seems to close to closing on your house.

Re: Which AMEX card should I apply for? (Warning: myFICO noobie!)

Anonymous — Fri, 19 Apr 2013 07:04:20 GMT

@Anonymous wrote:
I think you could get the business AMEX Plat right now, but it seems to close to closing on your house.

In all fairness with his income, downpayment, and the price of the house, I very much so doubt he would get declined on both ends from a single inquiry/account. but it's still better to be safe.

Re: Which AMEX card should I apply for? (Warning: myFICO noobie!)

dodfire — Fri, 19 Apr 2013 07:47:09 GMT

Im more curious to know what this business is that you are spending $40k a week on...

Re: Which AMEX card should I apply for? (Warning: myFICO noobie!)

Anonymous — Fri, 19 Apr 2013 12:15:27 GMT

It is easy for many small businesses to spend 40k weekly. A higher end restaurant for example can easily top that by 2-3 times.

A business that allows 40k of expenses to be swiped on a card though? Now that's going to take a much larger scale business or a very special niche of profession. Most b2b merchants are unwilling to accept cards because they want to avoid swipe fees, and usually credit card transactions will cost more.

Re: Which AMEX card should I apply for? (Warning: myFICO noobie!)

dodfire — Fri, 19 Apr 2013 12:18:14 GMT

@Anonymous wrote:
It is easy for many small businesses to spend 40k weekly. A higher end restaurant for example can easily top that by 2-3 times.

A business that allows 40k of expenses to be swiped on a card though? Now that's going to take a much larger scale business or a very special niche of profession. Most b2b merchants are unwilling to accept cards because they want to avoid swipe fees, and usually credit card transactions will cost more.

Exactly

Re: Which AMEX card should I apply for? (Warning: myFICO noobie!)

codimom — Fri, 19 Apr 2013 14:22:50 GMT

Well, first of all Noob . . .welcome to the forum.
I wholeheartedly agree with the idea that you not apply for ANY new credit until after you close on your home loan and it funds. Why risk it?

AFTER you close I think you could probably apply for the AMEX card... but i would seriously look into the business card.Amex tends to frown on using your personal card for business expenses. Remember, too, that although you do have a higher than average income, you are technically still rebuilding, and that takes time. You don't say what cards you already have, just their limits. That information will be helpful for the smart guys here at myfico (and I don't consider myself one of the smart ones, i'm still learning) can help you map out a plan...

Re: Which AMEX card should I apply for? (Warning: myFICO noobie!)

webhopper — Fri, 19 Apr 2013 14:51:33 GMT

@Anonymous wrote:
@Anonymous wrote:
I think you could get the business AMEX Plat right now, but it seems to close to closing on your house.

In all fairness with his income, downpayment, and the price of the house, I very much so doubt he would get declined on both ends from a single inquiry/account. but it's still better to be safe.

If a 40k balance were to report on this new card, then the OP would have a hard time qualifying for that kind of DTI ratio. The lender may very well and with good reason question this activity. However, a business Amex will not report to personal credit report unless the cardholder were to default.

Re: Which AMEX card should I apply for? (Warning: myFICO noobie!)

Anonymous — Fri, 19 Apr 2013 15:53:32 GMT

I'm a beginner at this credit stuff.

Do the AMEX Business cards help my personal credit or only my business? Which cards do you guys want me to look at specifically?

Re: Which AMEX card should I apply for? (Warning: myFICO noobie!)

Anonymous — Fri, 19 Apr 2013 15:58:05 GMT

@dodfire wrote:
Im more curious to know what this business is that you are spending $40k a week on...

I own a marketing business. I have 12 people on staff in India and then me here in the states. Marketing is NOT a cheap business to be in.