topic Are current CC balances considered during an app? in Credit Cards

Are current CC balances considered during an app?

money_talks — Wed, 30 Jul 2014 18:52:08 GMT

If you have a CC with a bank and you apply with that same bank for another product, do banks typically consider your current CC balance as of the day you apply?

I'm thinking of apping today but currently have 90% util. My last statement shows 30% util. So if it does not matter, I will just app today.

Re: Are current CC balances considered during an app?

Swapmeet — Wed, 30 Jul 2014 18:54:40 GMT

@money_talks wrote:
If you have a CC with a bank and you apply with that same bank for another product, do banks typically consider your current CC balance as of the day you apply?

I'm thinking of apping today but currently have 90% util. My last statement shows 30% util. So if it does not matter, I will just app today.

You know, I was wondering the same thing. I'm sure that they have access to that info on the screen while they are considering it, but it is probably easier just to go off of the CR.

Re: Are current CC balances considered during an app?

money_talks — Wed, 30 Jul 2014 22:08:38 GMT

I spoke to an UW at WF over the phone and I asked the question. The rep said it is possible WF may consider your current account balance but will not be an app killer if you currently have a high balance. I guess you could reason that it works the other way that it may help you in your app if your bring the balance down from the balance that shows in your CR. The rep talked about how WF also takes a look at your banking relationship with them and what accounts and balances you carry. (this last info widely known among the forum)

I am considering apping for a WF unsecured card to get rid of my secured card. My balance as of today is a lot higher than from my CR. However, I have never carried such a high balance and I would say my average balance is much lower.

Re: Are current CC balances considered during an app?

Skye12329 — Wed, 30 Jul 2014 22:13:10 GMT

I dont think current balances are considered when apping mainly because they are only pulling your current report. So unless your card reported and then you apped then the balances shown on the report would be what the computer sees.

Re: Are current CC balances considered during an app?

Revelate — Wed, 30 Jul 2014 22:20:27 GMT

@Skye12329 wrote:
I dont think current balances are considered when apping mainly because they are only pulling your current report. So unless your card reported and then you apped then the balances shown on the report would be what the computer sees.

For every lender other than the one you're applying with: this is nearly always correct (there are other databases which are checked though I strongly doubt they have closer to real-time balance information, industry just isn't setup that way); however, if you have an account with the lender in question, while it won't come up on the FICO side, it almost certainly will come up on another underwriting piece.

Even basic lenders will have multiple data sources, and they're effectively guarunteed to look at your current customer record which is going to include any balance you have on record with them.