topic Re: AAoA question re cc approval in General Credit Topics

AAoA question re cc approval

Duncanrr — Tue, 03 Jul 2012 04:27:59 GMT

I have 26 accounts listed with average age of 10 years (all student loans minus 1 cc, 1 car note, 2 bank installment loans). When cc companies are evaluating me for approval is my AAoA based on these accounts or it just on my cc account? My only cc reporting right now is 1 month old.

Re: AAoA question re cc approval

llecs — Tue, 03 Jul 2012 04:38:41 GMT

Lenders can and do consider the age of the CC over your AAoA and/or your overall length of credit history. IME anyway.

Re: AAoA question re cc approval

Duncanrr — Tue, 03 Jul 2012 04:44:56 GMT

So my file is going to be pretty thin in that area for a while

Re: AAoA question re cc approval

Revelate — Tue, 03 Jul 2012 15:13:48 GMT

@Duncanrr wrote:
So my file is going to be pretty thin in that area for a while

So go get another 1-2 CC's now as several folks have suggested here

Yes, companies will focus on credit card tradelines (the whole credit-enhanced FICO pull most likely is applicable here), but there's nothing you can do about that except establish history and go on with life. Really if you have a decent report otherwise, and you've got plenty of history, one year on three credit cards if your score, income, and negative information (or lack thereof in this case) supports it, is probably qualified for just about anything. Just because CC's might take precedence, doesn't mean they're going to ignore everything else.

Worst case you have to answer the question about limited CC history in a recon: "I was living a cash-based existence up till then, when I started running my life through my credit card for <insert reason here, tracking finances, consumer protection, whatever>." That's almost as easy as explaining auto / mortgage inquiries on a recon I suspect, plenty of customers have been in that situation and the lenders and others would love if they started using credit cards instead.

Re: AAoA question re cc approval

Duncanrr — Tue, 03 Jul 2012 16:20:04 GMT

@Revelate wrote:
@Duncanrr wrote:
So my file is going to be pretty thin in that area for a while
So go get another 1-2 CC's now as several folks have suggested here

Yes, companies will focus on credit card tradelines (the whole credit-enhanced FICO pull most likely is applicable here), but there's nothing you can do about that except establish history and go on with life. Really if you have a decent report otherwise, and you've got plenty of history, one year on three credit cards if your score, income, and negative information (or lack thereof in this case) supports it, is probably qualified for just about anything. Just because CC's might take precedence, doesn't mean they're going to ignore everything else.

Worst case you have to answer the question about limited CC history in a recon: "I was living a cash-based existence up till then, when I started running my life through my credit card for <insert reason here, tracking finances, consumer protection, whatever>." That's almost as easy as explaining auto / mortgage inquiries on a recon I suspect, plenty of customers have been in that situation and the lenders and others would love if they started using credit cards instead.

Im waiting for some badies to fall off then I will be getting NFCU Rewards and apping for AMEX late September.