topic Re: Is AMEX necessary for a high credit score? in General Credit Topics

Is AMEX necessary for a high credit score?

ACsteel — Sun, 02 Sep 2012 23:12:38 GMT

Is AMEX Necessary for good credit, your thoughts!

Re: Is AMEX necessary for a high credit score?

creditnocash — Mon, 20 Aug 2012 02:37:31 GMT

no its not. but their backdating helps raise aaoa with more then one card. so that helps.

Re: Is AMEX necessary for a high credit score?

ACsteel — Sun, 02 Sep 2012 23:12:57 GMT

cool points.

Re: Is AMEX necessary for a high credit score?

creditnocash — Mon, 20 Aug 2012 05:30:01 GMT

the amex name is just a designer label.

banks dont look at you any differently if you have amex vs. cap one. (on paper at least)

is that 768 experian fako?

Keeping one to three cards is fine.

But look at it this way. If you have say 3 amex cards all backdated to original date. (apped in January for Max backdating)

if you have 3 cards for lets say 3 years. You get one citi bank your aaoa drops. to 2 years four months. 2 new cards 1 year 8 months.

Now if you have those three cards for 3 years and then get another amex. Your 3 cards of 3 years become 4 cards with 3 years or +/- when you apped.

If you do cancel your amex, not that i am suggesting that because i would love one.

it will report as a good tl for 10 years and then fall off your record. and that in turn will drop your aaoa but by then your other tl averages will be fine.

on condition that you have perfect payment history on everything. 1-9 percent utility of overall credit (report only one card with a balance) (for max score gain)

this is just personal experience.

I had a few inquiries from the past and let my 3 cards grow. im not sure what my score was when i started but.

Best Buy Store Card-Opened Oct 10'-2000(co signed)

Macy's Opened December '10 100

Kohl's opened January '12 400

ok so with those three cards i had a basic score of 660 tu. now i had perfect payment history but i had high utility.

between the three cards it was at about 2300/3000 reported. that's 76% util. and thats horrible.

i payed off most of the best buy card and my score shot up.

if i had not apped for any other cards i would have hit high 700's i believe. but in the past 3 months ive tacked on about 5 new inquries added to my already active 4.(active meaning still effecting my score (under one year old))

after one year they stop being taken into consideration as part of your score and 2 years fall off your reports.

on top of new accounts my aaoa dropped (in the long run though it will help me because the accounts will age together)

now if your just looking for a rewards card i say go for an amex one or get one that you prefer.

i just got a chase freedom and i like it so far. have not used the reward points but have charged about 400 of the 5 needed for the extra 100 cash back.

Since you already have an amex and you app for another if you get denied its only a soft hit on your report (meaning that noone but you sees it)

not that i predict you will get denied but its a perk of being a amex customer.

Any questions?

Excuse the long post.

ive had a few too many corona's and I should probably see some sleep soon.

p.s. about not having two amexs vs two of anything.

if there is no annual fee just sock drawer it and let it age. (what im doing with best buy and macys now)best buy is sitting pretty at 2500 since ive carried a balance for over a year. and macys started at 100 and is now 3500.

if you look at your score report(if you bought it from myfico) you can see the scales and what could be better about your scores.

Re: Is AMEX necessary for a high credit score?

ACsteel — Mon, 20 Aug 2012 22:01:06 GMT

Thanks for the long reply it is highly appreciated!

The only reason I wanted to keep 3-4 only (Macys is not included in that count lol) is because I want to demonstrate spending ability, as AMEX I learned considers greatly. I travel only once a year for vacation. My daily life is I sometimes go to the movies or eat out, I shop on Amazon and occasionally I shop outside for clothe/fragrance/electronics. I have normal expenses, and every semester I pay around 2k for graduate school. What card(s) would you recommend?

Re: Is AMEX necessary for a high credit score?

Funk-O-Meter — Tue, 21 Aug 2012 19:25:03 GMT

Amex was very helpful to me for a couple reasons. One because of all their travel related insurance and benefits. The other major one was their credit limit increase procedures for rotators. Every 6 months you can request a CLI right on their website. Up to 4x your current CL. I got a 4X CLI (6K) after 3 months by hitting a few buttons and it was a soft pull (not sure if it always is but I think so). If your card is new wait till your 61'st day after activating. Did wonders for my utilization and available credit. If you haven't requested one in a while you can do it right on the website if you have a rotator. Also the points are pretty attractive. 1-6% I've made several hundred by charging large purchases and bills on it and paying in full. They do double warranty too. I don't see any reason to pay cash and loose out on that stuff. They've been my favorite company to work with so far.

Re: Is AMEX necessary for a high credit score?

Anonymous — Tue, 21 Aug 2012 20:20:44 GMT

Does the backdating apply to all AMEX cards or only thoses managed directly by AMEX.

I have a AMEX via BarclaysUSA

Re: Is AMEX necessary for a high credit score?

ACsteel — Wed, 22 Aug 2012 00:33:14 GMT

I'm leaning more and more to apply for that AMEX BCP next month so many good reviews on it, thanks Funk-O-Meter for that opinion.

Re: Is AMEX necessary for a high credit score?

Funk-O-Meter — Sun, 26 Aug 2012 19:43:12 GMT

No problem. I did the BCE because I didn't want the annual fee. I know if you spend like $50 a week at the grocery store it takes care of it but I have other rewards cards too and I couldn't see myself using that one exclusivly all year just to deal with the fee.

Re: Is AMEX necessary for a high credit score?

ACsteel — Sun, 02 Sep 2012 23:14:41 GMT

I like the way the BCE/BCP is looking.

Re: Is AMEX necessary for a high credit score?

Funk-O-Meter — Sun, 26 Aug 2012 23:02:00 GMT

Yea cause all in all the perks you get with a high end card you'd have to travel a lot to utilize. I'm not into an annual fee unless I can really make the card work for me. I'm thinking about a Starwood Amex but I'd have to really put some money through it to get the points coming to offset the annual fee. Hence my other thread about how to pay your rent on a CC.

Re: Is AMEX necessary for a high credit score?

jamesdwi — Sat, 01 Sep 2012 02:57:13 GMT

@angelnyc wrote:
Thanks, I do not plan though to have two cards from AMEX though but I understand your point.

You don't have to have more than one AMEX account for it to help, you can keep your BCP card for 20 years untill perhaps you are ready to slow down, and AP for a travel reward charge card and close the first, bamm you now have 2 tradelines showing with 20 years of history. If you aren't at 850 by then you will be after that if the rest of your report is clean.

Re: Is AMEX necessary for a high credit score?

ACsteel — Sat, 01 Sep 2012 05:57:24 GMT

@jamesdwi wrote:
@angelnyc wrote:
Thanks, I do not plan though to have two cards from AMEX though but I understand your point.
You don't have to have more than one AMEX account for it to help, you can keep your BCP card for 20 years untill perhaps you are ready to slow down, and AP for a travel reward charge card and close the first, bamm you now have 2 tradelines showing with 20 years of history. If you aren't at 850 by then you will be after that if the rest of your report is clean.

Yea I"m actually now very interested in the BCE, thanks!