AMEX....to apply or no. Thoughts?

slither43 · ‎11-01-2021

I've been wanting to get in with AMEX for some time now and my main goal is to get a biz card through them. I have a hanful of thoughts before I pull the trigger though.

I went to the prequalify page to look at personal options and got the offer of the Gold card, the BCE card and the BCP card, which would be my go to personal card as the rewards work well for my spending. Say I give it a go, am I correct that future AMEX apps will be a SP? Including an app for a biz card? And how long would I have to wait to apply? Is there a set time before I can ask for that card?

Some other things I need to consider. Looking at buying a house after the first of next year. Is adding a card right now going to be of much significance? I'm sure with a reasonable CL it will drop my usage under 30% which I'd assume would more than counteract the app drop points. Plus I should be under 10% before I try to get a mortgage.

Stats at the moment...

No negs on credit report at all

EX FICO 8 which I believe is what they use..732

175k/yr income

Current utilization 40%

Apps 0/24

DTI roughly 25%

I'm itching to pull the trigger but wanted to get some opinions first in case I'm missing something. What say you, experts??

cashorcharge · ‎11-01-2021

There's a few variables @slither43 to the answers. I'm sure others can help too.

Say I give it a go, am I correct that future AMEX apps will be a SP? Including an app for a biz card? And how long would I have to wait to apply? Is there a set time before I can ask for that card?

Yes, but the key word is "future" and that is really profile/experience with AMEX dependent. With a solid personal relationship, you could apply for a Business Card in the future or even another Personal...however lots of experience with people getting HP and not. I don't know that I can say for "certain" that you'll be able to get cards with a SP in the future. If I had to define future, I'd say at least 12 months but I know that's long and with good account management, it could be less. Perhaps someone else can chime in. Typically when you start to see "pre-approvals" online when reviewing your existing account, that's when it's a good time to consider moving forward. Though plenty have proceeded before those come. I don't believe it's as written in stone as you're looking for.

Some other things I need to consider. Looking at buying a house after the first of next year. Is adding a card right now going to be of much significance?

When I applied for mortgages in the past, my broker always tells me to DO NOTHING within 6 months of hitting him up for a mortgage. I don't know to say that's a "rule" and again likely profile/cash down/DTI/Income dependent to your situation. It's been my rule of thumb for a while now. Yes, the new account will spread out your utilization and help your score in the long term...I guess it really depends on your timeframe of "first of the year"

Good Luck!

FinStar · ‎11-01-2021

A couple things, business cards (or any business products) have a subforum dedicated for such discussions -- Business Credit.

So, if I'm understanding correctly, you currently do not have any personal AmEx CCs, correct? As far as a SP for future cards, if approved, the overwhelming majority can be SP, but you have consider this is profile-dependent. There are those rare instances where a HP can still happen. Once you've been an established AmEx cardmember, then it's more than likely things will be SP going forward, but keep things in perspective -- we don't know your profile, it'll be up to AmEx.

The other thing you mentioned, if you are in the process of obtaining a mortgage on the short horizon, do not apply for anything (CCs or otherwise) at this point. Wait until your mortgage has closed and funded.

simplynoir · ‎11-01-2021

@slither43 wrote:
I've been wanting to get in with AMEX for some time now and my main goal is to get a biz card through them. I have a hanful of thoughts before I pull the trigger though.

I went to the prequalify page to look at personal options and got the offer of the Gold card, the BCE card and the BCP card, which would be my go to personal card as the rewards work well for my spending. Say I give it a go, am I correct that future AMEX apps will be a SP? Yes, while not ALWAYS a SP the odds are good it will be a SP. Be aware it may take some time before the SP approvals take affect. Nothing confirmed there just my observation reading people's posts on the forum. Including an app for a biz card? Yes, and with disclaimers I previously mentioned. And how long would I have to wait to apply? By that you mean both the personal and business card at the same time? No wait if you want to apply for both assuming they are not both revolvers, AMEX has a limit of one revolver every 5-7 days I think and two every 90 day period. Charge cards do not have an app limit so that will be all profile dependent. Is there a set time before I can ask for that card? No, you can apply for it whenever you want. Again, be aware of the app rules/limits depending on the cards you decide to apply for

Some other things I need to consider. Looking at buying a house after the first of next year. Is adding a card right now going to be of much significance? I'm sure with a reasonable CL it will drop my usage under 30% which I'd assume would more than counteract the app drop points. Plus I should be under 10% before I try to get a mortgage. That will depend entirely on your bank/mortgage lender, better to ask them what your app plans are and see what they have to say. Normally, it is not a good idea to app for anything at least 12 months before going forward to purchase a house. FWIW my wife apped for a few cards and her scores were enough to not have the banker care too much. YMMV as always

slither43 · ‎11-01-2021

@FinStar wrote:
A couple things, business cards (or any business products) have a subforum dedicated for such discussions -- Business Credit.

Understood, but as the app would have been for a personal card I figured this would be the appropriate place to post!

The other thing you mentioned, if you are in the process of obtaining a mortgage on the short horizon, do not apply for anything (CCs or otherwise) at this point. Wait until your mortgage has closed and funded.

And I guess this is what I needed to hear. If it could potentially interfere with the mortgage process even in the slightest, it isn't worth it to me at the moment. Waiting isn't that big of a deal. The offers will still be there. Haven't applied for anything for 3+ years so I have myself in a good position that I don't want to needlessly mess with Thanks!

slither43 · ‎11-01-2021

And this is why I come here and think out loud before I do something I might regret! Staying in the garden until that garden is behind a new house. Thanks, guys!