Amex Gold denial - thin file

[Anonymous]

I've just started rebuilding in earnest after neglecting my credit during a divorce about 11 years ago, and I want to thank everyone here who is so willing to share information and help people. I feel like I've already learned so much after reading the forums for just a few weeks. Cold apped for Amex Gold this morning and was denied, and I wanted to share some background DPs:

I burned Amex 10 years ago for about $2,500 (no BK, just stopped paying the card and dodged collections until it fell off my CR). I have been an AU on my wife's Chase Bonvoy Boundless ($14,300 CL) and Nordstrom Visa ($10,000 CL) for about a year, and I opened my own Discover It ($500 CL) just over a month ago. My wife had tried to add me as an AU to her Amex Delta Plat last year, and told me the request was denied, so I assumed I was still blacklisted. I really wanted to know for sure, however, and after reading that they will do an instant denial without a HP if you are blacklisted I thought I would give it a shot. I've been wanting to get in with MR points for the flexibility, and the rewards on the gold fit my spend very well. I thought even if I get a HP I only have 1 on EX from the Disco so I can take the hit. I was showing prequal this morning for Cash Magnet, BCE, and ED, but with no firm APR. I know my file is thin but I thought with Amex being amenable to thin files and the charge cards being slightly easier to get than revolvers I had somewhat of a shot if I wasn't on the blacklist, but I didn't have much hope.

Denial with a HP on my EX, with the following reasons given:

The amount of credit available on your bank credit card account with the least credit available is too low (Experian)

The length of time is too short since the first account on your credit report was opened. (Experian)

Our evaluation of the accounts on your credit report based on the number, type, length of time opened, and credit risk level. (Experian)

Too few of your accounts or loans have always been paid on time during the last 24 months (Experian)

I guess that means I'm not blacklisted? I just need to enhance my profile before trying again.

Relevant DPs:

EX FICO8: 759

Aggregate Util: 10% of $24,800, almost all on Chase Bonvoy Visa

AAoA: 6 years 6 months

AoOA: 12 years 10 months

AoYA: 1 month

No baddies, all accounts in good standing 

Income: $61,000

[M_Smart007]

Have you tried to call Amex and Recon the App?

Could be worth a shot ...50/50 chance. IMO

[Eighthundredbound]

Wow. Your CR looks pretty good and your score excellent. You're also right about the charge cards being easier to be approved. The Blue Amex Credit card is easy too. I don't know about an Amex "blacklist" but I've heard rumors with them and Chase. I'd call their reconsideration line and talk them into letting you in.

[Anonymous]

I would call for recon like the others said but don't be suprised if you get turned down again, throwing out the AU's you only have $500 CL and 1 month of credit history with cards. Perhaps someone can chime in and say if AMEX is like Chase where they disregard AU accounts entirely. 

I would get some age and add the Every day card if you get approved to get in with amex and gain payment history and try in 6 months. 

[Anonymous]

Thanks to everyone for the suggestions. I did call for recon and the CSR informed me that my application did not qualify for a manual review. He advised me to wait for a while and apply again in the future, so I guess I have my answer!

[Remedios]

@Anonymous  you cannot rely on AU accounts. That history is not yours, and most algorithms these days simply ignore them.

If you remove them, there isn't much left.  

AU accounts artificially inflate age of credit, but that becomes irrelevant because due to the nature of your those accounts, you're not responsible for payments. 

So, when you're trying to asses your chances, it's best if you also ignore them. It will save you some grief and create more realistic expectations for the time being. 

[Anonymous]

Sorry about the denial but the upside is you are definitely not blacklisted anymore. So congrats on that. 

My situation is almost similar to yours. I burned them in 2005 ish for $2600 no BK and never paid them back.. it just fell off my report. I was approved for the Green card few months back but I had over a year of credit history at application time. 

My advice is to build some solid history with Discover. Try for CLI with them as they are soft pulls.  Maybe check any prequel for capital one rebuilders as well. Just give it time. Amex will come around. 

[Brian_Earl_Spilner]

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@Anonymous wrote:

Thanks to everyone for the suggestions. I did call for recon and the CSR informed me that my application did not qualify for a manual review. He advised me to wait for a while and apply again in the future, so I guess I have my answer!

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It's not that you didn't qualify for a review, Amex just sent out instruction that they are not doing any recons at this time. I learned this the other day while speaking to them about a previous app. I'm assuming that will stay in place until the economy improves.

[Anonymous]

@Remedios thanks, that sounds like very good advice! 

[Anonymous]

@Anonymous thanks for the advice, and congrats on getting back in with Amex! A denial always stings a little bit but I honestly thought I was still blacklisted, and the HP barely affected my EX score so it was worth taking a shot in my opinon.