Cap One CLI denial- perplexing reason (at least to me)

[Anonymous]

Have a Cap one venture about 11 months old, 1100 cl. Requested a cli at the sixth month mark, was offered 100 cl and I declined it. Fast forward Friday (12/25), requested a cl increase, was asked income, average spend on orher CCs, etc.  Got  a 1-2 business days review, checked today and 🙅‍♂️! Now, it wasn't a total shock to me but the reason had me laughing .... too many inquires! Say what!!😀😀

Now, I do have 32 inquires BUT 27 of those are from my mortgage refi this summer and dates from 5/7 to 5/13 (I guess rate shopping through a third party causes everyone and their "uncle daughter's grandfather" to pull your credit😀

Now, I barely used the card anyway.  Between my DISCO, CITI DC, and NFCU, the card is what I consider a "remorse buy". Put  my niece as an AU seven months ago and she uses it for her everyday  college expenses and the balance is  paid off on the due date like clockwork.  I guess CAP1 knows I don't personally use the card, and I kinda expected a "no soup for you", what I didn't expect was the reason given. Any who, it goes in the SD, as my niece has a DISCO secured now (300 limit). I've added her to my DC as an AU (U get better cash back anyways). Oh, and she would go over the limit by 200 to 300 some months, and I'll immediately pay it down to 50 percent, so they did get some good spend on the card. Ah well, cap one does what cap one does!

[Slabenstein]

I don't think the Cap1 algo distinguishes between a string of inquiries from rate shopping and a string of inquiries from an app spree.  So while all those mortgage inquiries are de-duped for FICO scoring, Cap1's Skynet underwriting looks at them the same as if you'd apped for 27 credit cards in one week.

[Curious_George2]

I don't remember seeing this issue discussed with respect to CapOne specifically, but what @Slabenstein says is known to be true of several othet CC issuers. For the ones that allow recon, it's something a savvy applicant can work around. But since CapOne doesn't recon CLI denials, you're out of luck. 

FYI, the $100 offer was normal. That's what they are giving out these days on limits of under $1600. 

I'm confused about the timeline. If the $100 offer was 5 months ago, that would be around July. If your 27 inquiries were in May, that means CapOne was OK with them in July. When are the other inquiries from? Is it possible that their threshold for too many inquiries is north of 27 (!) and you triggered it with some post-July inquiries? 

[barca]

@Anonymous 
You have 32 inquiries , 27 are mortgage related.

'even if all the 27 mortgage are lumped as 1

it means you still have 6 inquiries.

'depending on the window, that is still a justifiable " too many inquiries" reason code

[AverageJoesCredit]

Rejecting a $100 increase from Cap One is like throwing away your Powerball ticket away on purpose.  Ill never understand why any lender would offer only $100 when they darn well know that gets one nowhere . Its well documented that Cap One is notorious for low cli even for big spenders. 

[Anonymous]

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@Slabenstein wrote:

I don't think the Cap1 algo distinguishes between a string of inquiries from rate shopping and a string of inquiries from an app spree.  So while all those mortgage inquiries are de-duped for FICO scoring, Cap1's Skynet underwriting looks at them the same as if you'd apped for 27 credit cards in one week.

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I feel the same about them. I received that same response before for a similar situation.

[Anonymous]

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@barca wrote:

@Anonymous 
You have 32 inquiries , 27 are mortgage related.

'even if all the 27 mortgage are lumped as 1

it means you still have 6 inquiries.

'depending on the window, that is still a justifiable " too many inquiries" reason code

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Ah, okay. I see what you mean.

[FalconSteve]

CapOne doesn't seem to be very consumer friendly. They triple pull, they don't de-dup.

They were a nightmare when I had an unauthorized charge.

Anyway, sorry about your denial.

[Anonymous]

And this is why I'm confused as well. When they offered the 100 cl, I had the 32 inquiries already. I haven't applied for anything else because I want to app for the BCP next March. I checked my reports and al I see are soft pulls (cap1 included). 

[Anonymous]

I like your analogy AJC! I erroneously thought that if I held out, they might increase it. Well, now I know😀