Re: Details on how HSBC Cash Rewards Card Approval... - myFICO® Forums

seattlecredit08 · ‎11-01-2018

I app-ed online for HSBC Cash Rewards knowing that they pull Equifax as my Equifax score is by far my highest score. This has been consistent for everyone o n this forum.

As expected, HSBC did pull Equifax. So far so good. It was not an instant decision, and they sent me some requests for additional verification (their standard ID, address, etc. documents which they seem to ask from most people, so again no surprises here).

However, what was a bit more surprising is that a couple of days later HSBC also did a soft pull on Experian (their Experian pull was actually 2-3 days later).

Since then, I did read on this forum that HSBC will often do a soft pull on Experian to do what's called "verify identity."

Now my question: How likely is it that HSBC will use/not use Experian score in their decision process? In other words, it possible that Experian's soft pull will only be used for identity verification and nothing else?

I am trying to make a decision as to whether abandon the app or not. If HSBC will use my Experian report excusively for identify verification, I have no problems. However, if they use my Experian report also in evaluating my app, my starting limit will be much lower as there is an almost 100 point difference between my Equifax and Experian FICO scores (Equifax is almost 100 points higher).

Any thoughts?

Thanks in advance!!

CreditInspired · ‎11-01-2018

OP

I think even if you abandon the app, you will still get the HP. So IMHO, let the process continue.

|| AmX Cash Magnet $40.5K || NFCU CashRewards $30K || Discover IT $24.7K || Macys $24.2K || NFCU CLOC $15K || NFCU Platinum $15K || CitiCostco $12.7K || Chase FU $12.7K || Apple Card $7K || BOA CashRewards $6K

bizarrocreditworld · ‎11-01-2018

@seattlecredit08 wrote:
I app-ed online for HSBC Cash Rewards knowing that they pull Equifax as my Equifax score is by far my highest score. This has been consistent for everyone o n this forum.

As expected, HSBC did pull Equifax. So far so good. It was not an instant decision, and they sent me some requests for additional verification (their standard ID, address, etc. documents which they seem to ask from most people, so again no surprises here).

However, what was a bit more surprising is that a couple of days later HSBC also did a soft pull on Experian (their Experian pull was actually 2-3 days later).

Since then, I did read on this forum that HSBC will often do a soft pull on Experian to do what's called "verify identity."

Now my question: How likely is it that HSBC will use/not use Experian score in their decision process? In other words, it possible that Experian's soft pull will only be used for identity verification and nothing else?

I am trying to make a decision as to whether abandon the app or not. If HSBC will use my Experian report excusively for identify verification, I have no problems. However, if they use my Experian report also in evaluating my app, my starting limit will be much lower as there is an almost 100 point difference between my Equifax and Experian FICO scores (Equifax is almost 100 points higher).

Any thoughts?

Thanks in advance!!

If this is your first HSBC application, then I would consider the request for verification to be a good sign. I had to do that when I applied for my first card, the Platinum Mastercard with Rewards, and I ended up approved very quickly once I sent in the requested documents. They are not inquiry sensitive, but they are a bit conservative with the SL.

No credit news is good credit news!

Brian_Earl_Spilner · ‎11-01-2018

I think the more important question here is, why is there a 100 point difference? If they SP your EX and see the difference, that's going to throw up red flags.

seattlecredit08 · ‎11-01-2018

@Brian_Earl_Spilner wrote:
I think the more important question here is, why is there a 100 point difference? If they SP your EX and see the difference, that's going to throw up red flags.

~100 point difference is due to 2 very old charge-offs showing only Experian and being updated monthly. They fell off Equifax already. They are scheduled to fall off within the next few months from Experian. Otherwise, perfect report for the last 6+ years.

On HP vs. SP, I went back and checked and the original Equifax pull was also SP.

As I understand from others on this forum, HSBC will turn this original Equifax SP into HP.

So, really, my question is-- has anyone heard of a bank using SP on the 2nd report for indentify verification during the approval process and ignoring the score from the 2nd report? This has been mentioned by others on this forum but I wanted to confirm that this is even possible.

Thanks!!

CreditCuriosity · ‎11-01-2018

No one will be able to answer this question for you other than HSBC and they won't.. Just wait it out and you should be fine. You should of just waited the few additional months for your Experian to be clean as well as lenders can SP or HP any CR they so choose even after you are with them and lets say if approved with EQ only they pull SP Experian a few months later and you have a new CO pop up only on that CR that can cause possible issues so trying to "hide" a not so good report always doesn't yield desirable results depending on the creditor.. With your case, you should be fine.. Best of luck.