Devising a Chase strategy....

[Anonymous]

Hello ficofam,

Since discovering this forum mid-2019, I’ve learned so much but have confusion about Chase, why they are so desirable by some, and loathed by others? I’m planning to open a business later this year, and am thinking they could be beneficial in the future for business credit; therefore, I opened a Chase checking and savings about 3 months ago. Is this good strategic planning?

Currently I’m at 4/24, I wanted to apply now for a Chase card. I love flying Southwest and have been a RR member for many years. I’m very interested in their SW RR cards, and would love some feedback and recommendations if I should go for that first (now), while they have a 75,000 pts SUB.

I have been banking with Cap1 for a few years (banked with Chase about a decade ago). Recently, I parked $4000.00 in my Chase checking, and now I finally have PRE-QUAL’s in my online account for Slate, CF, and CFU. I went to a local branch last week, had a CSR pull up my account, and could see it said I was PRE-APPROVED for those 3 cards (as she told me). However, this was from a “data” screen about my account (with a drop-down box), and when I had recently gone to a branch with my daughter about her account, there was a different screen that showed from the CSR… it looked more like the page in my online account that has icons of each credit card.

Including some DP’s below, but here is where I could use some advice:

1) Do you think with my DP’s I could possibly get a SW RR card now? Should I go to a different branch and ask if I’m pre-approved (maybe that CSR wasn’t looking at the correct screen), or just cold-app it at home?
2) If I am denied, would they allow me to use the same HP and get the CF or CFU?
3) Is it, for any reason, smarter to start out with CF or CFU, then next year or two try to get a SW card?
4) Are credit cards based on FICO Bankcard 8? Or just on the “FICO” score? Looking at scores thru creditchecktotal and I’m confused about which scores are used for what, and also which Experian score Chase will use.
5) I heard SW cards have a minimum SL of $2000.00, and I also was hoping going for this card first may bring up my SL for a card with Chase, rather than starting with a $500 SL with CF or CFU. Is that true?

My next goals were going to be to garden for 6 months, then apply for a second NFCU card, then sit again for awhile and go for another Chase card. Also thinking I may close my Cap1 cards after one year (or two), I’m sure they’re bucketed! I have no plans for any other store cards, I would like to go forward with NFCU, Chase, and then Amex in the future. I now have pre-qual’s from Amex, Discover, Citi, and Chase, so I’ve come a long way in 8 months!

Scores - 1/19/20
EX - 663 - 4 inquiries
TU - 665 - 4 inq
EQ - 661- 3 inq
EX FICO Bankcard 8 - 674

(So many inquiries due to 3 each for Cap1 before I knew better! Ugh!)

Cards:
Cap1 Plat - 6/19 - secure, started at $200, auto CLI to $500
Cap1 QS1 - 9/19 - $300, now on steps to have CLI in March to $500
NFCU - SS Loan - 10/19 - $3010, immediately paid down to $256
NFCU MR Amex - 11/19 - $700
Macy’s Store (backed by Citi)- 12/19 - $1000 - received SP CLI to $3500 in Jan 2019

Only baddie is a BofA CO of $150 from 2015 that I paid off last June, other than that card I had paid cash for everything for many years, never even tried to get any other credit.

I’ve been spending a lot on each card, paying off multiple times each month, statement UTIL below 8.9% on NFCU Amex.

When Cap1 Plat reported my increase last month from $200 to $500, I got an 11 point jump in my scores. I’m hoping my score may increase a little in the next couple of weeks, after Macy’s reports my CLI? That would put me over 670, a big goal for me! So I could even wait another 2 or so weeks to apply for SW RR, the SUB expires mid-February.

Thanks in advance for your wisdom!!

[Anonymous]

I can answer some of your questions but not all.

Why are they desired?  For me at least, because they have both credit card partners and UR transfer partners that I value.  Most people consider Chase UR and Amex MR to be valued at roughly the same.  For me, I value hotel stays and don't value airline miles.  I can get $.02 per point with UR and only about $.01 for MR.  So I love me some Chase.  I also stay a ton at IHG and Marriott properties.  The Chase IHG card is phenomenal for me.

Why are they loathed?  Most likely for the long memory and quick trigger if something seems off.

I don't know if you could get approved in the mid 660s for the SW card but you might.  They sometimes pull both TU and EX both, sometimes only EX.  My scores are a bit higher with a similar age of cards but my only baddie is from 7 years ago (3 more months!!!!).  I got approved for the CSP and IHG cards at those scores, but got denied for Hyatt, CIP, and CIU.  Those apps were spread over about 7 months.  What I *would* suggest, since you are at 4/24 already, is that you apply for the business version of the card.  You said you are starting a business soon and if approved it won't count towards your 5/24 status.  That could be helpful if you decide you want another Chase card.

If you're curious about the minimum limit on a Chase card go to the card page, click on terms and conditions, and somewhere, I think about 2/3 of the way down but I can't remember, it will list in tiny print what the minimum limit will be.

[mikesonthemend]

At a minimum, I would wait until your oldest car is at least one year old. Your scores will probably be much better then.

Chase doesn't tend to cotton to young profiles as much as others.