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Discover Denied CLI due to Cash Advance

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Frequent Contributor

Re: Discover Denied CLI due to Cash Advance

Thank you everyone for your comments/opinions! 

 

I did a quick search on the forum after I posted and realized that yes, there are some warnings about cash advances, especially with Discover. 

 

Oh well, it is what it is! It's not like I had to do it because I was broke and desperate for cash... well, actually, I guess I was desperate because I was in an airport with no cash on me, LOL. I'll just wait it out! 

Message 11 of 25
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Super Contributor

Re: Discover Denied CLI due to Cash Advance

Unfortunately, cash advances are generally a "risk flag" to an issuer. This isn't unique to Discover. While a cash advance won't hurt your FICO score, it can definitely hurt your internal standing with the lender. They may view you as riskier, and thus decline CLIs or new accounts. It's just how it goes. Of course, I understand you were in a pickle and needed to do what you needed to do, but Discover is probably not the only lender who would have declined a CLI in the situation.

Message 12 of 25
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Valued Contributor

Re: Discover Denied CLI due to Cash Advance

It would take me literally being in a life/death situation for me to pull the trigger on a CA with any CC.  I know all the lenders state on all of our statements what our CA limits are but we all know what would come as a result.

 

Hell, I'd pay the Western Union vig before doing a CA.



Message 13 of 25
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Regular Contributor

Re: Discover Denied CLI due to Cash Advance

I would have to think it must be a lender to lender specific thing.  Because NFCU, which only charges $0.50 to pull money from an ATM has come in handy on numerous occaasions I have needed cash and I was not around a BBT ATM (they charge like 4 or 5 bucks to pull from another ATM.  NFCU raised my limits to $10,000 recently from $1700.  So, I guess it must be lender specific.  Good to know that discover frowns upon it and will hurt you for it.

Filed BK Chp 7 4/2015 - Discharged 8/2015 || Scores at Discharge- EX- 522, TU- 478, EQ- 488
Current scores - EX- 635, TU- 641, EQ- 637 (04/16) || Total CL - $30,600 || Util - 12%
NFCU GORewards - $10,000 | NFCU cashRewards - $10,000 | Cap1 QS1 - $1,300 | Cap1 Platinum - $1,300 | Sony Card - $800 | Comenity Cards (5) - $2200 | Firestone - $1,200 | Merrick Bank - $500 | Credit One - $550 | First Premier - $700 | Fingerhut - $250 | Amazon Store Card - $900 | Wal-Mart - $900
Message 14 of 25
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Valued Contributor

Re: Discover Denied CLI due to Cash Advance


@Jon85 wrote:

Hi all,

 

So I've had my IT card for 6 months now. After the 6th statement cut, I request CLI online and it said error, so I called into request it and they did a SP, and it was denied. I was told by a credit analyst that it was denied due to me taking a cash advance from an ATM a month ago for $300 (which I paid back 4 days later).

 

I was at JFK airport for international travel for a week, and I literally only brought my Discover card and license and passport with me. I had forgotten to bring my Amex with me because I usually SD it. Anyway, my luggage was too heavy so I had to pay an extra $240. They did not accept Discover as a payment, so my only option was to take a cash advance and pay the fee. I had no option to pay it--I only went with my Discover card because I have a bank account in Turkey that I withdrawl from whenever I am there, so I literally don't bring any cash with me to the airport because I "normally" (lol) don't need to since I'm only going through the gate, on the plane, and then straight to my apartment when I get there. 

 


And then when I got to Turkey, a few days later I saw that it had posted, so I paid it right away from my checking account.

 

How long will these effect my chances for a CLI? I didin't think a cash advance was THAT horrible of a thing, considering it's there for an emergency, when you're in a spot where your card isn't accepted. I've always PIF since I had this card but my limit is only $1,200, one of my lowest limits.

 

Any opinions on how long to wait or what I should do to up my chances?

 

 


I think you are lucky they gave you the chance to ask for a SP CLI after only 6 months; when I got my card for the first 9 months I was only offered HP requests...

 

I don't think anyone can say how long they will hold the risky behavior (i.e. cash advance) against you but just give it some time and responsible use and they will forgive the cash advance I am sure.

Scores hover around 800
Haven't been AZEO in over a year
Rome was not built in a day, neither is a good credit profile
Message 15 of 25
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Frequent Contributor

Re: Discover Denied CLI due to Cash Advance


@MissingCalifornia wrote:

It would take me literally being in a life/death situation for me to pull the trigger on a CA with any CC.  I know all the lenders state on all of our statements what our CA limits are but we all know what would come as a result.

 

Hell, I'd pay the Western Union vig before doing a CA.



Wow, that's pretty serious, lol.

 

Thankfully I don't really care THAT much, though I can understand why some do. 

 

If they don't want to give me the CLI for the rest of the time I have an account with them, that's fine, I'm not too terribly stressed over it.. I'll just get my double back reward at one year mark and close it if that's the case.

 

But I am lucky and feel thankful that I did have the option for CA since I was stuck in an awful position Smiley Happy Smiley Happy 

Message 16 of 25
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Established Contributor

Re: Discover Denied CLI due to Cash Advance

So does Discover carry this "anti cash advance" attitude for their cash back at checkout option too? I have used that a few times because it was convenient and I'd hate to think it hurts my standing with them.






EX FICO (AMEX): 728 (4/29/17) | TU FICO (Discover): 737 (4/7/17) | EQ FICO (Citi): 746 (3/28/17)
Message 17 of 25
Highlighted
Frequent Contributor

Re: Discover Denied CLI due to Cash Advance


@Jon85 wrote:

Hi all,

 

So I've had my IT card for 6 months now. After the 6th statement cut, I request CLI online and it said error, so I called into request it and they did a SP, and it was denied. I was told by a credit analyst that it was denied due to me taking a cash advance from an ATM a month ago for $300 (which I paid back 4 days later).

 

I was at JFK airport for international travel for a week, and I literally only brought my Discover card and license and passport with me. I had forgotten to bring my Amex with me because I usually SD it. Anyway, my luggage was too heavy so I had to pay an extra $240. They did not accept Discover as a payment, so my only option was to take a cash advance and pay the fee. I had no option to pay it--I only went with my Discover card because I have a bank account in Turkey that I withdrawl from whenever I am there, so I literally don't bring any cash with me to the airport because I "normally" (lol) don't need to since I'm only going through the gate, on the plane, and then straight to my apartment when I get there. 

 


And then when I got to Turkey, a few days later I saw that it had posted, so I paid it right away from my checking account.

 

How long will these effect my chances for a CLI? I didin't think a cash advance was THAT horrible of a thing, considering it's there for an emergency, when you're in a spot where your card isn't accepted. I've always PIF since I had this card but my limit is only $1,200, one of my lowest limits.

 

Any opinions on how long to wait or what I should do to up my chances?

 

 


The moral of this story for me is never only bring my Discover card with me.

Message 18 of 25
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Moderator

Re: Discover Denied CLI due to Cash Advance


@14Fiesta wrote:

So does Discover carry this "anti cash advance" attitude for their cash back at checkout option too? I have used that a few times because it was convenient and I'd hate to think it hurts my standing with them.


No, you should be fine.  Smiley Wink

 

They call that "Cash Over" and it's not the same as a cash advance, at least not in Discover's eyes.

 

https://www.discover.com/credit-cards/member-benefits/cash-over-purchases.html

 

Message 19 of 25
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Frequent Contributor

Re: Discover Denied CLI due to Cash Advance


@UncleB wrote:

@14Fiesta wrote:

So does Discover carry this "anti cash advance" attitude for their cash back at checkout option too? I have used that a few times because it was convenient and I'd hate to think it hurts my standing with them.


No, you should be fine.  Smiley Wink

 

They call that "Cash Over" and it's not the same as a cash advance, at least not in Discover's eyes.

 

https://www.discover.com/credit-cards/member-benefits/cash-over-purchases.html

 


I wonder why they don't consider it a ca. There's really no difference other then the name and withdrawal limits.

Message 20 of 25
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