First Credit Card Denials UPDATE!!! CFU APPROVAL!

Anonymous · ‎04-12-2018

UPDATE!!!! CFU APPROVAL!

So I have no idea how this happened, and I've decided the credit card application process is just bat **bleep** crazy!!!

After having been denied and convinced that my credit sucks and I'd have to start with a card from another lender, I checked my bank statement with chase today and received a notification that I had an offer for the freedom unlimited. I read through the fine print and prayed and agonized over weather or not to apply, but I closed my eyes and hit submit and was instantly approved with a $4800 credit limit!

Here's my credit info for future applicants.

They pulled Experien Fico 8: 745

Payment history: Perfect

Inquiries on Experien: 2 (this was lucky! had they pulled equifax it would have been 11)

Credit mix: Fair, 1 auto loan

AAoA of credit: 10 months

BUT I have been an AU on my parents cc for 10 years. There is differeing opinions on how that factors into the approval process, but I wholheartedly believe it helped me with this!

According to the fico app I have 4 things hurting my approval odds:

few accounts

short histroy

no revolving credit

no credit card activity

Message 14 of 14

ORIGINAL MESSAGE!!!

Can someone please help me? I am trying to get my first credit card and I've been denied twice. I have called the credit bureaus and Chase for help and no one can seem to give me defnite advice.

Here's my credit story:

I applied for the CSP in April 2016 not knowing what I was doing and obviously got denied. At the time it was my first year out of college and I had literally NO credit. I applied for that card because thats the one my Dad has (yes, he laughed at me lol).

I met with my banker at Chase to get advice on building credit. I am an authoried user on my Mom's Southwest Visa and he made sure it was reporting to the credit bureaus (it now is). He also adviced that I take on an auto loan if possible and make the payments for a few months and apply for a lesser card. I was fortunate to be able to do that, so in June 2016 I traded in my car (which was perfectly fine) and financed a vehicle for the first time. I have been making those payments on time ever since.

In February 2017 I met with my banker again and applied for the Chase Southwest Visa and was denied. I had accepted a new job, am now making $70K, and had been making payments on my car. I'm not sure what being an authroized user gets me, but I had that too. I know a TON of young people who get the Chase Southwest Visa for thier first credit card so I was kinda surprised.

My family has been banking with chase for generations so I would like to stay with them. I'd rather not open random cards that I have to hold forever.

Here is my current credit information according to the myFico app. Can someone please tell me what I should do? I guess the AU information isnt factored into the fico credit score, but it shows up on my credit reports? Confused about that. The "credit score insights" are as follows. But on my credit report I see different information for AAoA, Amount of Debt and Credt Mix becuase of I'm an AU.

Anyway, I'm just lost and could really use some guidence!

Equifax: 724

Transunion:711

Experian:745

Payment History: Very good 100%

Amount of debt: Good "you have no qualifying acounts to calcualte your revolving utiliation" (doesnt include AU card??)

Amount of new credit: Good "2 recent inquiries" but on my report there are 14 because of my car loan

AAoA: Fair 10 months (doesnt include AU card??)

Credit Mix: Fair "you dont have any revolving accounts" (doesnt include AU card??)

imaximous · ‎04-12-2018

@Anonymous wrote:
Can someone please help me? I am trying to get my first credit card and I've been denied twice. I have called the credit bureaus and Chase for help and no one can seem to give me defnite advice.

Here's my credit story:
I applied for the CSP in April 2016 not knowing what I was doing and obviously got denied. At the time it was my first year out of college and I had literally NO credit. I applied for that card because thats the one my Dad has (yes, he laughed at me lol).

I met with my banker at Chase to get advice on building credit. I am an authoried user on my Mom's Southwest Visa and he made sure it was reporting to the credit bureaus (it now is). He also adviced that I take on an auto loan if possible and make the payments for a few months and apply for a lesser card. I was fortunate to be able to do that, so in June 2016 I traded in my car (which was perfectly fine) and financed a vehicle for the first time. I have been making those payments on time ever since.

In February 2017 I met with my banker again and applied for the Chase Southwest Visa and was denied. I had accepted a new job, am now making $70K, and had been making payments on my car. I'm not sure what being an authroized user gets me, but I had that too. I know a TON of young people who get the Chase Southwest Visa for thier first credit card so I was kinda surprised.

My family has been banking with chase for generations so I would like to stay with them. I'd rather not open random cards that I have to hold forever.

Here is my current credit information according to the myFico app. Can someone please tell me what I should do? I guess the AU information isnt factored into the fico credit score, but it shows up on my credit reports? Confused about that. The "credit score insights" are as follows. But on my credit report I see different information for AAoA, Amount of Debt and Credt Mix becuase of I'm an AU.

Anyway, I'm just lost and could really use some guidence!

Equifax: 724
Transunion:711
Experian:745

Payment History: Very good 100%
Amount of debt: Good "you have no qualifying acounts to calcualte your revolving utiliation" (doesnt include AU card??)
Amount of new credit: Good "2 recent inquiries" but on my report there are 14 because of my car loan
AAoA: Fair 10 months (doesnt include AU card??)
Credit Mix: Fair "you dont have any revolving accounts" (doesnt include AU card??)

First, you may have to forget about Chase for some time. There's not really an "easy" Chase card. You have to start with a different lender just like everyone else and their neighboor.

The AU card with your mom only helped you get a pulse and be on the credit map, but it's not really your account. It did help you in getting a score, but it's not just about scores. You're going to need your own individual CC tradelines now, and so far, it looks like you have none.

You may have to start with banks that offer CCs to people with limited credit history. Althought it's never a guarantee, I believe lenders like Discover, Capital One and even Amex (some cards) could give you a shot at this point.

I'd wait for a few other people to chime in regarding credit cards with limited history before you go on app spree and add a bunch of inquiries to your report for no reason.

Anonymous · ‎04-12-2018

Not having any revolving accounts of your own would be one of the main problems. Your scores look good, and having a car loan is good for your credit mix.

Chase does not like to be the 'first person' to give someone credit. They like to see that you have handled cards from other issuers before they will. I understand wanting to stay with them, but they may need to see you with something else for a about a year before they give you an approval. Look at Discover or American Express prequalification; they seem to be 'kinder' to people that are new to revolving credit

Sneakytiki · ‎04-12-2018

See if there are any cards that could be of use to you. Check all the prequalification sites you can like Citi, Amex, Discover even capital one as a backup. Amex and Discover have some very useful cards that could help out anyone.

Starting Score-(01/2017): FICO ||EX:575--EQ:549--TU:588||
Current Score--(04/2018): FICO ||EX:686--EQ:697--TU:715||

Anonymous · ‎04-12-2018

Thank you all so much for your reply!

Do any of you know how accurate the prequal's are for Capital One and American Express? I have done these multiple times and am always concercned. For Amex I always come back pre approved for the Gold and Platinum rewards cards which I dont really know if I believe, and dont think they would help my credit since you cant carry a balance. Only once was I approved for the BCE but was afraid to apply.

For Capital One it says:

Quick Silver Rewards and below it it says, Venture. I would prefer to Venture card but as the first commenter said, I dont want to go on an "app spree" and I'm afraid to be declined again.

Also for capital one they have you pick your credit level which concerns me. I select average because of my scores but I dont know what they consider average.

Anonymous · ‎04-12-2018

Honey child, welcome to the world. There will be lots of rejection going forward. I think you should clear your cookies and browsing history and go try the shopping cart trick for one and only one Comenity card....the Sportsman's Guide Visa. Just throw a few things in your basket and choose the Buyer's Club option and see if you get the popup.

It's a great card and it can be your start into the credit card world. You don't have to do any other store only cards and the Visa works just as good as any Chase, Citi or any other bank card Visa. Be sure and pay in full monthly so the interest rate doesn't get you in deep debt.

Anonymous · ‎04-12-2018

Wait...let me guess... the auto loan was financed through Chase, right? Personally I'd laugh at any banker who advised me to trade in my perfectly serviceable car and pay on a new loan just to build credit history. There are many simpler ways to build credit; credit unions would be happy to give you a secured personal loan for a much smaller amount that the cost of a car.

My suggestion is to apply for a Discover card to build your revolving/unsecured credit history; right now all you have is secured credit history. Discover is usually quite generous to applicants with thin credit files like yours. After you've had at least one year of credit history then you can try Chase. Also don't apply blindly for credit; try preapproval links like this one before applying. Chase also has the 5/24 rule where if you've opened 5 credit cards in the preceding 24 months they will deny apps for most of their better cards so proceed carefully.

BTW, why did you father laugh???

Anonymous · ‎04-12-2018

@Anonymous wrote:
Can someone please help me? I am trying to get my first credit card and I've been denied twice. I have called the credit bureaus and Chase for help and no one can seem to give me defnite advice.

Here's my credit story:
I applied for the CSP in April 2016 not knowing what I was doing and obviously got denied. At the time it was my first year out of college and I had literally NO credit. I applied for that card because thats the one my Dad has (yes, he laughed at me lol).

I met with my banker at Chase to get advice on building credit. I am an authoried user on my Mom's Southwest Visa and he made sure it was reporting to the credit bureaus (it now is). He also adviced that I take on an auto loan if possible and make the payments for a few months and apply for a lesser card. I was fortunate to be able to do that, so in June 2016 I traded in my car (which was perfectly fine) and financed a vehicle for the first time. I have been making those payments on time ever since.

In February 2017 I met with my banker again and applied for the Chase Southwest Visa and was denied. I had accepted a new job, am now making $70K, and had been making payments on my car. I'm not sure what being an authroized user gets me, but I had that too. I know a TON of young people who get the Chase Southwest Visa for thier first credit card so I was kinda surprised.

My family has been banking with chase for generations so I would like to stay with them. I'd rather not open random cards that I have to hold forever.

Here is my current credit information according to the myFico app. Can someone please tell me what I should do? I guess the AU information isnt factored into the fico credit score, but it shows up on my credit reports? Confused about that. The "credit score insights" are as follows. But on my credit report I see different information for AAoA, Amount of Debt and Credt Mix becuase of I'm an AU.

Anyway, I'm just lost and could really use some guidence!

Equifax: 724
Transunion:711
Experian:745

Payment History: Very good 100%
Amount of debt: Good "you have no qualifying acounts to calcualte your revolving utiliation" (doesnt include AU card??)
Amount of new credit: Good "2 recent inquiries" but on my report there are 14 because of my car loan
AAoA: Fair 10 months (doesnt include AU card??)
Credit Mix: Fair "you dont have any revolving accounts" (doesnt include AU card??)

You'll be okay, just keep the cart behind the horse. Discover seems very willing to give a thin/new file an approval. Your scores are good, albeit with a thin file. The Discovery It has good rotating categories and the 1st year cash back match as well. If I were in your position I would apply for that 1st. After 6 months I would then apply for an Amex, I personally prefer the BCE. Amex is good with a little history in your back pocket and gives good and regular CLIs. Both of those are no AF cards and between the two are useful because of their cash back category mix and match potential. After another 6 months I would believe you'll be in good shape for an application approval with Chase, be it a CSP, Freedom, FU, SW, Amazon, etc, whicher fits your spend and desires the best. I'm sure there are many others that can offer you a plan of action, and mine is solely based on my own personal experiences, my observations and research here and elsewhere, and is solely my opinion as a non-expert. I wish you the best of luck and hope that you keep us posted on your progress and data points along the way!

Anonymous · ‎04-12-2018

If I were in the OP's position I would apply to PenFed and Discover. With that Equifax score you'd be a shoo-in for almost any PenFed credit product and they are generous with their credit limits. They also only pull one bureau - Equifax - which is a plus. Then wait for your credit scores to recover from the inquiries and new accounts reporting and your AAoA to exceed one year then apply for a Chase card.

Pikaboo-icu · ‎04-12-2018

@Anonymous wrote:
If I were in the OP's position I would apply to PenFed and Discover. With that Equifax score you'd be a shoo-in for almost any PenFed credit product and they are generous with their credit limits. They also only pull one bureau - Equifax - which is a plus. Then wait for your credit scores to recover from the inquiries and new accounts reporting and your AAoA to exceed one year then apply for a Chase card.

+1 Agree!! PenFed is awesome!