Rejected for CLI

[Anonymous]

I am beyond puzzled here. Hoping one of you guys/gals can offer some insight. So I have 2 credit cards, one from 2010 and one from 2012. I started building credit since I was 18 (with a secured visa-closed eons ago). I have never missed a payment (and always pay in full) on my Discover and BoA CC. Up until recent I had a 2000 credit limit on my Discover and a 2,500 credit limit on my BoA. My credit score fluctuates around 788-820 (been around 810 for the last 6 months per the CC companies). I requested a CLI on both cards with anticipation of decreasing my monthly credit utilization (the percentage of my credit line used before I pay it off in full). Discover gave me an instant CLI to $3,500 but BoA has denied my CLI request for a total CL of $4,000. I am currently employed making ~50k a yr (with a guaranteed exponential increase in 3 yrs - a job I mentioned on my application), have all my student loans paid for, and more than 10k in savings. Why would BoA deny me of a 1,500 CLI? Could discover CLI hinder my BoA CLI request?

I am beyond flabbergasted and at this stage I would close the account out of sheer anger if doing so wouldn't hut my credit (but I know closing accounts are a big No-No). Really frustrated with the bank and when I called, I got a 30+ min hold time only to be told that the proper department closed 30 min prior to them talking to me (while I was on hold).

[CreditInspired]

Welcome to MyFICO

2 things you said immediately jumped out at me:

1. I have never missed a payment (and always pay in full)

2. I requested a CLI on both cards with anticipation of decreasing my revolving credit utilization.

PIF and decrease UT are contradictory statements. What is your UT on every card and the aggregate UT?

Also, you say your score fluctuates around 788-820 so I’m confused also what’s going on here. Are these FICO scores? Is there something else going on in your credit profile?

[Anonymous]

When you say you want a limit increase in anticipation of reducing your revolving UTI, does that mean with future purchases or now?  Is your BOA balance high?  Do you use the card?  I know you are a bit angry but remember you were denied by a computer.

I think with your scores and only 2 cards, you should find another card with a different creditor.  I would highly suggest Amex if they have cards that fit your lifestyle.  Even if you were to get approved for a 2k limit, it could be 6k in 61 days, and that could turn into 18k in another 6 months with only soft inquiries.

[Anonymous]

I am trying to get use to the terms being used around here.

I carry a 0 balance at the end of the month. However, before I pay for my credit card, I usually have a 30% utilization of my available credit limit. I want to decrease that and hence the CLI request.

At the current moment, I have 0 debt ($0 balance on both my cards and even have my rent paid 3 months in advance so I know my rental company hasn't screwed with my credit).

And by credit score, I am referring to the scores that discover and BoA adds to their monthly statement.

[AverageJoesCredit]

Closing accounts is fine if it suits your needs snd doesnt affect your overall utilization adversely. A closed account will remain up to 10 years or more snd will continue to factor into your score. With your score snd income, you could probably get any card from any other lender with very nice limits. Look for a card that suits your needs and spend and apply. No need to waste time with a lender that doesnt work for you. Too many lenders out there to be having bad experiences with one and be stuck being miserable. Good luck, Disco will reslly grow now thst youve started asking cli which sare always sp

[CreditInspired]

OP

Make sure one card post at least $5-10 on it. If your statements are posting at 0, CCCs are thinking you’re not using the cards.

[BeeH11]

Like others have said, you should be able to apply for another card (or more) and get it. I’m a fan of the AMEX 3x CLI thing (lots of info about that around here). If you want to close the BoA card, it will still report for 10 years or so (IMO, I’d probably wait to close it until you get a new card. However, if there’s no annual fee, maybe just sock-drawer it).
Check the pre-quads on various sites. But even if there’s no pre-qual, you could still get a card. I think I have only been pre-qual for 1-2x for a cards, all others I’ve app’d for without.
Also, before you apply, you might want to consider paying your utilization down so only around 3% reports (before you pay your balance in full).

[Anonymous]

Thanks everyone for your suggestions.

I do get a few pre-qualified letters in the mail. I'll contemplate one of those. I am still shell shocked at how $#17ty BoA is. Moving forward I will try to limit all business with them. Today I closed a 12k checking account (I know it isn't much, but it is at least something) with them and they didn't seem to care as to why I was moving banks.

[Pikaboo-icu]

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@Anonymous wrote:
Thanks everyone for your suggestions.

I do get a few pre-qualified letters in the mail. I'll contemplate one of those. I am still shell shocked at how $#17ty BoA is. Moving forward I will try to limit all business with them. Today I closed a 12k checking account (I know it isn't much, but it is at least something) with them and they didn't seem to care as to why I was moving banks.

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Not just the letters but there are prequal sites online that you can check. They're pretty solid and it's only a SP to your credit to check so no harm.

Discover, AMEX, Citi, Chase. Cap One and others.. You can find them all with a simple Google search.

You may find one of them treats you far better than BOA. 

Good Luck!!  

CHEERS & Happy Thanksgiving!!