EQ only makes me nervous because its my lowest score. 
@Anonymous wrote:
EQ only makes me nervous because its my lowest score.
Mine too. Thanks for reminding me. I've got to update my EQ score, which went down 5 points due to a reported balance increase on a credit card. 
Oh, and to answer your question, OP...In my case, I would rather apply for a new credit card with rewards on categories that none of my existing cards cover than take a HP for a CLI on a card that I already have. However, there will come a point where I will have all the credit cards that I want (see sig below), and at that point, I will have no objection whatsoever to taking some HPs for CLIs, assuming I haven't been auto-luved by then. (My Sallie Mae and QS in particular need some luv.) But your situation and your values may be completely different. Some people put emphasis on building the credit lines they have. I'd rather acquire all my desired credit lines first and then grow them from there.
If she only has 2 cards currently, new account + HP > CLI in my opinion. Actually in the thin file situation I'd say <4 tradelines get a new account though getting a car loan will solve that with the bonus of installment history on the report.
I'm assuming she's still in college or earlier by the summer job comment: get the tradelines and payment history under the belt, CLI's are stupidly easy later when she has full employment income and all those pretty OK's from when she was still in school. Get her an entry Amex for backdating purposes if you really want to be report stylish if you haven't already added her as an AU and set that date in stone.
If she does have enough revolvers, sure go for it if you/she want but it's not important. What are you hoping to get out of the CLI? It's not like she won't get that and more later in the long-term journey that is credit. Future AAOA buffer > current CLI on limited income too. Also relationship building if you care about that, maybe even 2 HP's to open up a local credit union now rather than later. Better uses of the inquiry than a rather meaningless (in my opinion) CLI.
@BluePoodle wrote:
@Revelate wrote:If she only has 2 cards currently, new account + HP > CLI in my opinion. Actually in the thin file situation I'd say <4 tradelines get a new account though getting a car loan will solve that with the bonus of installment history on the report.
I'm assuming she's still in college or earlier by the summer job comment: get the tradelines and payment history under the belt, CLI's are stupidly easy later when she has full employment income and all those pretty OK's from when she was still in school. Get her an entry Amex for backdating purposes if you really want to be report stylish if you haven't already added her as an AU and set that date in stone.
If she does have enough revolvers, sure go for it if you/she want but it's not important. What are you hoping to get out of the CLI? It's not like she won't get that and more later in the long-term journey that is credit. Future AAOA buffer > current CLI on limited income too. Also relationship building if you care about that, maybe even 2 HP's to open up a local credit union now rather than later. Better uses of the inquiry than a rather meaningless (in my opinion) CLI.
She actually is a Junior in college, so she has three years worth of student loans reporting which covers the installment category to maximize scores for credit mix. I think an auto loan will help but not really much overall.
She is an AU on my amex and it will be reporting the new CL of $13.5K this week. I am guessing we will have her apply for an Amex Jan of 2016 and she will receive a 2014 backdating. Her AAoA keeps taking a hit because every semester she gets 2 new student loans reporting. So her AAoA is only at 1 year. Her scores flutuate between 715 and 730. I just figured since she didn't plan to apply for any more CC's that taking a HP for a CLI would be a good investment to boost her own CL's. Like I said, the auto loan will be the only other anticipated HP for the year in May.
We do not have a relationship currently with a Credit Union. But I planned on us both applying at DCU in May to keep the auto loan HP's to two. Since she is away at school and I like to explain what we are doing and why, we do these things when she is home for breaks.
Overall I think you two have a great plan, but I would reiterate a CLI right now buys, well, not much. When she graduates and finds a job for 3x+ that income or whatever, that's when CLI's should be chased. Limited income = limited spending, just keep farming the payment history would be my recommendation. Sure she can afford the inquiry, and DCU almost assuredly won't quibble over a CLI on a credit card even, but Barclays will know, and you may want to save that CLI for when she can really use it especially as it would be expected in your plan when she graduates and 2 paychecks later to be doing a CLI right then and there anyway especially on the Barclays card.
Since a CLI is instant in time, whether you get 1K now and 2K later, or 3K later makes no difference, so taking the inquiry doesn't serve much purpose and I would submit might be training the wrong thing regarding credit building rather than to apply for things when you need to, and make the application as favorable as possible when you do apply.
@BluePoodle wrote:My DD has a Barclay SM card with a $3.2 CL. She applied for it last May and currently is carrying a balance of $500. She will probably pay it off before the next bill cycle. I apped for my Barclay SM card a couple of weeks before her and received $3K, but since then I have received an auto CLI of $1K. She has not received any auto CLI's.
Her income is going up this year from the $11K she reported when she applied to $16K due to a FT summer job offer she has. We will probably be applying for a small car loan and have her as a co-signer on the loan. That will be later in May this year. She also just apped for the Chase Freedom card and was approved for $2K. So she only has 1 or maybe 2 HP's at the most and one of her reports should be clean with no HP's.
Would it be worth while for her to request a CLI with Barclay and take the HP? I don't think she will plan to apply for any new cards any time soon.
To me, since I already have all the cards I want/need, I'd much rather take a HP for a CLI than a new account. New accounts lower your AAoA (Obviously) so I'd rather just use the cards I have (since in my opinion, they're all pretty good). The only minor exception I'd give is for a Chase Freedom with a 13.99% APR and a $200 bonus, and maybe a credit union card or two.
