utter SHOCK.Approved for a $5,000 limit for USAA Amex Card with 2X points for gas and groceries

[scvbd99]

FAKO scores for all 3 CRA at around 660...maybe 10 points variance for all 3 between credikarma, creditsesame,  and credit.com.  I was also rejected by lending club last week with a score of 705  for transunion based on their scale (300--850), and subsequently also rejected by Chase and Barclaycard tonight.  As a last ditch, applied to USAA and got a **bleep**ing MIRACLE with instant approval for $5K with 2X points on gas and groceries through the USAA Amex Card.  I know it's not really Amex, but still, I'm flabergasted.  

really in shock.  wow.

[scvbd99]

0% APR through May 2015, and then only 16.90% after that

for somebody like me with scores in the low 500s a year ago, this is unbelievable

[parttime]

Congrats on the USAA....As far as Chase why not try to get a RECON and with Barclays do you have any other type of established Visa/MC if so try and Recon them as well?

[kroberts67]

They will often approve a 2nd card.  I felt your same shock last spring, they gave me two card with awesome limits and then got checking/savings and credit monitoring.  I love them!  Congrats!

[kroberts67]

Also in 6 mos they will SP you for a CLI so keep your UT super low and credit sparkly!

[coldnmn]

Congrate! Thanks for sharing.

[scvbd99]

thanks for the advice from everybody.

i inted to keep my utilization at around 10% max, and pay (almost) in full every single month.  

my big goal is to get a house at a decent mortgage rate in a year or so, so I'm gardening towards that.  i was such an IDIOT with credit for the better part of 2 decades with student loans totaling nearly $90K in default, but I went through the rehab process and its FINALLy paying off.   this month, i'm making my first REGULAR student loan repayment through IBR....119 more, and the rest of my debt will be forgiven since I teach in a low income school districty.  

i will defintitely recon chase and barclay, but even if they don't budge, getting my first unsecured card witha 5K limit form USAA is a good starting point for me.  earlier tonight, i was also approved for a $500 Amazon Visa, so my next goal is to get them to do a CLI in 6 months or so.  I'll keep my utilization near 10% with Amazon as well, and PIF ever month.  I use Amazon Prime constantly, so this is perfect for me.  

I'm shaking righ tnow at 5:30 in the morning.   

[lg8302ch]

Congrats... take good care of your USAA card ...first 5K card is an important milestone!  way to go.

[scvbd99]

really good to know, thanks krobertts.  looks like we're pretty close with scores, so I'll take your word.  I think i'll apply for a USAA mastercard in a couple of weeks if my TU score doesn't sink too much with all of these inquiries over the past couple of days.  

just for fomer vets who may be rebuilding, my fako scores were universally around 530 last year at this time.   if you have massive federal loans (not private) that have defaulted, there is hope.  get on the phone with your current guarantors, and tell them you want to do federal rehabilitation on your student loans.  they HAVE to accept "farir and reasonable" payments that you negotiate for 9-12 months.  usually, the federal ombudsman sees "fair and reasonable" as about 2%o of the totatl principal of the lonas, though if you're in hard times, it can be less.  DO NOT let them try to strongarm you into payments you really can't afford.  after 9 payments, they are obligated to find new funding for the loans.  sometimes it takes them a few months, but they do find new funding.  i had nearly 90K total in student loans, and my guarantor (ECMC) found new funding with Sallie Mae within about 70 days.  you have to keep making the "fair and reasonabl" payments until they find the new funding, but if it ever feels like it's taking way too long, just document everything and threaten the guarator with contactig the federal ombudsman.  they'll respond in short order.  

key points:

- you can only rehab loans once....missing payments during the 9 months will put your loan in default forever until you pay it off in full

- no matter how aggressive the guarntor or collection agency is for your federal student loan, "fair and reasonable" is no more than 2% of the loan's principle. e

-after your 9th payment, it may take some time to get somebody to take over your previously defaulted loan, but all infor about the defaults statuis of the loan should be deleted.  they are  not required to delete late paymetns (30/60/90/120/150/180 day), so all you can do to fix that is send good will letters to the oriiginal lender begging them to ask their 3rd party colllectors/guarantors to remove the negative history.

email me any questions.  i'm not an expert, but i've worked hard to fix my credit.  

[drkaje]

USAA is a good bank to be with.

I've had their Amex and MC since Dec 2011 and am hoping to get a little love soon.