AMEX and MSD change.How does it Appear?

[MidnightJester]

I was wondering how my AMEX card is going to report to the CRA. I just got the new AMEX last month and the first statement is cutting tonight. I just spoke to the CSR the other day and had them change my MSD to 1995 when I had a Green card with them that was closed from non use.

When it appears it will show this first months statement but when else will appear on my reports will this new TL. Why is it good that they changed my MSD to my old date. I dont fully understand how this helps with amex and the CRA. Thanks.

[jd352]

It will show the account opened back in 1995 adding 19 years of an account to you average age of accounts. But, it will only show a history starting in June of 2014. The increase in AAoA will help your Fico score. However, a manual reviewer could see that the account is new and are probably familiar with Amex and their backdating. 

[MidnightJester]

Thanks for the quick reply. Well then here is always hoping for instant App approvals : ) the more the computer processes your applications the less that will be picked up apon I would think. Weird how this new AMEX card was taking me down to (3,4) months with AAoA counting in other (3)new cards. Now my AAoA will pop up to 4-5 years or so : )

[MidnightJester]

Does the fact that AMEX backdates a new card(TL) effect the points that come off for a new TL reporting?? Is it still considered a new TL when the AMEX pops up?? If it is saying its from 1995 does that override the points being taken off for a new TL??

Not sure how intteligent FICO is with its counting rules to having both a new TL pop up and being told at same time that the new TL is really 20 years old

[heyarrnold]

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@MidnightJester wrote:

Does the fact that AMEX backdates a new card(TL) effect the points that come off for a new TL reporting?? Is it still considered a new TL when the AMEX pops up?? If it is saying its from 1995 does that override the points being taken off for a new TL??

Not sure how intteligent FICO is with its counting rules to having both a new TL pop up and being told at same time that the new TL is really 20 years old

---

It is not considered new. But of course a manual review will show otherwise. 

The inquiry will show up. But the card will not have the current year. Thus when the algorithm checks for:

if(currentYear == dateOfOpening)

     {

          //This condition will be false and so your FICO score will not be deducted the points that it normally would 

     }

[Open123]

Your AAOA will improve and you'll be spared the usual AAOA ding associated with new accounts.  The main advantage of Amex backdating is the Fico score jump from extended history on auto approvals.

All things being equal, it's always better to have a longer AAOA.