@BuckyB wrote:
Well,
@Berk wrote:
When I first applied for an Amex quite a few years ago (via pen and paper application) I had to provide bank statements and investment statements as part of the process. When borrowing money was free for banks a warm body, weak pulse and a 650 credit score would get you just about any card you wanted.
Now, with the current state of the economy - think pre 2008 collapse, banks are getting stingier and stingier with loans. It costs them more to borrow money and defaults on CCs, mortages, and auto loans are increasing rapidly. Plus, over 43 million Americans are having to start to pay their student loan debt which is adding to the banks' concerns. Just look at all the bank layoffs over the past year. Banks are failing at an alarming rate too if you ask me.
Well, fine, but we don't run banks here so why do we care about banks' problems? I still want a good deal and a stress-free life and, frankly, I don't deal with banks that add stress to my life. Sending my personal info like bank statements, pay checks, tax returns, etc makes my life stressful so I'm not likely to do business with banks who want me to do that.
I think @Berk was implying that this might become more common, as banks try to step losses from chargeoffs and fraud. So, if that turns out to be true, you won't be able to avoid such banks, unless you give up credit cards. IMO, probably not going to happen any time soon!
OTOH, we tend not to complain too much about the documentation requirements for mortgages (from almost every lender, with a few offering low documentation mortgages at higher rates). Yes. it's usually much more money than a credit card CL but it is also secured.
So if POI became much more common for credit cards, we would eventually accept as part of the normal application process "Yes, they are lending us money so of course they need to check" It's just currently those that do ask seem too demanding compared to the rest!
