Canceling Card Before Activating

[Anonymous]

I just received a new AMEX card and after reading the 12 page agreement do like a couple of the provisions.

What is the net effect of calling and canceling a card right away before it's activated?

Thanks.

Message Edited by jessep28 on 08-09-2008 05:30 PM

[Anonymous]

It is already open......and it has already cost you the inquiry.

Activating the card isn't opening the acct.

Also, many cards are actually already activated when they send it to you. They like you to call in so that they can try and get you to get extra products, insurance and the such.

[Anonymous]

what don't like about the terms?

[Anonymous]

wow im surprised you read a twelve page aggreement!!!

[Geordi]

jessep28,

The SOLE purpose of activation is SUPPOSE to ensure that the card cannot be used by anyone until the person that applied for and was approved for the card calls in and activates the card.

Once an application is approved, the account is open. If there are any fees associated with the card, then they will be charged to the card. If the card reports to any credit bureaus, then that information will be forwarded to the credit bureaus.

Bottom-line, canceling the card now will only have it reported to the credit bureaus as closed by consumer.

You're already took the inquiry and you will take a hit for lowering your average account age because you opened a new credit card.

You might as well keep the card and use it.

Message Edited by Geordi on 08-09-2008 05:59 PM

[Anonymous]

I don't like the alternate publication location in the event the Wall Street Journal goes out of business to retrieve the Prime rate .

It's mostly the rewards clause. I don't charge enough to make the cash rebate worthwile. I know I'm going to make AMEX cranky if I try to do a Product Change out of the gate, so it might be better to part ways now and do a product change on my MBNA card to a BOA Accelerated Cash Rewards AMEX instead. The average rebate will be higher.

Message Edited by jessep28 on 08-09-2008 06:08 PM

[Anonymous]

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jessep28 wrote:
I don't like the alternate publication location in the event the Wall Street Journal goes out of business to retrieve the Prime rate .

It's mostly the rewards clause. I don't charge enough to make the cash rebate worthwile. I know I'm going to make AMEX cranky if I try to do a Product Change out of the gate, so it might be better to part ways now and do a product change on my MBNA card to a BOA Accelerated Cash Rewards AMEX instead. The average rebate will be higher.

Message Edited by jessep28 on 08-09-2008 06:08 PM

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Take it from my personal experience---might as well keep it. It will report as "closed by consumer" on your reports even though you never activated it. Happened to me just two months ago. With AMEX, as a matter of fact.

[Anonymous]

Yeah, I just ended up activating it. I will try it out for a year, see how I do and make any product change/shelving decisions from there.

[Anonymous]

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jessep28 wrote:

It's mostly the rewards clause. I don't charge enough to make the cash rebate worthwile.

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Was this the Blue Cash, by chance?

Did you not read my stickied thread before you applied?

[Geordi]

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@Anonymous wrote:
I just received a new AMEX card and after reading the 12 page agreement ......

I got my AMEX card 3 months ago. Reading the 12 page agreement was painful. Too much legal-speak. It seems that the agreement just falls short of asking for your first-born if you default.