Emergency credit cards?

Cleaningitup2016 · ‎03-23-2020

Wondering if there are any decent credit card companies lowering their application requirements/scores/etc needed in order to help people during this outbreak?

Credit Card companies have a name for those who pay their bill in full each month: Deadbeats

Anonymous · ‎03-23-2020

Not sure if there are specific card companies out there, but keep in mind issuers don't have a huge appetite for a lot of risk right now. However, you have more control over that. If you have a good credit profile, they will be more than willing to offer some great cards with great offers. We had one poster who got a great CL and a longer 0% rate than was advertised.

These will be harder to get for those who have less than ideal profiles. It's just this time right now where they are jittery about the risk of not being paid back.

M_Smart007 · ‎03-23-2020

@Anonymous wrote:
Not sure if there are specific card companies out there, but keep in mind issuers don't have a huge appetite for a lot of risk right now. However, you have more control over that. If you have a good credit profile, they will be more than willing to offer some great cards with great offers. We had one poster who got a great CL and a longer 0% rate than was advertised.

These will be harder to get for those who have less than ideal profiles. It's just this time right now where they are jittery about the risk of not being paid back.

+1

Iusedtolurk · ‎03-24-2020

@Cleaningitup2016 wrote:
Wondering if there are any decent credit card companies lowering their application requirements/scores/etc needed in order to help people during this outbreak?

IMHO Credit card companies are in business to make money make money and make more money they are not in business to help the needy. I seriously doubt if any of them will reduce requirements to assist people during the outbreak as that would increase their risk factors.

The ones who seem not to need the credit or the loan gets the prize.

The ones who seem to need the assist....well history shows they are more than likely to be denied.

iced · ‎03-24-2020

@Cleaningitup2016 wrote:
Wondering if there are any decent credit card companies lowering their application requirements/scores/etc needed in order to help people during this outbreak?

Any plan to rely on credit to get through this emergency is a recipe for disaster. It's obviously a bit late to correct course now, but expect creditors to be more restrictive with high-risk applicants, not less. If they think someone's in dire straights and is going to run up their card for expenses they can't afford, most banks will AA/deny them unless there's also a clear path to repayment/solvency visible.

The best time to ask for credit is when you don't need it.

longtimelurker · ‎03-24-2020

@iced wrote:

The best time to ask for credit is when you don't need it.

Right, but even then it's of limited utility! You have the credit, but once the issuer sees that you are really needing it, with rising balances and slower payments, they can CLD to reduce their risk.

AverageJoesCredit · ‎03-24-2020

Ill agree here, banks only want to help when you dont need it. I wont be suprised to see the rich get richer after this is said and done.

Apply only if you feel your profile meets the criteria for that card.

Anonymous · ‎03-24-2020

@AverageJoesCredit wrote:
Ill agree here, banks only want to help when you dont need it. I wont be suprised to see the rich get richer after this is said and done.

Apply only if you feel your profile meets the criteria for that card.

I don't think its because they don't want to help, there just a very strong correlation between needing it and being higher risk.

Here's one scenario where someone who really needs it but is not high risk. One who has too much or all of their emergency cash in the stock market right now. They have excellent credit, but suddenly lost their job. Instead of withdrawing their cash from the market at a 30% discount to cover some expenses, they opt for a 0% card or offer to help them through this. And when things return to normal, they sell stock at much better prices to PIF.

longtimelurker · ‎03-24-2020

@Anonymous wrote:
@AverageJoesCredit wrote:
Ill agree here, banks only want to help when you dont need it. I wont be suprised to see the rich get richer after this is said and done.

Apply only if you feel your profile meets the criteria for that card.
I don't think its because they don't want to help, there just a very strong correlation between needing it and being higher risk.

Here's one scenario where someone who really needs it but is not high risk. One who has too much or all of their emergency cash in the stock market right now. They have excellent credit, but suddenly lost their job. Instead of withdrawing their cash from the market at a 30% discount to cover some expenses, they opt for a 0% card or offer to help them through this. And when things return to normal, they sell stock at much better prices to PIF.

Not sure many issuers would consider that not high risk! No job, very bad time for hiring, assets tied up in falling market. This is why there is a need for an emergency fund, so you don't need to sell at fire-sale prices and/or hope that a company will come through with a 0% APR card that will last through the crisis.

Anonymous · ‎03-24-2020

@longtimelurker wrote:
@Anonymous wrote:
@AverageJoesCredit wrote:
Ill agree here, banks only want to help when you dont need it. I wont be suprised to see the rich get richer after this is said and done.

Apply only if you feel your profile meets the criteria for that card.
I don't think its because they don't want to help, there just a very strong correlation between needing it and being higher risk.

Here's one scenario where someone who really needs it but is not high risk. One who has too much or all of their emergency cash in the stock market right now. They have excellent credit, but suddenly lost their job. Instead of withdrawing their cash from the market at a 30% discount to cover some expenses, they opt for a 0% card or offer to help them through this. And when things return to normal, they sell stock at much better prices to PIF.
Not sure many issuers would consider that not high risk! No job, very bad time for hiring, assets tied up in falling market. This is why there is a need for an emergency fund, so you don't need to sell at fire-sale prices and/or hope that a company will come through with a 0% APR card that will last through the crisis.

Lol. The point was the issuer didn't know it at the time of taking advantage of the offer.

To them they see 0 balances and an 800 score.

On the other end of the spectrum, they see high utilization, and some baddies in the past and don't extend any interest rate promos.