Getting back with Amex

[taxi818]

Hello fico friends. Haven't been here for a while. During pandemic I had major issues. Score crapped out. It's been about 10 months since I last paid Amex and both are now charged off.  Score is down to 560. Was all the way down to 435 from about 785. What a shame. Anyway. I owe Amex $12knon my delta and 2k on my gold card. They offered me the Optima if I pay one or the other in Full which I am thinking about paying the gold January 1 since I have the money. But my question is. Even if I get the optima since I did not file for Bk. I don't know what to think about the delta card. As I can probably pay about $350 a month on it. And still keep other cards and loans from defaulting. Don't want to file bk. I still have so good lines. But score stinks right now. Closed many cards and currently only have 4. All are ok. 

[dacv01]

Sorry to hear about your troubles- seems like you are wanting to get back on the right path. I support Optima as I have them myself and am a little more than halway through the 12 month "propationary" period. Optima typically requires you to respond within a timeframe, so I would read that letter if thats what they sent. I also believe they need the higher account paid off but not positive- maybe some other members with Optima with multiple Charge offs can help me out.  Of course a BK causes a much longer lasting effect so avoid that at all costs. 

[Anonymous]

---

@taxi818 wrote:

Hello fico friends. Haven't been here for a while. During pandemic I had major issues. Score crapped out. It's been about 10 months since I last paid Amex and both are now charged off.  Score is down to 560. Was all the way down to 435 from about 785. What a shame. Anyway. I owe Amex $12knon my delta and 2k on my gold card. They offered me the Optima if I pay one or the other in Full which I am thinking about paying the gold January 1 since I have the money. But my question is. Even if I get the optima since I did not file for Bk. I don't know what to think about the delta card. As I can probably pay about $350 a month on it. And still keep other cards and loans from defaulting. Don't want to file bk. I still have so good lines. But score stinks right now. Closed many cards and currently only have 4. All are ok. 

---

Go ahead and get the Optima first. I haven't seen a case where someone received the letter and then got denied. As long as you pay in full and don't settle, you'll get approved for the Optima, and rule of thumb is your SL will be half of that. 

Nowadays, AmEx is approving people for their consumer cards WHILE holding an active Optima card. Didn't used to be that way. Much better IMHO. I'd hold onto that Optima and wait until you had 24 months of everything paid-as-agreed, with low util, and decent income. Even better if no new accounts in last 24 months and no inquiries. But make sure your FICO is middle-600's and at least 2 solid years of no baddies before applying for anything after the Optima. 

EDIT: I had TWO AmEx that needed to be paid. I PIF only one, for which I got the Optima, and settled the other one later. I now have 4 open AmEx cards: Optima, Mariott Bonvoy Brilliant, Platinum, and ABP. 

[taxi818]

They actually sent two letters for optima. One for each Account. So I can pay either one in full. As long as I have not accepted their offer before.  Still need to pay the large balance off. Just will do the small one first. Then take my time with the big one to get some age in 

[dacv01]

@Anonymous So in theory I wouldnt have to wait full 12 months to apply for Gold? ( I will wait- just curious) 

[FinStar]

Welcome back @taxi818.

Some great advice given upthread.  Wishing you the best with your rebuild journey and sorry to hear about the recent hardships. 

[Anonymous]

---

@taxi818 wrote:

They actually sent two letters for optima. One for each Account. So I can pay either one in full. As long as I have not accepted their offer before.  Still need to pay the large balance off. Just will do the small one first. Then take my time with the big one to get some age in 

---

While they will only let you hold one active Optima, if you can pay the higher balance one, you can get a higher SL. 

[Anonymous]

---

@dacv01 wrote:

@Anonymous So in theory I wouldnt have to wait full 12 months to apply for Gold? ( I will wait- just curious) 

---

I'm assuming you've been clean 12 months, and are asking if you should wait 12 more? (Yes, I'd advise that.) 

I don't want there to be any heartbreaks, only happy tears. I felt like I was dicey applying with only 24 months clean. Definitely below the bell curve for AmEx approvals - while they're not THE most scrutinizing lender, it's not easy street, either. Some recent threads about AmEx denials for people well into the 700's. 

[Conceptual23]

Did you receive the Optima offer in the mail or over the phone?  I'm in a similar situation where I owe Amex for two old cards.  I'd love a chance at redemption with them. 

[taxi818]

I got both offers via mail.   The higher balance is 12k. Not paying that off in a month.  But the lower balance of 2k. I can pay. Just to get foot back in door.  After that I will wait at least two years before applying for anything else.