NOT accepting help fro CC companies during pandemic; paying on time.

[TaperRandy]

I carry a great responsibility with my cards every month in terms of making payments. My utilization is still at 10-11%, which I hope to bring to 7-8%. Out of practicality, I cancelled AMEX business Platinum (my bragging rights card) and Plum. I did this the month before both membership fees were going to hit totaling $700. They were in essence useless in a restricted travel world and the Plum I liked using for gas only.However being laid off from the construction grind in Boston as a NH resident, made keeping it pointless. Here is my question, which I suspect may have no real answer. I still have paid my remaining 12 cards, on time, often exceeding the minimum due, zeroing out a balance every now and then, never once being late nor accepting the "forgiveness/assistance" offers prominently posted at the top of all of our online CC sites when we log in to our accounts. My question: amidst this pandemic, do those who choose not to utilize the "help" from CC companies and continue to pay regularly...will we be receiving any type of favorable recognition eventually? Or will it be an unnoticed dynamic because in theory...it is what is expected of us in the first place? I've been pondering this for months now, realizing that those seeking postponements are doing so without credit score blowback. Suffice to say, if the companies reach out like that acknowledging hardships, waiving penalties, delaying payments due, etc...isn't it only fair to suggest that those maintaining their financial responsibilities be acknowledged as well? Perhaps automatic CLI, more legit "offers", not coupons essentially for stuff we don't want, etc. Looking forward to the best and brightest minds here to give their take on this dynamic. Thanks all.

[longtimelurker]

Without any insider knowledge, I would guess no special rewards, partly because as you say you are merely meeting expectations and don't need to get rewarded for that.  So, as common in this world:

1) Asking for special treatment probably has some negative impact (although this could be minor if it is very common)

2) Not asking is neutral

3) There is no positive!

[coldfusion]

Don't expect to be rewarded for continuing to honor the agreements you originally agreed to.    What I think you're more likely to see is that for some period of time those that requested forbearance will have more difficulty in acquiring new credit.   There have already been a couple of examples posted on the site from people who requested forbearance as a forward-looking strategy instead of immediate need being rejected for CLI requests.

Have you heard anything about your prospects about picking up construction work again anytime soon now that MA has started to allow work to resume?

[Anonymous]

These companies are definitely tracking who is affected and who is not which I could see them using in UW decisions but not otherwise. 

[pinkandgrey]

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@longtimelurker wrote:

Without any insider knowledge, I would guess no special rewards, partly because as you say you are merely meeting expectations and don't need to get rewarded for that.  So, as common in this world:

1) Asking for special treatment probably has some negative impact (although this could be minor if it is very common)

2) Not asking is neutral

3) There is no positive!

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I would agree with this completely. You're expected to continue paying, but lenders feel obligated to offer an out due to the extenuating circumstances. 

I'm right there with you as far as not taking assistance. Same thing with my car loan--I ignore the huge "NEED TO SKIP YOUR CAR PAYMENT? WE CAN HELP!" banner lol. 

[Anonymous]

In following along with what the others have said - I'm going to say that any recognition for not taking advantage of any relief or assistance programs is going to be (possibly) not running into the stumbling blocks or hurdles that others who have taken advantage of them may run into.

[blindambition]

As you stated, it's what's expected, and what you agreed to in TOS.

Someone struggling needs to do what they have to, make sure they keep head above water. Lenders are unfortunately taking AA measures on some of these accounts. CLD and closures.

Your recognition is that you paid your bills, and hopefully won't experience AA in these unprecedented times.

[bergrides]

I am not sure not asking for help will make a difference, but based on this post in Credit News - https://ficoforums.myfico.com/t5/Credit-in-the-News/Forbearance-becomes-a-Scarlet-Letter-on-credit-r... - if a person asks for forbearence it is being reported in the comments section of credit reports, and is being used to deny credit.

[longtimelurker]

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@bergrides wrote:

I am not sure not asking for help will make a difference, but based on this post in Credit News - https://ficoforums.myfico.com/t5/Credit-in-the-News/Forbearance-becomes-a-Scarlet-Letter-on-credit-r... - if a person asks for forbearence it is being reported in the comments section of credit reports, and is being used to deny credit.

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We should also note that things are relative.   If you really need help, getting it and dealing with some potential negative issues will usually be better than falling behind, getting late and defaulting.

[Heatt99]

IMO, the current algorithm is suited towards people who most likely are still employable. Construction is 50/50 based on region. 

Accepting assistance is in the eye of the beholder.

Adding trade line will be difficult amongst banks, more obtainable with Credit Union's.

Protect your credit at all cost is necessary.

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