New Amex APR reconsideration

fittiger · ‎09-21-2018

So I opened a Delta Platinum amex on Tuesday after paying off some high balances and letting statements post. I pulled my FICO credit report before applying and my EX FICO 8 score was 782.

When I received my card today, my APR was listed as 26.49% based on an EX score of 720.

Is reconsideration possible? Why was there such a score discrepancy?

NRB525 · ‎09-21-2018

Is this your first AMEX?
Was your EX or other bureau 8 score at 720 recently?

High Bal Jan 2009 $116k on $146k limits 80% Util.
Oct 2014 $46k on $127k 36% util EQ 722 TU 727 EX 727
April 2018 $18k on $344k 5% util EQ 806 TU 810 EX 812
Jan 2019 $7.6k on $360k EQ 832 TU 839 EX 831
March 2021 $33k on $312k EQ 796 TU 798 EX 801
May 2021 Paid all Installments and Mortgages, one new Mortgage EQ 761 TY 774 EX 777
April 2022 EQ=811 TU=807 EX=805 - TU VS 3.0 765

fittiger · ‎09-21-2018

This is not my first Amex.

Yes, my score was around 720 last month due to some high balances reporting.

I called the reconsideration line and they said nothing could be done until after I activated my card because the application was locked for security purposes.

He did confirm they used an old soft pull and that I could request an APR review after activation.

Is it worth pursuing?

Anonymous · ‎09-21-2018

in general if you are chasing Delta miles (or Skypesos) and paying any interest you are doing it completely wrong...even at their best APR your monthly interest is like 1.5%...you'd be lucky to get 1.5% value from a Skymile...so don't worry about interest and PIF..or don't even chase miles.

simplynoir · ‎09-21-2018

@fittiger wrote:
This is not my first Amex.

Yes, my score was around 720 last month due to some high balances reporting.

I called the reconsideration line and they said nothing could be done until after I activated my card because the application was locked for security purposes.

He did confirm they used an old soft pull and that I could request an APR review after activation.

Is it worth pursuing?

I would simply to lower it even if you never plan to carry a balance on the card.

fittiger · ‎09-21-2018

Thanks for the advise. I understand the value of not carrying a balance. That's not the point.

However, if something should ever happen where I do have to carry a balance and pay interest, I don't want to pay any more than I have to, especially if my credit profile warrants a better APR.

Anonymous · ‎09-21-2018

It is reasonably well known that the EX FICO 8 scores used by Amex's underwriters lag real-time FICO scores, and even the scores displayed in your online account, by about a month. So it is always advised to wait approx. one month after a score improvement before applying so the soft pull used by Amex could "catch up" to your actual scores.

Here's a thread that discusses this same topic: Amex FICO update time frame? Please Help!

And there are several other similar threads if you care to look. Also this information is in the large Definitive Amex 3X Guide thread.

I don't see what there is to "dispute"...you didn't do your due diligence.

simplynoir · ‎09-21-2018

@Anonymous wrote:
It is reasonably well known that the EX FICO 8 scores used by Amex's underwriters lag real-time FICO scores, and even the scores displayed in your online account, by about a month. So it is always advised to wait approx. one month after a score improvement before applying so the soft pull used by Amex could "catch up" to your actual scores.

I don't see what there is to "dispute"...you didn't do your due diligence.

Meh, AMEX is an exception to the rule with their weird "we're gonna use the SP we already have on you even if your scores have changed" method they use for current cardholders which is part of the perk of normally not having any HPs performed on your credit report for future cards. And I dispute that it's well-known around here about that particular peculiarity or people wouldn't ask about it on the boards. Pretty much any other bank will use a fresh HP as part of your application for consideration which is the norm so don't see why they would think otherwise for a bank like AMEX.

I do agree though had customer service not informed the OP that they could do a review of the APR with a fresh pull once the card was received/activated I wouldn't have recommend to recon it and be SOL.

fittiger · ‎09-21-2018

Exactly how did I neglect to fulfill my due diligence?

I waited for an improvement in my credit profile and scores to apply.

The letter from Amex states that I was given an APR based on a EX 720, with a report date of 9/19/18.

I know that to be false, hence, a dispute.

Anonymous · ‎09-21-2018

@simplynoir wrote:
@Anonymous wrote:
It is reasonably well known that the EX FICO 8 scores used by Amex's underwriters lag real-time FICO scores, and even the scores displayed in your online account, by about a month. So it is always advised to wait approx. one month after a score improvement before applying so the soft pull used by Amex could "catch up" to your actual scores.

I don't see what there is to "dispute"...you didn't do your due diligence.
Meh, AMEX is an exception to the rule with their weird "we're gonna use the SP we already have on you even if your scores have changed" method they use for current cardholders which is part of the perk of normally not having any HPs performed on your credit report for future cards. And I dispute that it's well-known around here about that particular peculiarity or people wouldn't ask about it on the boards. Pretty much any other bank will use a fresh HP as part of your application for consideration which is the norm so don't see why they would think otherwise for a bank like AMEX.

I do agree though had customer service not informed the OP that they could do a review of the APR with a fresh pull once the card was received/activated I wouldn't have recommend to recon it and be SOL.

I did a quick Google search and found many threads that talked about this issue: https://tinyurl.com/y76o35n7 so I'd say this peculiarity about Amex is "reasonably well known."