New Card or CLI need HELP!!!

[rayy166]

Hello everybody,

I need some input on deciding whether I want to open a new card or simply get a CLI one of my excising cards, here is some background info:

I just moved into an apartment where rent is just shy of $3000, since none of my credit cards have a limit over $2000 and I wanted to use the credit card to pay rent, I have to decide.

Score: EQ 772 TU 800 EX 793
Average Age: 3yrs 1 month

Current cards:

Barclays Visa Apple Rewards CL 2000 @ 0%
Chase Slate CL 2000 @ 0%
Discover It 4000 @ 5%
+ 4 additional Retail Store Cards @ 0%
+ 2 additions Retial Store Cards @ <20%

I have had really bad credit in the past, while only making minimum payments, etc. I don’t expect to see an automatic CLI anytime soon, especially after staying between 90-100% Utilization for over 2 years on each card I own.

What do you guys think? I think some kind of rewards card would be nice since I would be charging over $ 36k on the card yearly. Would I even be accepted for something in the $3000+ range? Also would it be worth it since my average credit age is already fairly low?

Any input is greatly appreciated. Have a good day.

[rayy166]

** 3 Inquires on credit file (2 from apartment hunting 02/19 and one personal loan app 06/18

[Anonymous]

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@rayy166 wrote:
Hello everybody,

I need some input on deciding whether I want to open a new card or simply get a CLI one of my excising cards, here is some background info:

I just moved into an apartment where rent is just shy of $3000, since none of my credit cards have a limit over $2000 and I wanted to use the credit card to pay rent, I have to decide.

Score: EQ 772 TU 800 EX 793
Average Age: 3yrs 1 month

Current cards:

Barclays Visa Apple Rewards CL 2000 @ 0%
Chase Slate CL 2000 @ 0%
Discover It 4000 @ 5%
+ 4 additional Retail Store Cards @ 0%
+ 2 additions Retial Store Cards @ <20%

I have had really bad credit in the past, while only making minimum payments, etc. I don’t expect to see an automatic CLI anytime soon, especially after staying between 90-100% Utilization for over 2 years on each card I own.

What do you guys think? I think some kind of rewards card would be nice since I would be charging over $ 36k on the card yearly. Would I even be accepted for something in the $3000+ range? Also would it be worth it since my average credit age is already fairly low?

Any input is greatly appreciated. Have a good day.

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???

[Anonymous]

So couple questions:

1) if putting rent on card, who is paying the 2-3% surcharge. If passed on to you then this is not a good idea as it will eat up any rewards value created.

2) if you have a low UTIL now, then I would ask for SP CLI ( Discover every 6 months on cards that do a soft pull). If overall UTIL is under 20%, ask DISCO for a 2x CLI. Barclays might do a soft pull CLI, depends.

3) if you only have 2 inquiries in past year, go ahead and app for 1 more card, just make sure it's one that will soft pull CLI in the future (amex, citi, discover, etc). Amex usually get 3x CLI in first year.

Good luck

[xaximus]

What are your current balances/UTI?

[Caardvark]

I'd start with your Discover card. You can request a CLI as often as you'd like and it is nearly always a SP. If it is goiong to be a HP they will warn you so that you can retract your request. 

Barclays... LOL. The consensus is that they no longer do SP CLIs. All customer initiated CLIs are HP. And, some MF'ers have reported a triople pull for a CLI. Previously, the trick was to call and ask for an APR reduction and while talking with the CSR ask if there are any SP increase offers. YMMV but this "trick" seems to be dead.

[HeavenOhio]

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@Anonymous wrote:
So couple questions:

1) if putting rent on card, who is paying the 2-3% surcharge. If passed on to you then this is not a good idea as it will eat up any rewards value created.

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Another way to look at it is that the convenience fee may be worth the convenience of paying with the card. The rewards would offset some of it.

[xaximus]

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@HeavenOhio wrote:

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@Anonymous wrote:
So couple questions:

1) if putting rent on card, who is paying the 2-3% surcharge. If passed on to you then this is not a good idea as it will eat up any rewards value created.

---

Another way to look at it is that the convenience fee may be worth the convenience of paying with the card. The rewards would offset some of it.

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Depends on how the convenience fee is charged. If it's a set charge (example - $25 set charge for CC payments), then on a 2% CB card, a 3K payment would be $60 in CB. Which would net you $35. If it's a surcharge, then whatever the surcharge is, that's what the reward should be to so that there's no loss. OP - I would verify which one it is, a set charge or a percentage surcharge.

[rayy166]

Lol, I figured someone would catch this. I’m only an authorized user on this card. It was used to start my credit rebuild.

[NRB525]

OP what balances are you carrying now?

I would suggest the Chase Freedom Unlimited but not sure how long you have had the Slate. Then hold the UR earnings for a future use along with CSP to transfer.

Otherwise, generally no rewards are going to really outweigh the convenience fee. 2% just wont do it. And if you have a history of leaving high utilization then maybe putting 3 large on the card is something to think through