Pen Fed Question...

[Credit-hoarder]

Through a very strange set of circumstances I was able to get into Pen Fed 1.5 mos. after my initial application with what I'm 99% sure was a SP of my CR. I was also told by a CSR they could use that very same CR info for 30 days to apply for a product. However I'm trying not to add any more new credit cards until at least next Spring--I want to work on getting my existing TLs up to better limits first. My question is this: If I app'ed for a PLOC with them would it impact my AAOA or report as a loan or the same as a card? If this is a chance for me to also get a PF product with the same SP I want to take advantage of it--but not in the form of another card (at least for now).

[K-in-Boston]

A PLOC or CLOC would impact AAoA and report as a revolving line of credit. The “app for as many products as you want with no new pull” used to be 90 days, but there have been a lot of reports of 30 days this year so they may have changed that.

[Credit-hoarder]

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@K-in-Boston wrote:
A PLOC or CLOC would impact AAoA and report as a revolving line of credit. The “app for as many products as you want with no new pull” used to be 90 days, but there have been a lot of reports of 30 days this year so they may have changed that.

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Thanks for replying K. In that case I might just do a small personal loan instead to establish payment history with them first before app-ing for a card (which won't be until at least 5 or 6 mos. down the road). I asked the CSR how long I had to decide on a product using the same CR and yes--she specifically said 30 days.

[Anonymous]

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@Credit-hoarder wrote:

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@K-in-Boston wrote:
A PLOC or CLOC would impact AAoA and report as a revolving line of credit. The “app for as many products as you want with no new pull” used to be 90 days, but there have been a lot of reports of 30 days this year so they may have changed that.

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Thanks for replying K. In that case I might just do a small personal loan instead to establish payment history with them first before app-ing for a card (which won't be until at least 5 or 6 mos. down the road). I asked the CSR how long I had to decide on a product using the same CR and yes--she specifically said 30 days.

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A small, medium or large personal loan WILL also affect you AAOA's. Any new credit account including personal loans will affect your AAOA's.

[Credit-hoarder]

To be honest, AAOA from a personal loan wouldn't really concern me right now as much as a card b/c a loan reports as just that--a loan and not a credit card...plus loans can actually help a credit score sometimes. My current PL did when I opened it last May, (I have no car note or mortgage) but that will be paid off this Spring and I anticipate a significant score drop b/c of that. At least if I have a concurring PL still open at that time a score drop isn't as likely to happen hopefully. I just really would prefer not to get another credit card for a while. But thanks for the input

[K-in-Boston]

Having a loan of some sort is certainly helpful for scoring.  If you're doing it for the points, certainly do the Personal Loan (not the Personal Line of Credit or Overdraft Line of Credit, which would both effectively report like a credit card).  PenFed doesn't offer a SSL option, unfortunately (Navy does as well as others), but you should be able to treat it like one by paying most of the balance off right away and then stretching the remainder out over the life of the loan.

[Credit-hoarder]

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@K-in-Boston wrote:

Having a loan of some sort is certainly helpful for scoring.  If you're doing it for the points, certainly do the Personal Loan (not the Personal Line of Credit or Overdraft Line of Credit, which would both effectively report like a credit card).  PenFed doesn't offer a SSL option, unfortunately (Navy does as well as others), but you should be able to treat it like one by paying most of the balance off right away and then stretching the remainder out over the life of the loan.

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I tried to look it up--what is SSL?

[K-in-Boston]

Share Secured Loan

[Anonymous]

I spoke to an UW in the cc department yesterday at PenFed. I was applying for a secured card with them, they informed me that I can use the same credit pull with them for up to 90 days. In my case it was a HI for the secured card. You can also add a co signer to any HI within that time to better your approval odds if denied. They also require a 650 minimum fico score for their secured card, which I did not know. They pulled from Equifax. They offered a secured loan without any inquiry, their only requirement for that is that you have the money in the account for a minimum of 30 days PRIOR to applying for the secured loan. 

Hope this helps someone, I wish I knew some of these things prior to my inquiry. 

[Glen_M]

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@Credit-hoarder wrote:

To be honest, AAOA from a personal loan wouldn't really concern me right now as much as a card b/c a loan reports as just that--a loan and not a credit card...plus loans can actually help a credit score sometimes. My current PL did when I opened it last May, (I have no car note or mortgage) but that will be paid off this Spring and I anticipate a significant score drop b/c of that. At least if I have a concurring PL still open at that time a score drop isn't as likely to happen hopefully. I just really would prefer not to get another credit card for a while. But thanks for the input

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If you are already receiving a score boost from your currently active personal loan, taking another one out is unlikely to help.  When you are nearer to the end of yout current loan you might want to initiate a SSL or other very low interest type of loan with a longer payment schedule (60 month secured loans are available from a variety of major lenders), to allow you to carry that score bonus for a longer period of time with minimal interest paid.