Recent AAs

[Jaylima91]

Alright, so what banks are the most skittish currently and what seems to be triggering this new sensitive algorithm? Please, if you have recently suffered AA, briefly describe what happened and what caused it. This will also help fellow myFICO members better understand what shouldn't be done, despite how different every credit profile can be. 

[kdm31091]

Nobody here works for an underwriter. Nobody can tell you whether you will get AA or not.

While some AA has seemed overly harsh, in general, it comes from either obtaining a lot of credit too quickly, maxing out cards, other activities like MS, etc. There is usually a clear simple cause. Lenders are not just giving out money. If you obtain many cards close together, you can be at risk for AA. If you rack up high util, you can be at risk for AA.

I mean no disrepsect but I think most myfico members understand what shouldn't be done because it is rather simple. Don't go crazy with apps and don't spend more than you can afford. Following these two simple things will usually keep you clear from AA. I think overanalyzing AA causes is just a waste of time, as nobody can answer for the lender, but to each their own.

[Jaylima91]

@kdm thanks for your input but FORTUNATELY I am not asking for the direct underwriting criteria nor am I asking if I will receive AA. I am aware that nobody knows. I am just asking from those that have been through this.

Side note: I read a thread recently from a member that has had credit for many many years and he applied for one CC and received AA shortly after. What triggered it? Who knows. That's why I was looking for some input. Mainly because I wanted to apply for another CC. Nobody can tell me if I will have AA taken against me i am fully aware of that

[kdm31091]

Sorry because my post was a bit rude sounding. I didn't mean disrespect by it.

As far as the person you are talking about....they could simply have been at their maximum credit to income. There's always going to be a cap somewhere.

I get what you are saying (wanting to apply/ wondering if you'll face AA), but the fact that nobody can answer that for you kind of makes it difficult to respond. If you are ever in doubt, you can always just wait a few months and apply later. The card is still going to be there.

[Jaylima91]

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@kdm31091 wrote:

Sorry because my post was a bit rude sounding. I didn't mean disrespect by it.

As far as the person you are talking about....they could simply have been at their maximum credit to income. There's always going to be a cap somewhere.

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It was not rude. Don't worry. I know where you're coming from.

I agree. Perhaps that's the input I was looking for.

[takeshi74]

The other challenges with this sort of analysis include not everyone having a good grasp of causality and not everyone disclosing all details.  Also, unless the experience is with the specific creditor you're considering (creditors do not all use the same criteria) and that person's credit profile is sufficiently close to your own it may be irrelevant information.  It's never just a matter of one action or factor but one's credit and the impact of the change totalled together.

What shouldn't be done can determined by looking at what should be done.  The standard factors apply as well as the usual advice.

http://www.myfico.com/crediteducation/whatsinyourscore.aspx

Simply polling about recent AA doesn't tell you if a creditor is skittish or if the individual just had issues with his/her credit profile.  On top of that you also have to consider the data source you're using to collect anecdotal evidence.  Discussion forums always skew data.