No credit card required
Browse credit cards from a variety of issuers to see if there's a better card for you.
I'm very tempted to apply for an American Express Blue Cash Preferred right now but my inner voice keeps telling me to wait a year. Should I listen to him?
Here's what they will find on my EX:
(I PIF every month) (No baddies anywhere)
Open
USAA MC, $1200 Balance, $14000 limit, opened 10/2009
Discover More, $200 Balance, $2500 limit, opened 5/2010
Federal Student loan, $2400 balance, $10000 original amt, opened 09/2001
USAA Auto loan, $12000 balance, $15000 original amt, opened 07/2010
Closed
Macys CC AU from 1999
3 auto loans from 2001, 2002, 2003
2 inquiries - Apr 2010, July 2010
I had an Amex Blue for Students back in 2002 - 2003 but it has fallen off the 7 yr cliff. (Still have the acct # so they can backdate)
FICO in the 720-750 range
Income $50k
There is a big gap in the 2004-2008 range where I went through my Dave Ramsey period and paid a lot of stuff off.
My main concern is that my current open cards have been open less than 2 years, I have heard the Blue Cash is the hardest card to qualify for and they want 2+ yrs history on CCs to get it. Also, if I decide to applyand they turn me down for that card will they automatically consider me for a different card so the hard inq doesn't go to waste? I suppose I cound get a green card or clear or something, then upgrade it after 12 months. Should I try or should I wait?
How about get green or zync card now to get backdating effect to boost AAoA and go for blue cash preferred in next 3 months?
That's an interesting idea. The only problem I see is that I hear you have to have a card open for something like 12 or 13 months before you can change it to a different card. I'd rather change it than open a second card - I'm not really interested in having 2 AmEx cards, especially not 2 that have annual fees. But I guess having 2 won't really hurt anything because the AAoA will backdate. Hmmm, I'm gonna have to think about your idea some more.
I may hold off. You do have a long credit history, but if you do not have balances reported from your CCs I believe AMEX has a rejection reason of not using your revolving lines. I've seen some folks saying that AMEX likes to see a little balance report (not excessive).
But, you only have 2 inquiries which occured last year. I think it is up to you. I probably would wait but I'll let others chime in.
You can close green/zync before next AF hit. I'm more concerned about auto loan which is at 80% UTI will trigger auto-decline but you could recon to get manual review on that.
I thought balance on an installment loan was not figured into utilization the same as revolving credit. It doesn't mean I'm maxing out my credit, it just means I'm a year into a 5-year loan.
@ArisGreek, I do have balances reporting on my revolving CC lines. I put all my monthly spending on my MC and use the Discover for the 5% categories. I pay in full after the statement but before the due date so my monthly balance reported is usually in the $1-2K range unless I made a big purchase that month.
Next month I will receive my money from a travel voucher and I should have enough to pay off the student loan once and for all. Would I be better off doing that or putting the $2400 toward the car loan? I'm thinking pay off the SL because that will give me an extra $100 a month and it will improve my monthly debt to income ratio which I know is a big factor for AmEx.
Don't mess up your credit mix by paying off your student loan. keep that in mind.
Do it. I just got a plat card and from what you posted you look better than I do...