@AverageJoesCredit wrote:Everyone talks about their underwriting but that doesnt explain how limits are given . You will have low scores getting huge limits while some high scores getting low limits. There was even a recent poster who apparently had no scores when he got a 25k limit out the gate and 6 months later, another 25k . Dont even ask how thats possible but as i like to say too much stock is put into scores or UW theory. Imo, just follow the guidelines like 91/3 and 6 month rule and for most part if one is eligble, your limits/cards should grow. Very rare to see bucketed Navy cards though they might happen from time to time
Agree that it's not that the UNDERWRITING PROCESS per se that is different. It's more the SCORING RESULTS from the underwriting that are required for a $5K or higher approval. We've had several members get Flagship Rewards as number one card right out the door, even with a new Navy FCU relationship. But I believe those members normally had strong credit profiles without a lot of recent credit-seeking.
Other factors important to Navy would probably include debt and debt-to-income. That's usually an important factor to credit unions. IMO, Navy seems to have penalized the underwriting of profiles more for high debt and recent credit-seeking than they have for some semi-distant derogatories like late payments.
And Navy tends to be more generous as they get to know you, so length of time as a customer may matter even more than your FICO score or income. They seem to put more emphasis on seeing consistent responsible financial management WITH THEM (card/loan payment history, direct deposits, showing interest in different banking products, etc.) While I don't think they respond differently to someone who deposits a large sum of money like some wealth management banks, I think they like to see someone not only open a credit card but also checking and savings accounts (and use them) as well as maybe a car loan, a CD, a mortgage, etc. Just my opinion, but I think these things may factor into the Navy internal score.
It appears to me that both low and high FICO profiles can get better credit limits with Navy if recent credit-seeking is minimal and debt load is manageable relative to income. Part of this analysis is based on my personal experience as well as the observations of others. In my case, I had a high FICO, high Navy internal score, high income, low debt ... yet my SL on card one was lower than other similar profiles got with Navy (and that I got with other lenders.) Also I was denied application for card two due to excessive new accounts. My credit-seeking with other lenders was my negative.
The low to mid FICO profiles getting great approvals have tended to have relatively few cards and few or no new accounts. I keep mentioning this observation in different threads because I under-estimated Navy's reaction to credit-seeking and think it's an important piece of figuring out Navy's lending model.
@Merc1776 wrote:There are some great points. I sense NFCU is much more conservative since covid on big SL and CLIs. I got a larger SL on BECU so am looking to potentially get a second card at NFCU and swap a portion of the CL onto my preferred card with a secure message which others had good success in doing. On my platinum card I paid debt down to $2k and the CL is $4,200. When I went for a CLI it was a no-go twice. I think 1st time was too early and 2nd time it was a matter of too much of the CL used on BT. I am due for 180 day CLI and will go for it once I get debt well below $1k to maximize a shot of $4k covid increase.
Honestly i dont think Navy is conservative at all. Yes cli have been limited to 4k for awhile but that hasnt stopped them from giving mutiple increases at same time and not many lenders give continuous cli of 4k or any cli for that matter. And the instant 20/25k instant approvals have not stopped. I think some may call them conservative because they arent getting what they eant right away or arent getting instant gratification. Regardless, one can grow trenendously within a year or 2 going from their sl to cli opportunities every 6 months. I didnt achieve a big limit overnight as it took me some 3 years plus but its been worth the journey
AJC I hope your right How many CC do you have with them?
@Merc1776 wrote:AJC I hope your right
I currently have 3 m8
. 1 CR and 2 Plats. Currently trying to get a cli on either CR and Plat #2 , or on one, or neither 😆. Last 3 denials were 2 recent changes to account and 1 at max. Makes me think i asked too soon but will try again. No way should i get more but if i dont ask ill never know
Wow amazing
How the heck you get 2 plat cards? Is there any extra advantages in getting 2nd Plat cc verse just getting a CLI on the 1st plat card?
@Merc1776 wrote:Wow amazing
How the heck you get 2 plat cards? Is there any extra advantages in getting 2nd Plat cc verse just getting a CLI on the 1st plat card?
Yes, actually. Its the timing in my case. I needed a card with a 0% apr bt offer and by getting my 3rd card as a Plat i got to enjoy a year at 0% with a $0 transfer fee. i dont need the Amex, though i used to have it, and FS isn't really needed either. I transferred some from my other Plat to make my BT possible so though limit not so great now on Plat #1, it can still be valuable later as a limit i might move or use with its low 6.49% apr.