UPDATE on Hooters MasterCard--READ!

[tpayne105]

So the other day I applied for the Hooter's Mastercard...I got a decline with them and the reason was that I had recently opened a home mortgage.  I called them and asked why...here is what they said:

The bank (Merrick) has a policy now in place that anyone who has opened a mortgage account since December of 2004 will NOT receive credit from them....WTH???????????????????????

It sure would have been nice to know this and not waste a credit pull......has anyone heard of this?  And why would that be the case??????? 

ODD....

Thanks

[grneydangl]

I just got a mortgage in December of 07 and I got approved... BUT my mortgage wasn't reporting until the beginning of this month so that might be a factor?

[tpayne105]

yeah I was not very happy when i was told that.  Mine began reporting in mid march....unreal that is not listed anywhere....it makes no sense to me...the girl could not really tell me why the company decided this policy.  I might call back and ask again to see what is said...

[Anonymous]

(Tpain) love the user name... Anyway T, my mortgage closed back in Sep/07. Then I applied for a hooters card several weeks later. They gave it to me. So that story they just told you about some policy back from 2004 isn't true or its another one of their twisted stories. I'm telling you there is something going on with them. Something isn't quite right ???

[Eric958]

same here. mortgage oct 07 hooters app jan 08. mortgage was showing when I apped. I was approved.

E!

[Anonymous]

This is the third or fourth report I've seen of Hooters denial with this same reason in the last few days.  If what the CSR told tpayne is correct, it seems like a brand new policy.

Anyone who was approved in January or last year or whenever may have applied when they had different underwriting standards, because these posts are running rampant just very recently.

Thanks, tpayne!  This is great info, and will hopefully save some people from applying going forward.

Message Edited by cheddar on 04-10-2008 11:58 PM

[Anonymous]

Same thing happened to me but I have more info..

My scores were all just over 700 when I app's 2 weeks ago, didn't "need" the card, but thought would be cool card to have (where my stupid brain started).

I app'd online and was declined 7-10 days.  I called 2 days later and they told me that it was because I had a recent mortgage.  I told them I did not and here is the "kicker" CSR said

 "Merrick has new criteria that you didn't meet"

I said huh?  And she said "you have opened a mortage since December 2004" which is a negative criteria for our card.  She further said this was a very recent change.  It is obvious to me that this is somehow tied to higher default rates with the Mortgage crisis underway.

I then asked why don't you state that, I would have never applied and taken an inquiry.  She didn't know but said "I wouldn't discourage you from disputing it".

Anyone have luck with a situation like this getting it removed under this exact pretense?

Message Edited by ZoomZoom on 04-11-2008 11:16 AM

[MidnightVoice]

If this is true:

"Consumer Action’s yearly survey of the credit-card scene looked at 146 cards from 47 issuers. The group found default rates as high as 35% (Merrick Bank). "

I am not surprised they are getting picky!!

[Anonymous]

So wait a second, Then is it possible also that people who got recent mortgages will in turn be declined for credit limit increases?

[grneydangl]

I would THINK if you have good payment history with them and your mortgage reports as paying as agreed, that it shouldn't stop you from being able to get a cli but the fact that they have this new policy in the first place makes me wonder what else they're going to be adopting as "new policy"