Why does Amex do this? Capital 1 let's you request one every day if you wanted. On top of that Amex doesn't even have a real recon department. When I called in to recon my decision they told me I couldn't speak to an underwriter and had to wait 3 months and I know other people have been told the same thing.
it's all done by computer so it's not like cli requests are eating man power either.
Let's you say request an increase with high util, you are denied. and then your new statement closes 3 days later.
in the span of 3 days your profile drastically improved by potentially 50+ points.
or you request one at the end of December, and then come January first you get a big promotion/raise/ bonus. Again, your profile looks very different now.
But Amex makes you want 3 months. It just never made sense to me and it's really kind of a irritating thing for consumers.
any ideas?
I don't think any lender owes you anything. You want to play in their sandbox, follow their rules and show them what you can do over time. I think they'd be in line if they considered someone to be credit seeking if they had repeated requests in a short time frame. Just because you come into a little extra cash, doesn't mean you can handle more of their credit.
Youre absolutely right, I'm not debating whether or not they have the right to have this policy. It's their money and their game.
the question is more why would they do this when others don't?
the name of the game is being better than your competition right? That's why cash back keeps going up, sign up bonuses are a thing, etc.
Having this policy is essentially forfeiting to their competition. It's 1 area where they are lacking compared to others. And that's 1 less pro when someone is comparing cards.
so I guess the question Is why would they bother creating this policy in the first place and why continue enforcing it?
Again, I'm not debating whether they have the right to enforce this policy. They obviously can and should do whatever they want. It's their money and their decision.
im asking why do it in the first place.
that makes sense, I guess most peoples profiles probably don't change much in 90 days. But still, It doesn't really cost them anything to let you request increases daily. Since the decisions are all done by computers and made in seconds.
There are exceptions for sure, there have been times where I was denied for an increase and literally the next day I was approved. I would be curious to know how many peoples profiles have a decent positive improvement before the 90 day mark vs the percentage of people who need more than 90 days to show improvement.
I think it would come down to paying in full, those who pay in full could see drastic improvements pretty quickly. While those who carry balances may need 6 months to see a positive improvement in score.
but you're probably right, there's not enough exceptions to make it worthwhile.
I can't debate facts. Your right, clearly they are doing very well, so why change now?
I do wonder how much their numbers are artificially propped up by the top 1%. If you took out all the rappers and atheletes with black cards spending 250 grand at the drop of a hat. Where would their numbers be?
Not a serious question just curiosity.
The rappers and athletes? It's obviously a conspiracy between them and AmEx to keep you down.