Approval and denial question

nathan · ‎09-19-2007

When you apply for credit and get a response in 60 seconds, is this decision based just on your score or does that 60 seconds scans every thing in your report. Do some creditors manually review every thing on your report while others just go by their cut-off score. It really amazes me when you get denied for credit just after you hit summit. Please credit gurus, enlighten me on this.

Anonymous · ‎09-19-2007

nathan wrote:

When you apply for credit and get a response in 60 seconds, is this decision based just on your score or does that 60 seconds scans every thing in your report. Do some creditors manually review every thing on your report while others just go by their cut-off score. It really amazes me when you get denied for credit just after you hit summit. Please credit gurus, enlighten me on this.

Look at it like this. The first thing is score. Think of it like a series of on and off switches which is how computers talk to each other 0s an 1s. 0 being off 1 being on. Say the bank looks for the score you pass. I then goes to its other criteria Public Records on or off? 5 years or more on or off? Utilization? 10,20,30,40 above? which is on which is off? Collections on or off? Paid=off, open=on. Age 1-2 yrs, on or off (most dont matter beyond that).

Just saying that this is all the info bank A is looking for to qualify you,it would take longer to log into the CB database and get you than to approve.

You can equate on to yes and off to no

Message Edited by Brammy on 09-19-2007 09:29 PM

Message Edited by Brammy on 09-19-2007 09:30 PM

nathan · ‎09-19-2007

Thanks Brammy. It seems you are saying creditors already have their on/off for all goodies and baddies and your approval/denial depend on where you report fits on the switch board. Those that promise to respond in 10-14 days oviously peruse your entire report to make their decision.

Anonymous · ‎09-19-2007

nathan wrote:

Thanks Brammy. It seems you are saying creditors already have their on/off for all goodies and baddies and your approval/denial depend on where you report fits on the switch board. Those that promise to respond in 10-14 days oviously peruse your entire report to make their decision.

Sometimes you are borderline with their lending, sometimes the machine will kick you out for furthe review (7-10 day massage). Usually instant is meets or exceeds the predetermined criteria. Heck sometimes its your DTI and they need to manually review to see what limit they will offer. those switches are also set.

The thing is, now a days, most banks have the ability to instantly decline as well as approve.