Card Acquisition Risk Score V2

[hzynneb]

I was approved for CSP after recon. After receiving my card, I saw this score called "Card Acquisition Risk Score V2". Range from 250 to 900. My score was 873. One factor listed that adversely affected your credit score is: "Satifactory obligated revolving accts compared to all revolving accts" Can somebody translate this for me, and what does it mean exactly? I think its trying to say I have late reporting accounts? Which I do not. The other factor listed was "Insufficient installment loan information". I have 3 car loans, 1 active with balance of $1900. To top it off they gave me the highest APR of 22.99%. None of this makes any sense. 

[FinStar]

CARS is Chase's proprietary score commingled with FICO elements.  

The first reason is not saying you were necessarily late or the presence of late payments.  It is basically saying that the proportion of satisfactory obligations is not as high (in their eyes or UW criteria) based on the total number of revolving accounts.  This can mean single factor or a combination of several.  Anywhere from carrying high balances for a prolonged period, amount of payments in relation to revolving balances, not using revolving accounts for a prolonged period to evaluate a satisfactory history, etc.

Are the other installment loans paid off?  Are you the primary owner on all of them (i.e. not joint)?

[Anonymous]

Certain (most?) approvals pushed through recon will result in the highest rate / lowest tier APR.

Maybe they don't like the installment loan as it is right now? I know certain lenders may like long aged and open installments (WF). Chase, for example, also doesn't like personal loans.

[Anonymous]

Usually "insufficient" installment loan information means lack of current open loan, which clearly isn't the case... so I'm not understanding that provided reason.

[FlaDude]

Considering your score is only 27 points from the max value, nothing is adversely impacting it much.

I doubt that a score of 873 would have resulted in a denial a year ago. I also had a recent denial from them with FICO 8s above 820 and a "Card Acquisition Risk Score V2" of 898. I've previously had instant approvals from Chase with much lower scores and a worse overall profile.

[Anonymous]

Profile is always > Score.

Someone could have a 900 score and still get denied for due to a hard rule, like 5/24 with Chase for example.

[FlaDude]

Sure, one could get denied for 5/24 or bad previous history with that company even with great scores. Barring those two factors, a score like the OP's would not likely happen with serious problems in their profile.

[hzynneb]

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@FinStar wrote:

CARS is Chase's proprietary score commingled with FICO elements.  

The first reason is not saying you were necessarily late or the presence of late payments.  It is basically saying that the proportion of satisfactory obligations is not as high (in their eyes or UW criteria) based on the total number of revolving accounts.  This can mean single factor or a combination of several.  Anywhere from carrying high balances for a prolonged period, amount of payments in relation to revolving balances, not using revolving accounts for a prolonged period to evaluate a satisfactory history, etc.

Are the other installment loans paid off?  Are you the primary owner on all of them (i.e. not joint)?

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Thanks for that explanation. Yes, I do have a lot of accounts that are dormant, I only use it once per year to keep it alive. Primary on all 3, 2 of them is paid and closed. Just find it odd, because from what I'm seeing in my CR, doesn't match what they're saying. I always PIF, could care less about 22.99% APR, but giving someone the highest APR with excellent credit doesn't make sense either. I was initially denied due to 5/24, during recon I was able to get AU accounts excluded.   

[FinStar]

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@hzynneb wrote:

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@FinStar wrote:

CARS is Chase's proprietary score commingled with FICO elements.  

The first reason is not saying you were necessarily late or the presence of late payments.  It is basically saying that the proportion of satisfactory obligations is not as high (in their eyes or UW criteria) based on the total number of revolving accounts.  This can mean single factor or a combination of several.  Anywhere from carrying high balances for a prolonged period, amount of payments in relation to revolving balances, not using revolving accounts for a prolonged period to evaluate a satisfactory history, etc.

Are the other installment loans paid off?  Are you the primary owner on all of them (i.e. not joint)?

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Thanks for that explanation. Yes, I do have a lot of accounts that are dormant, I only use it once per year to keep it alive. Primary on all 3, 2 of them is paid and closed. Just find it odd, because from what I'm seeing in my CR, doesn't match what they're saying. I always PIF, could care less about 22.99% APR, but giving someone the highest APR with excellent credit doesn't make sense either. I was initially denied due to 5/24, during recon I was able to get AU accounts excluded.   

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I would suggest cycling your revolving accounts more frequently so your reports display normalized activity and not being penalized (score-wise) for reporting all zero balances (versus AZEO).  

On the plus side, your application was approved, and if you're the PIF-type, then the APR should be irrelevant.