CareCredit denied me because insufficient credit history on file

[nyancat]

---

@php111 wrote:
Thank you so much!

I use to be a student like several years ago but I am not a student now. I still have and I still use my student email.

---

Ah, sorry, I have no idea what verification they need. I'm a student myself (though an MBA student), and most people I've helped are students, and I generally think of those older as having an established credit file, so my mind made a false assumption. Which also means good luck with the Everyday, because those "first Amex" cardholders were all students too. That gets taken into account even though they're not "student cards" per se. But, we'll see, if it works you're set. They're fantastic.

Now, I'd need to do some research to see if Journey is really a good option for a non-student. Capital One Platinum has that reputation, but it has an annual fee, unlike the Journey, their exec office may waive it and it doesn't apply the first year (so you can apply for something better around 7-8 months in, once you have a solid six months of reported history).

I would say AVOID Barclay's. I've had friends try for them, even their basic cards, with no history. No luck. Citi (on some products) and Discover are student-friendly, but no moreso than Amex - you're just stabbing in the dark if Amex declines you. And while it's not TERRIBLE to have some inquiries (they lose their effect after a year), each one lowers your odds of the next one working so it is important to start with one or two highly desirable cards (like the Everyday) that are still possibly attainable. Because after a few inquiries, you have no odds with them. They want to be your one and only if you're starting with them.

But, even a store card is better than a secured card. Obviously, avoid the many GE-issued cards as your CareCredit experience shows they don't want you and hey - they're horrible anyway. I know Macy's can be approved (NOT the Amex version) as a first card. 

P.S. the note that the first-card Amex's I've known are students doesn't mean you have no chance, I still won't be surprised one bit if they approve you - it's a coin flip in my estimation. And if they do, you're set... it's an amazing card to have. One of the best reward rates there is.

[php111]

I just received an email and I was declined for Amex Everyday.

The reason is below:

The Profile report does not contain any tradelines that have been open for at least six (6) months. (Experian)

[RobertEG]

You are entitled under the FCRA to a free copy of your credit report if you send a copy of your credit denail letter to the CRA within 90 days after its receipt IF the deniall letter from the creditor indicates they used a credit report from that CRA as part of their determination.

If your credit report shows then shows informatin that contradicts the denial reason given by the creditor, you would have documentatin for a request for recon from the creditor.  That is the purpose of the free copy provision of the FCRA.

[php111]

I requested my Experian Credit Report and there are 0 accounts in good standing and 1 negaitive item and that is a collection account.

[nyancat]

---

@php111 wrote:
I requested my Experian Credit Report and there are 0 accounts in good standing and 1 negaitive item and that is a collection account.

---

You didn't mention that you had a negative. I wouldn't have even suggested trying Amex if I knew. I'm also going to say NOT to try for the Journey or similar. CareCredit's denial makes more sense now. How old is the collection? I'm surprised neither them nor Amex mentioned it, probably because it's beyond when they can legally consider it - but still.

Now, you need to call Amex Tueday morning at the number I gave you and try to get them to reconsider.

Next, you need to try to get that collection off. A truly blank file isn't good, but it's a lot better than just a collection.

[php111]

Hey! Thank you for the info!

Here is the information for the collection account:

Status:
Collection account. $758 past due as of Dec 2014.

Date Opened:
03/2012
Date of Status:
01/2014
Reported Since:
01/2014
Last Reported Date:
12/2014

Type:
Collection
Terms:
1 Months
Monthly Payment:
$0
Responsibility:
Individual

Credit Limit:
$778
High Balance:
N/A
Recent Balance:
$758
Recent Payment:
$0

And when I call Amex Tuesday morning and how and what am I saying to them to reconsider to get it from declined to approved?

[nyancat]

Wow, I'm surprised it wasn't mentioned as an official factor. All I can say is you better just hope for the best. Remember the secured card advice? It just became good. That's a recent collection you haven't paid. Aka a really bad thing. If it's medical maybe there's a sympathy story? Not that I'm actually suggesting that but hey. I don't know. Good luck. Still worth a call, you've had the inquiry may as well let them give you a final no. It can't hurt.

[Anonymous]

Do you have a parent or trusted friend with good credit and income who can add you as an authorized user on a couple of cards with low usage? If not, you could try Credit One bank, First Premier Bank, and Fingerhut.

Also you could join a Credit Union and go for a secured line of credit. I would not just randomly apply for cards hoping something will stick. You will have a file full of inquiries which will slow you down later. Get 2 accounts the way I suggested, and in 3-4 months you could try the shopping cart trick. If you have  a good person to roll you over on some accounts, you could qualify for  a Capital one Platinum, a Discover, and some store cards.

[nyancat]

---

@Anonymous wrote:

Do you have a parent or trusted friend with good credit and income who can add you as an authorized user on a couple of cards with low usage? If not, you could try Credit One bank, First Premier Bank, and Fingerhut.

Also you could join a Credit Union and go for a secured line of credit. I would not just randomly apply for cards hoping something will stick. You will have a file full of inquiries which will slow you down later. Get 2 accounts the way I suggested, and in 3-4 months you could try the shopping cart trick. If you have  a good person to roll you over on some accounts, you could qualify for  a Capital one Platinum, a Discover, and some store cards.

---

Agreed 100% after seeing his file. My recommendation of Amex was that I have specifically seen them give people, after some talking, a first credit chance. After all, what better way to keep a customer for life. I've seen the same with Discover.

But, he already has a bad file. It won't be easy...

[php111]

I just seen both replies now. No, I have no one who could add me to get a couple of cards.

I do go to a local Credit Union for my banking. I go to People First FCU. It's not like one of those CU where you need to have an employer to get in or a referral. One I remember is you need to be a resident of the county. I tried for a secured line I think last year and they denied me.

Should I try again?