@Soundersfan1 wrote:Assuming I keep making on time payments, lower my credit utilization to under 50%, and no more hard checks (I'm moving soon and there might be another hard check), where would I stand with getting the Sapphire Preferred with a full year of credit history? (I have 1 slot left in the 5/24)
And would I be able to upgrade the United Gateway to the Explorer about then as well?
No one can answer your question. Maybe yes, maybe no.
What would help if those are your goals is to get your aggregate utilization to 9%, not 50%, and to try for some soft pull credit limit increases along the way.
@Soundersfan1 wrote:Current Cards:
Chase Freedom Rise - $900 CL (Feb 2024)
BECU Cash Back Visa - $1,000 CL (Mar 2024)
Discover Student Chrome - $1,000 CL (July 2024)
Chase United Gateway - $1,000 CL (Aug 2024)
Experian - 686
Late Payments - 0
Experian Credit Checks - 8
Credit Usage - 60%
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@Soundersfan1 wrote:
Assuming I keep making on time payments, lower my credit utilization to under 50%, and no more hard checks (I'm moving soon and there might be another hard check), where would I stand with getting the Sapphire Preferred with a full year of credit history? (I have 1 slot left in the 5/24)
And would I be able to upgrade the United Gateway to the Explorer about then as well?
Short answer, the odds are probably very low for both questions barring some exceptional changes to your profile. Your starting limits are based upon many factors, two of which are your existing credit limits which you've demonstrated that you can manage responsibly over extended periods of time and income. With an overall thin credit file and four young accounts within the past 12 months, you don't enough history to expect those limits to grow substantially from lender relationship or spending. You would have to put heavy spend on one or more of those cards and be able to get a large CLI on at least one card. Also, reported income would probably need to be significantly higher.
Both of those cards that you're targeting, the United Explorer and Sapphire Preferred, are Chase cards. Disregarding your 5/24 eligibility, Chase generally wants to see moderate-to-thick credit files before they get comfortable. Your $1K and $900 approvals are both bare-bones approvals from them that almost didn't qualify. Meanwhile, the two cards you are targeting both require a minimum $5K SL for approval. (Go to the links above, click on the "Pricing and Terms" link, and you'll see both of these cards in the fine print state: "If approved for an account, your credit access line will be at least $5000.") In other words, if your profile doesn't justify a $5K limit, you would be declined if applying. Likewise, a product-change wouldn't be permitted without a $5K minimum on the donor card. You've had three different lenders tell you that your profile qualifies for about $1,000 limits. Believe them. And to get from your average credit limits of $1,000 to a limit of $5,000, you're looking at 500% growth. That's unlikely to happen in one or two years.
You're gotten good advice from @JoeRockhead and @SouthJamaica. Again, as I said in my earlier reply, you seriously need to remember you're in a marathon and enter the garden. The 12 months I suggested [as a minimum] was based on today, not from a full year of personal credit history in addition to the AU account. Honestly, if you don't have a large change in your income or heavy spending or both, I would suggest planning to nurse those existing cards for a few years before expecting large growth. Patience. If you use those cards regularly, pay-in-full, and keep utilizations low (preferrably under 9%), they will probably grow well for you and the rewards will come in time. Eventually, you'll be able to do those product changes or new cards with high odds of approval.
@Soundersfan1 wrote:The thing is I always pay off my credit cards in full and on time. I recently saw a trick where I'd pay off like 99% of my credit card before the statement closing date and when the statement closes and is reported, it'll show as like a 1-2% credit utilization. And Capital One did just pre approve me for the Quicksilver and Savor for good credit
It's not a "trick", it's the way FICO calculates utilization... the balance as of the reporting date, which is usually the statement balance.
It helps your scores to (a) have most of your accounts reporting zero balance and (b) one account reporting a small balance.
Chase is an exception to the general rule. It does report the statement balance, but it also reports a zero balance if the account is paid down to zero mid cycle.
