Is this an app spree?

Anonymous · ‎05-04-2016

Hi All,

I've been reading about app sprees. It seems most apply for several cards all at the same time. I went a little slower.

Jan: Chase Freedom and a credit union card
Feb: NLF Extra and BOA Cash Rewards

I'm pretty sure Chase and ABNB Reported before Barclaycard and BOA was approved. Can't exactly remember.
May: Chase Freedom Unlimited

In jan I had only ever had one credit card, which is now closed. So 5 cards in 5 months. My score has increased by 40 to 50 points on each fico 08 score. I seem to be doing fine, but I know lenders don't necessarily like you getting a bunch of trade lines at one time. Would this still constitute an app spree? Does this look any less risky then applying all at once? CHASE sure seems okay with it. Auto cli me after see 3 new cards report and then approved me for an even higher limit with the newest card. I still worry a bit about Barclaycard, but too late now. I've had a BOA relationship for almost 10 years, so not as worried with them. Since my score has improved so much since Jan, would these lenders really care?

Appleman · ‎05-04-2016

Do you want to call it an app spree? Some people app a bunch of cards on a single day and try to spread the HPs between the three bureaus.

Some people do as you have done and space out the apps over a few months.

As you have what many would consider a 'thin' file you may want to sit back and let them age. Any number of the big banks have been known to take adverse action when you suddenly begin to use a majority of your credit line or charge and pay off large balances.

Certainly glad to hear about your score increases. Sitting and back and putting some spend through the cards will be to your benefit in maturing your cards.

RonM21 · ‎05-05-2016

Lol it can be called whatever you want to call it when it is a success!!

Total CL: $321.7k

UTL: 2%

AAoA: 7.0yrs

Baddies: 0

Other: Lease, Loan, *No Mortgage, All Inq's from Jun '20 Car Shopping

Anonymous · ‎05-05-2016

I'm not sure if I would have a thin file or not. I do have two installment loans and one has been open for 5 or 6 years. I have an acct with Les Schwab. Some charge account that I used once 8 years ago and nothing ever happened with it. Still open on my report. I just leave it. I live no where near that place anymore, but it shows as a credit card and is the oldest account.

If any lender did try to close my accounts for this "app spree", I think I have a strong case for recon. Everything I've done is to build my credit. Every initial score these lenders pulled is much much higher now. I needed a better credit mix, I needed more accounts, I needed better utilization, and I got everything I needed by doing these. I did drop my aaoa, but worth all the points I've gained now. I can actually USE credit now, where as before I had one card with a balance. I owe nothing now and know how to manage these accounts.

I'm happy with what I have and intend to garden until I buy a house. I hope for a preapproval this time next year.

Anonymous · ‎05-05-2016

Lol. It was success. It was the first time in 7 or so years I could actually be approved for a credit card. I had denial after denial for yrs on store cards and such. I quit trying. I had a student loan defualt, this is gone now, and I had a little over 30% utilization on the only credit card I owned. My credit had to of been in the 500s for a while. I never saw it. I don't think I wanted to know. In jan, I decided to start working on this. At that time I was in the low to mid 600s, so i had improved over time without doing anything at all. Then within a few months, I got myself 40 to 50 points added. So, it has felt like total success seeing these approvals, but I'm definitely done now. I got my eye on a couple more, but if b I want preapproval for a home next yr, I need to keep raising these scores. My next mortgage score update is next month, but my current 8s are 682, 680, and 676. This is up from Jan. I had 640, 650, and 633.

takeshi74 · ‎05-05-2016

@Anonymous wrote:
It seems most apply for several cards all at the same time.

Never assume that popular topics on any discussion forum site indicate what most do or do not. There are those who spree and those who do not.

@Anonymous wrote:
Does this look any less risky then applying all at once?

It really doesn't matter either way. FICO and creditors consider new accounts and credit seeking activity. Whether you group X at once or spread X over some time you still have X new accounts on your reports.

The benefit of sprees dates back to when hard pulls didn't instantly show up. That benefit disappeared long ago. There is still a little benefit in that while hard pulls show up instantly, new account do not.

@Anonymous wrote:
Since my score has improved so much since Jan, would these lenders really care?

It's not just about score and it's not just about new accounts. It's about one's entire credit profile. A higher score generally indicates that your profile has improved but that's just FICO scoring. Criteria for creditors and products can and do vary from one to another. It's certainly possible that one might care while another might not. In your case, it's probably not an issue. However, your score can improve but a given creditor may still have concerns over your new accounts and recent credit seeking activity. The only way to find out for certain is to see how your creditors react.

@Anonymous wrote:
I've had a BOA relationship for almost 10 years, so not as worried with them.

Don't rely on the relationship meme. It may help to some small degree in certain situations but the primary considerations will always be credit profile and income. Relationship will not overrule those factors. If your profile suffers sufficiently, those 10 years won't matter. Similary, having no relationship won't matter if your profile and income are sufficent to a creditor.

If you only had one card and recently added 4 cards that's probably a fair amount of new credit and credit seeking but it really depends on where your credit profile stands.

@Anonymous wrote:
My score has increased by 40 to 50 points on each fico 08 score.

Keep in mind that while FICO 8 is the most commonly used model it is not used by all creditors/products. Don't assume that all scoring models show the same change.

@Anonymous wrote:
I'm not sure if I would have a thin file or not.

There isn't a hard line. It's all relative. Your profile sounds relatively thin IMO.

Appleman · ‎05-05-2016

You seem to be in an ideal spot going forward to be approved for a mortgage. IMO you have plenty of tradelines currently and have some time to see how various balances reporting affect your scores.

Congrats on the improvements in score and the goal of buying a house.