Penfed Mess.

[Anonymous]

Hello all,

I have a long term strategy in mind for my credit profile as it sits I have 6 credit cards of my own and one is an authorized user I'm piggybacking off my father, as it sits across the board I have 745 TU , 748 EQ, 744, EX FICO 8 so a pretty solid profile. I apped for the Penfed Cash Rewards card and was instantly approved for a $2000SL with a $40,000 income and a Credit Line of $36,000 and only use 5% of available credit, AAoA 3.5 years. I am grateful to be approved but $2000 SL kinda bummed me out. So I read they use the same HP for 90 days for all products so I apped for another card and was denied, like I said the ultimate goal is to have about 10 cards within quick succession so my AAoA doesn't get crushed if I app for something I really want in the future I'm trying to build a really nice base anyhow what should I do recon for the second card or recon for a higher SL on the one I'm approved I made a mistake and didn't include household income which is around $250,000 between me and my father so I think that may have bit me in the butt....what should I do ?

[Jnbmom]

Penfed does not let you use household income only individual so you can't use your father's income . They are sticklers about income and credit lines.

[Anonymous]

Dang, at any rate I also screwed up "other income" I have a substantial amount in investments (mutual funds, 401k etc..) wonder if that would of helped SL...

[CreditCuriosity]

You new with PenFed?  Suprised they didnt give a bit more, but if new they cap out at 10k for first 6 months i believe then will grow.. They have been great to me, but deffinetly have tightened up for most.  What is your DTI as they look heavily upon that not just CC's, but SL's, car, etc..  2k seems a bit look with mid 700 scores, but they use the 09 score so depending on that score also determines although your income is sufficent it sounds like for the 10k CL, but everyones profile is different... Treat PenFed right and they will treat you right.  I use them for my main checking have a 70k starting Car loan now alot less a 27k CC use to be 35k with them as took some of the for a 13k installment loan and also have a LOC with them..  Great CU IMO.

Also as other echoed can't use household income with penfed.

[Anonymous]

Yes new, and currently have $2200 credit used of $36000 available which is my dad's card that he pays in full each month..I mean hey it's not $500 but I really was expecting at least $5k oh well sometimes you get what you want sometimes you don't! One last question I have heard conflicting stories on how long they hold your first hp, rep told me today 30 days others have sworn by 60-90 days any recent data on that ? If its no HP I'm definitely apping for that second one again about two months in along with a CLI request on my $2k card...

[Anonymous]

I'm going to be polite as I can while responding.

According to previous posts:

-You are 21 years old

-You got 3-5 cards less than a month ago and in a creditor's eyes you are "aggressively seeking credit"

-You have recently been denied credit for this behavior

-Your own AAoA is extremely low

IMO it wouldn't matter if you made 100k a year, your CLs will be on the smaller side.  You just don't have enough credit history or experience managing high credit lines.  With the above statistics,  you are very risky in the eyes of a creditor.  Your income is certainly sufficient enough for a 10k SL.  I know this isn't what you wanted to hear but you need to cool it for a little while.  You don't need 10 cards in rapid succession as you mentioned above.  Even if you got 10 cards, that may still have adverse effects.  Creditors can and sometimes do shut down your accounts after opening.

[Anonymous]

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@Jnbmom wrote:
Penfed does not let you use household income only individual so you can't use your father's income . They are sticklers about income and credit lines.

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That's true for credit unions in general.  Credit unions are member-based organizations and as such they can only consider the actual income of the member(s) applying for credit.  

In any event it appears that the OP is exploiting a loophole in the CARD Act (as implemented by Regulation B) by using "household income" in a manner it clearly was not intended to be used.  Eventually the lenders will catch up and it will not end well.  What many people don't realize is that lenders have many ways to verify the income claimed on applications.  For example, Equifax's the Work Number provides employment and income history to lenders so its easy to cross-check.  And there are several other data providers that have similar services.

[Anonymous]

Don't apply for ANYTHING else. Keep your utilization low on ALL cards. Request a CLI on the PenFed card right about 85 days (before 90) and you will most likely see an increase.

[AverageJoesCredit]

This was going to be my question but overmedicated read my mind. OP, you might have high scores but if the majority of your credit is based off your Dads credit that means you have a thin file and a thin 750 is not the same as a thick 750.

Give it time, with 40k income, Penfed will open alot for you but they need to see some growth. When possible, get away from your Dads credit and establish your own. Your profile will thank you for it

[Anonymous]

I honestly cant believe they let me in my AAoA without my AU account is 1.3 years and I heard that theyre totally aware of people trying to buff up their profiles with AUs , im sure all lenders have known it for years but apparentley Penfed has no mercy for AUs but decided to let me in anyway! Ill take it