Amex personal loan approval

[Anonymous]

Very interesting!  This would explain the number of posts I have seen where people have paid their SSLs down to < 8% or so.  I have been considering this installment loan loophole tactic with an NFCU SSL, but I am unsure if I make a large initial payment that the loan would PIF on my next scheduled payment date.  Effectively turning a 12 month term into 2 months   Then again it is a "loan" with an origination and defined terms.  Is this a YMMV situation or is this pretty standard for a bank to honor the term?

Ideally I would like to

Obtain 12 month term SSL >>> Make Large Initial Payment >>> Make one final payment on 12th month

In order to get the Credit Mix Score bump and also the Installment Loan UTI score bump

Do you have any thoughts on this?  

[UncleB]

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@Anonymous wrote:

Very interesting!  This would explain the number of posts I have seen where people have paid their SSLs down to < 8% or so.  I have been considering this installment loan loophole tactic with an NFCU SSL, but I am unsure if I make a large initial payment that the loan would PIF on my next scheduled payment date.  Effectively turning a 12 month term into 2 months   Then again it is a "loan" with an origination and defined terms.  Is this a YMMV situation or is this pretty standard for a bank to honor the term?

Ideally I would like to

Obtain 12 month term SSL >>> Make Large Initial Payment >>> Make one final payment on 12th month

In order to get the Credit Mix Score bump and also the Installment Moan UTI score bump

Do you have any thoughts on this?  

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I can't speak from experience on the SSL, but @Anonymous has a thread running where that's discussed in detail, specifically with NFCU (the thread title references Alliant since that was previously the go-to credit union). 

His thread can be found here (skip towards the end for the most recent data points):  https://ficoforums.myfico.com/t5/Personal-Finance/The-Quest-for-an-SSL-alternative-to-Alliant/td-p/5162448

The folks there will be able to assist better than me, but I will mention that if you're considering the SSL and you don't anticipate having another loan to take its place you might consider going longer than 12 months.  If I decide to take one in the spring, I plan on going for five years.  Getting it mostly PIF quickly is the key, and your next payment due will be moved out to a future date (depending on how much you pay in advance).

(Check out the thread... the folks there are friendly.) 

[AverageJoesCredit]

Recently paid off my Penfed loan since i got my Amex to replace it. Lol, Ex dropped 19 points from 759 to 740. You can also use a Penfed personal loan in same manner as a ssl technique , i went months with just $23 owed. Probably why they do not like me lol. Now that ive earned Amex loan ability ill never ask from PF again

[Anonymous]

I wanted to make a final post to tidy this up in case anyone stumbles across this thread looking for info.

I did get a $500 SSL through NFCU on 11/15/2018. 

The term was only 6 months.  After I agreed to the terms I read a post where someone requested a 12 month term for $500 I reflected on the initial conversation with the rep, and it seems like she was open to extending the term, I just didnt pick up on it.

I received my first statement, I made my first payment (a lump, paying the balance to under 8%)

On my next statement it said the next payment due was 5/15/2019

Worked like a charm.  The only thing I would do differently is ask for a 12 month term.  Once the SSL was approved the balance was in my checking account in a couple days.

[Gmood1]

Congrats on the easy approval OP. Only issue I have with you and UnkaB is, ya'll didn't contact me first in order to get the correct bank account numbers for the Amex deposit.

[UncleB]

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@Gmood1 wrote:

Congrats on the easy approval OP. Only issue I have with you and UnkaB is, ya'll didn't contact me first in order to get the correct bank account numbers for the Amex deposit.

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