OH MY GOSH. This is a turning point. I see if I prequalify for Discover every few weeks or so, and it always gives me the secured card. Which I'm okay with, because I know Discover Secured is a good card. I believe I checked out Discover's prequal site no more than 10 days or so ago.
This morning my Experian score jumped up 20 points (from 616 to 636) and I assume Discover pulls Experian. I check the prequalify site just now, and the page seemed to take longer to load, and now I am prequalified for TWO unsecured Discover IT products! With a fixed (high) APR!!!!
I am not applying now. I just got a Walmart and Overstock card last month, so I'm going to wait for a little while. But based on what I read here, a Discover prequalify is pretty solid! This is fantastic news!
The question now is, when I do apply, which one do I get?
Congrats on the Fico jump, and agree to wait on pulling trigger on Discover.
I secured a Discover (Chrome) account with $300 in March '17. It took a lot of managing to keep the util low and frequent payments. I added $500 to the deposit last year, and still made 4 payments last month, to keep the util in check. With that as backdrop, I spent $8.1k last year on that account and accrued $190 in rewards. Really tried to maximize gas and dining to get the 2%. You get 1% for everything else, so not bad.
If you like to actively manage the reward, the It Cash Back (imo) is way to go. If you prefer a bit more laid back approach, with specific bonus for gas and dining, get the Chrome.
Agree with the other posters. If you can wait out a bit. That APR will go down more and more. My 1st Disco I think is 21% which is now a Chrome. My 2cd came in at 13.4%. Worth the wait.
Congrats! Previously, I had only been approved for the secured card, but in January I received the same offer, same APR, you received. I pulled the trigger, however, and figured I could later ask for an APR reduction. I was totally flabbergasted with my SL ($11.5k), so I felt the tradeoff was worth it, but I agree, if you can hold out for a better APR then that is better in the long run.
Thanks, everyone, for your advice!
Yeah, I'm hoping that I can wait at least long enough to see if I get a CLI on my Walmart card before I pull the trigger on the Discover card. (That would be about 3-4 months from now.) All the limits on my existing cards are super low and it would be nice if one of the cards had a slightly higher limit. I'm gardening the hell out of my Walmart card (I use it all the time, pay it off, lather, rinse, repeat!). Plus, hopefully the score will have gained a few more points and the baddies will be a little older. I'll just keep on checking the prequal page for Discover to see what APRs they keep offering me.
I've been mulling over which card to get, the Chrome or the Cash Back. Unless one of the cards is "easier" to get (the Chrome?) I think I'll go with the Cash Back. When my credit is in a better place (hopefully by the end of the year?) I'm going to be able to pick and choose something with just the right combo of rewards. The Chrome would be fine, but I don't eat out a lot and right now don't even use that much gas. The Cash Back card sounds like it will be a good complement to whatever future cards I get, so I'm thinking of the long game and will probably opt for it.
Thanks again for your advice! It feels so good to know that Discover is in the horizon! So exciting!
That’s great news, congrats! I was doing the same thing last year, watching prequals like a hawk. Once I got over 625, I got the prequal for the IT and went for it - got approved with a $2800 SL. With your plan, careful account management, and allowing some time, you may be at or near 650 when you pull the trigger, and it’s very possible that unless you have relatively fresh derogs on your reports, you’ll get an SL that exceeds what I got. Welcome to your exit from the basement into “big kid” limits
Thanks! I hope that my score will be 645-650-ish in a few months; that would be great! My baddies are still new (just three months) but in 3-4 months they will be 6-7 mo and I think that will make a difference.
My income is low, so probably that will affect my limit. However, my expectations are low as well. If I could get a limit that is at least $500 ($1000 would be fabulous) I would be more than happy. If the limit is $300, that would be okay too—it would just feel good to get a prime, unsecured card!
On a side note, on a whim I looked to see if I could prequalify for Credit One (don't worry, I WON'T be getting one of their cards). But checking their prequal page helps me gauge where I'm at, credit wise. They keep on rejecting me (and they did again just a couple days ago), and they say my Experian score is in the 500s! I haven't had an Experian score in the 500s since late November. Oh well, I'm just glad I don't want a card from them! LOL!
There was a change of plans.
I was just reading another thread on MyFICO about banks asking for income verification. They were saying that sometimes banks ask for the last few months' pay stubs. That got me thinking.
When I pre-applied I stated (actually, lowballed) my income for 2019. Things are looking up for me this year. However, my income is still pretty low.
I would have preferred to wait a few months before applying, but by then I'll be in my "lean" earning months. (I know what's coming so I save up money now for it.) I worried that if I waited to apply and they ask for proof of income, they're going to see low earnings (from my "lean" months) and think I'm lying. So I decided to pull the trigger now, when my earnings are pretty good & will more accurately reflect my annual income.
Anyway, I applied, had to call in to confirm my address and a few details (like what other credit cards I had, so they could confirm—I guess?—that my credit report matched up with me) and they approved me for an $800 credit limit! (They didn't ask for proof of income, though!)
I am over the moon! It's a great limit for me and will allow me to rent a car if necessary. (That was one thing that was worrying me. My little Green Dot card didn't have enough of a limit to rent a car, which I do rarely, but if I need to, I need to. An $800 should be enough for the car rental security deposit, etc.)
I got the Cash Back (not the Chrome) card.
I just got an alert: A new inquiry on my Equifax report. I could have sworn they would have pulled Experian. I have no idea what my Equifax FICO score is. Presumably similar to Experian (630-something)?
Another data point: I have a checking account with Discover. I think that may have helped with my approval.
Congrats! Hit em up for a SP CLI after 90 days. And again every 30 days after statement cuts. Once you hit their top end for you then it will slow down. You could be 3k or more by then.