Futher Clarification on Reason Codes

[Thestickybandit]

Straight to the Point: 

I requested a CLI on my Apple card, which I have had for over 3.4 years; the reasons codes listed for the decline were

• Proportion of balances to credit limits / national revolving or other revolving accounts is too high.
• Length of Time accounts have been established
• Too many inquiries last 12 months

Now, to start tackling these - I have paid all my cards off to a 0 Balance if I need to spend, I'll be sure to maintain the below 8 percent, which, from some other posts I have heard, is the trigger to remove that I don't know if its true so I'm testing the theory. I heard the length of time goes away after all accounts reach an average age of 5 years. and the inquiries go away after a year, I believe. Correct me if Im wrong !! I want to learn. My oldest card is 5 years but my average age of accounts is 3 years. or What is usally the time that resons codes away respective to these listed above , I'm not expecting much i know you all dont have access to my CR. 

[AndySoCal]

@Thestickybandit  The FICO score reasons are in order impact on the score.

• Proportion of balances to credit limits / national revolving or other revolving accounts is too hig
• Length of Time accounts have been established
• Too many inquiries last 12 months

The first score reason you have taken action on by paying the credit cards off. For optimal scoring you will want to have one card report with samll balance

The second score reason-  I would have a question to ask. When was you most recent new account(s) opened? 

Third score reason-  Simply stop applying for credit for a year or two. Which will give the inquiries on the report some to age or drop off the credit report (Inquires two years or more).

[Thestickybandit]

Thanks for your response. My most recent card was opened ago, so it's about 3-6 months in that range. I got a 26-point increase today from paying 2 of the cards off; my simulator on the Experian app and my Fico app show 762 Projected once paying them off. but that is just off utilization and not age.

[FicoMike0]

Utilization is a big impact. You want to manage the balances that are reported, not just pay in full before due. And, as mentioned above, don't let them all report zero.

[Thomas_Thumb]

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@Thestickybandit wrote:

Straight to the Point: 

I requested a CLI on my Apple card, which I have had for over 3.4 years; the reasons codes listed for the decline were

• Proportion of balances to credit limits / national revolving or other revolving accounts is too high.
• Length of Time accounts have been established
• Too many inquiries last 12 months

Now, to start tackling these - I have paid all my cards off to a 0 Balance if I need to spend, I'll be sure to maintain the below 8 percent. I heard the inquiries go away after a year, I believe. What is usally the time that resons codes away respective to these listed above.

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"Length of time accounts have been established" can relate to age of youngest revolving accounts as well as AAoA. That reason should drop off when your youngest account reaches 12 months age but could take 3 years for the AAoA metric - imo.

"Proportion of balances to credit limits" definitely relates to high utilization on credit cards. Because it is listed 1st, it is your biggest issue. It should go away if your reported AG and individual card UTs are all under 9%. If AG UT is below 9% but some cards are in the 9%- 29% range, shows good credit management but may trigger the code.

Hard inquiries do stop impacting Fico scores and showing as a negative code after 12 months. They stay on your report for 24 months. They count as a negative on VantageScore for the full 24 months.

@Thestickybandit 

New accounts showing high utilization are often a red flag for denials. What were your reported card utilizations before paydown?

[GZG]

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@Thestickybandit wrote:

Straight to the Point: 

I requested a CLI on my Apple card, which I have had for over 3.4 years; the reasons codes listed for the decline were

• Proportion of balances to credit limits / national revolving or other revolving accounts is too high.
• Length of Time accounts have been established
• Too many inquiries last 12 months

Now, to start tackling these - I have paid all my cards off to a 0 Balance if I need to spend, I'll be sure to maintain the below 8 percent, which, from some other posts I have heard, is the trigger to remove that I don't know if its true so I'm testing the theory. I heard the length of time goes away after all accounts reach an average age of 5 years. and the inquiries go away after a year, I believe. Correct me if Im wrong !! I want to learn. My oldest card is 5 years but my average age of accounts is 3 years. or What is usally the time that resons codes away respective to these listed above , I'm not expecting much i know you all dont have access to my CR. 

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apple card needs spend to get a CLI, spend spend spend and you will grealtly increase your chances of a CLI 

[Thestickybandit]

Late reply - My bad. AG UT hovered around %99 - %101, due to moving college. I'm now AMEX Plat AU from my Wife as our family Travel card, I know that does not increase chances of approval unless it does, after CR is cleaned up i.e - AZEO, August of 25 Hard inquiries reason code goes away, Accounts established drops once my newer accounts reach their first birthday. Since I want an Amex Plat of my own later - would it be wise to have a High Limit card before trying Pre-qaul or ask For CLI on current cards once cleaned up that dont result in Hard inquiry and will push me to the 5K mark or "High Limit" area.

[Thomas_Thumb]

Yes, that utilization level is a no go for CLIs. As you probably know, an AMEX platinum card does not count toward revolving utilization.

If you get aggregate under 29% and highest card under 49% utilization, your chances of AMEX approval will improve substantially as will getting CLIs. However, forthe AMEC you do need sufficient reported income. A score of 680 has been enough for some applicants but, 720 or above can improve odds. No new credit or hard inquiries in the last 12 months helps as well.

No need for a high limit card to qualify for a platinum card. Not having a high CL card or having a modest income just means a lower hidden limit starting out. You may not get the POT option. It sometimes is added after having the card a year. It's unwise to use POT so no big deal.

[Thestickybandit]

Makes sense - So you wouldn't recommend AZEO or is what your saying similar to AZEO? Income is 210K but I've heard it doesnt matter how flush you are, my EXP is 678 Currently but I expect to to drop as some cards will report balance later, as I'm doing AZEO slowly which I will finish by End of September for most optimization, in the process of moving, Business start up, and family trips, so my original plan of AZEO timeline's increased.

[Thestickybandit]

Take a look at my Wife's approval for AMEX Plat approval, ( https://postimg.cc/PCt3b4pn ) as mentioned above I have some of the same reason codes. Makes sense, POT limit is 5K - she has no HL cards just apple card - $3500CL and capital one $600 and a fortiva furniture card - $1500 and I only have 1 baddie - 60 days late on this fintech start up from 2021 - account is still open, Delinquency payment reason code no longer pops up and is not factored in score either or any deinal letter.