popamode72 wrote:I think backdating is more of a FICO score boosting thing and way to get more instant approvals. I think the most competent recon analysts can see right through those accounts anyway and can tell if they're new or not.
A lot of these credit card tricks and loopholes like bumpage, backdating, and even manufactured spending have really taken a huge hit this year. The Golden Age for all that stuff is over IMO though I've heard a lot of talk about how Redbirds are still a viable way to get some MS for now.
It's trivial for a computer to spot back dated amex accounts, too. Reports include between 5 and 7 years of payment history. Amex didn't make up non-existent payment data, they just lied abut the opening date. It's very easy to notice that the opening date says 1999, but there are only 4 months of payment history, so it's clearly a four month old account. I know at least one lender looks at that data; wouldn't surprise me if they all do.
(Once you've got five years of payments, the difference between 2010 and 1999 is pretty much nil. it makes a difference for the standard fico, but that's because the standard fico is dumb, and why newer scoring model use better metrics than simple age of accounts.)
I wonder what Amex's reasons are. They've had to known they were lying to the CRAs, and CRAs had to know they were lying to them. So who made them change?