Does Amex just not care about risk management?

American Express forum. Talk about AmEx credit cards like Blue, Gold, Platinum, Centurion, and more.
5 posts

Should Amex give out credit limits %50 or more of a persons yearly income?

Yes because there are many who need the higher limits for there reported income.
2
25%
Yes because that's there choice.
3
38%
Maybe but it seems risky.
1
13%
No because it put's them at higher risk.
0
No votes
No because people defaulting on such high limit cards is why my rewards are so low.
2
25%
 
Total votes : 8

4ktvs
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Does Amex just not care about risk management?

Postby 4ktvs » Wed Dec 21, 2016 6:36 pm

I know having a large CL can be nice but giving one out that is 6 times higher than a months worth of income to the customer sounds kind of on the extreme side.

Just to note I have a BCE and don't put much spend on it though I am sure that is what Amex is hoping for.

Just thought I would get others 2 cents on this.


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CarefulBuilder14
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Re: Does Amex just not care about risk management?

Postby CarefulBuilder14 » Wed Dec 21, 2016 7:49 pm

Keep in mind that some people will have large, irregular expenses...and that Amex is known to act quickly to block new charges when they have concerns about a customer's ability to pay.
Warranties and sketchy merchants: Schwab Platinum
Price rewind: Costco
Travel insurance: Prestige, CSP
Perks: IHG, Hyatt
Rewards/Offers: Discover, Freedom, ED, BCE
Taxes/Misc: SPG

Limited value, might close: Arrival

Might add: First Tech, proper business card

mountaindewvoltage
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Re: Does Amex just not care about risk management?

Postby mountaindewvoltage » Wed Dec 21, 2016 9:42 pm

4ktvs wrote:I know having a large CL can be nice but giving one out that is 6 times higher than a months worth of income to the customer sounds kind of on the extreme side.

Just to note I have a BCE and don't put much spend on it though I am sure that is what Amex is hoping for.

Just thought I would get others 2 cents on this.


And then they'll go out and throw more financial reviews than any other issuer by 500x

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CarefulBuilder14
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Location: United States

Re: Does Amex just not care about risk management?

Postby CarefulBuilder14 » Thu Dec 22, 2016 12:49 am

mountaindewvoltage wrote:
4ktvs wrote:I know having a large CL can be nice but giving one out that is 6 times higher than a months worth of income to the customer sounds kind of on the extreme side.

Just to note I have a BCE and don't put much spend on it though I am sure that is what Amex is hoping for.

Just thought I would get others 2 cents on this.


And then they'll go out and throw more financial reviews than any other issuer by 500x

And customers with only a little Amex exposure are not immune from FR.
Warranties and sketchy merchants: Schwab Platinum
Price rewind: Costco
Travel insurance: Prestige, CSP
Perks: IHG, Hyatt
Rewards/Offers: Discover, Freedom, ED, BCE
Taxes/Misc: SPG

Limited value, might close: Arrival

Might add: First Tech, proper business card

mountaindewvoltage
Centurion Member
Centurion Member
 
Posts: 387
Joined: Mon Oct 10, 2016 8:40 pm

Re: Does Amex just not care about risk management?

Postby mountaindewvoltage » Thu Dec 22, 2016 3:14 am

CarefulBuilder14 wrote:
mountaindewvoltage wrote:
4ktvs wrote:I know having a large CL can be nice but giving one out that is 6 times higher than a months worth of income to the customer sounds kind of on the extreme side.

Just to note I have a BCE and don't put much spend on it though I am sure that is what Amex is hoping for.

Just thought I would get others 2 cents on this.


And then they'll go out and throw more financial reviews than any other issuer by 500x

And customers with only a little Amex exposure are not immune from FR.


The day they ever throw a random financial review at me is the day I give them the finger, because I guarantee I'll find out when my card is declined at the checkout and that'd really piss me off and feel embarrassing, and I also believe it's completely ridiculous how they handle financial reviews like that. I have a 1.5% cash back credit card and a 1.5 points per dollar credit card at both of my credit unions, one of which would never do a financial review because they don't even do random soft pulls. Nor only that but both of those cards post rewards instantly and have respective APR's of 12.99% and 16.15%, both adjusted after they raise the rates for federal rate hike in December 2016.



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