First Timer - Advice needed!

American Express forum. Talk about AmEx credit cards like Blue, Gold, Platinum, Centurion, and more.
9 posts
cww007
 
Posts: 2
Joined: Wed Jul 18, 2012 3:15 pm
Location: CT

First Timer - Advice needed!

Postby cww007 » Wed Jul 18, 2012 3:23 pm

Hello all,

I've decided to try and begin to build a credit history by applying for an Amex charge card -- I'm a rising junior in college and want to avoid credit cards at all costs. After researching the application process I decided to apply for the Amex green card this past Monday, when I was immediately rejected by the online process. I made sure to use my scholarships as my income and check my credit report before applying. Per advice on these forums, I called their corporate HQ to review the application and try to get approved to no avail -- they still could not approve me after reviewing my credit report.

I had previously opened an account at Macy's (beginner's mistake), and to make a long story short, missed a payment on the balance back in the fall. I am ten months removed from that miscue but am worried that this small hiccup will haunt me forever and am lost in where to go next. Should I wait the 31 days and apply for the Zync card? Should I bite the bullet and apply for an actual credit card? My plan as of now is to wait the month and try to get the Zync, which I would have applied for initially but wanted the ability to upgrade the card as I graduate and my financial situation changes. Any help/advice/suggestions would be GREATLY appreciated! Thanks!

Additionally, my credit report is clean -- it does not list and missed payments in the past 9 months and I have a decent score (722). I'm still puzzled as to why I was rejected when I've heard of other individuals with similarly short credit histories being accepted by Amex.


KingVicc
Gold Member
Gold Member
 
Posts: 28
Joined: Mon Jul 16, 2012 7:45 pm
Location: Los Angeles, CA

Postby KingVicc » Thu Jul 19, 2012 2:13 am

cww007 wrote:Hello all,

I've decided to try and begin to build a credit history by applying for an Amex charge card -- I'm a rising junior in college and want to avoid credit cards at all costs. After researching the application process I decided to apply for the Amex green card this past Monday, when I was immediately rejected by the online process. I made sure to use my scholarships as my income and check my credit report before applying. Per advice on these forums, I called their corporate HQ to review the application and try to get approved to no avail -- they still could not approve me after reviewing my credit report.

I had previously opened an account at Macy's (beginner's mistake), and to make a long story short, missed a payment on the balance back in the fall. I am ten months removed from that miscue but am worried that this small hiccup will haunt me forever and am lost in where to go next. Should I wait the 31 days and apply for the Zync card? Should I bite the bullet and apply for an actual credit card? My plan as of now is to wait the month and try to get the Zync, which I would have applied for initially but wanted the ability to upgrade the card as I graduate and my financial situation changes. Any help/advice/suggestions would be GREATLY appreciated! Thanks!

Additionally, my credit report is clean -- it does not list and missed payments in the past 9 months and I have a decent score (722). I'm still puzzled as to why I was rejected when I've heard of other individuals with similarly short credit histories being accepted by Amex.


I'm also a junior (about to be senior) in college! First things first, even though you have a score of 722, you have to understand that different factors are taken into consideration, when creditors decide to approve people. On-time payments is a very important one. All it takes is 1 missed payment to make you look risky in the eyes of creditors. Unfortunately it will hold your score down a bit, but there are other ways you can increase it. I would recommend to start, by lowering your utilization percentage (1-20% is about right). Assuming you still have your Macy's card, try asking for a credit increase. This will help with your utilization percentage. Wait about a month and apply for the Zync like you suggested to yourself. You're right, it isn't upgradable but a few more credit lines could help your credit when you apply for a gold or platinum in the future. I know you want to avoid credit cards, but personally I recommend the Blue by American Express. I was approved last year with a score of 694 and two previous credit cards under my name. I would go for the blue cash everyday card. Comes with good rewards, especially if you drive a lot.

Hope I could help!
[size=80]Wells Fargo Platinum Card (2010)
American Express Blue Card (2011)
Barclay US Card (2011)
[/size]

432521
Centurion Member
Centurion Member
 
Posts: 379
Joined: Thu Apr 26, 2012 3:15 pm
Location: USA

Postby 432521 » Thu Jul 19, 2012 2:42 am

If anything I would go for a credit card that is affiliated with your bank. Like a card for BOA or wellsfargo or whatever your bank is. Or you could go for a student credit card like these student version of the Discover more. A reason why amex might have rejected you is because of your income level yea you put your fin aid but I would think for an amex you would need at least 15-20k if not more
March 2011- Wellsfargo Cash Back College Card
May 2012- Chase Freedom
May 2012- Discover IT
August 2012- American Express Blue Cash Everyday

KingVicc
Gold Member
Gold Member
 
Posts: 28
Joined: Mon Jul 16, 2012 7:45 pm
Location: Los Angeles, CA

Postby KingVicc » Thu Jul 19, 2012 3:39 am

432521 wrote:If anything I would go for a credit card that is affiliated with your bank. Like a card for BOA or wellsfargo or whatever your bank is. Or you could go for a student credit card like these student version of the Discover more. A reason why amex might have rejected you is because of your income level yea you put your fin aid but I would think for an amex you would need at least 15-20k if not more


He has a point. Mine is over 15-20k so that could have had something to do with it. Do try a student card, and once you graduate try applying for the green. Good luck!
[size=80]Wells Fargo Platinum Card (2010)
American Express Blue Card (2011)
Barclay US Card (2011)
[/size]

MemberSince99
Centurion Member
Centurion Member
 
Posts: 4913
Joined: Sun May 20, 2012 4:35 pm
Location: WI

Postby MemberSince99 » Thu Jul 19, 2012 5:38 am

These are good suggestions. Missing a payment recently is not going to look good in the eyes of Amex (or any creditor). Also it sounds like you have one open store card, and Amex may possibly want to see some use of a major credit card as well. Your score is fine, I suspect they would look most strongly at the missed payment and maybe consider that you have a thin file. Combine this with lower income, and it might add up as to why you were declined.

You should be getting a letter in the mail explaining the reasons for the decline. You could verify that, and if there are any mistakes on it, call back and ask for recon. If it is accurate Amex will likely not recon it.

bmw1990Z
Centurion Member
Centurion Member
 
Posts: 341
Joined: Sun Mar 18, 2012 10:08 am
Location: USA

Postby bmw1990Z » Thu Jul 19, 2012 6:45 am

cww007 wrote:Hello all,

I've decided to try and begin to build a credit history by applying for an Amex charge card -- I'm a rising junior in college and want to avoid credit cards at all costs. After researching the application process I decided to apply for the Amex green card this past Monday, when I was immediately rejected by the online process. I made sure to use my scholarships as my income and check my credit report before applying. Per advice on these forums, I called their corporate HQ to review the application and try to get approved to no avail -- they still could not approve me after reviewing my credit report.

I had previously opened an account at Macy's (beginner's mistake), and to make a long story short, missed a payment on the balance back in the fall. I am ten months removed from that miscue but am worried that this small hiccup will haunt me forever and am lost in where to go next. Should I wait the 31 days and apply for the Zync card? Should I bite the bullet and apply for an actual credit card? My plan as of now is to wait the month and try to get the Zync, which I would have applied for initially but wanted the ability to upgrade the card as I graduate and my financial situation changes. Any help/advice/suggestions would be GREATLY appreciated! Thanks!

Additionally, my credit report is clean -- it does not list and missed payments in the past 9 months and I have a decent score (722). I'm still puzzled as to why I was rejected when I've heard of other individuals with similarly short credit histories being accepted by Amex.


I am a junior also and have the same score as you. You would definitly be approved for one of the delta cards.
Cards in my wallet:
-Citi Forward Card for College Students-July 2011
-American Express Platinum Delta Skymiles--July 2013

Regnohspf
Platinum Member
Platinum Member
 
Posts: 64
Joined: Tue Feb 21, 2012 10:57 pm
Location: Orlando

Postby Regnohspf » Thu Jul 19, 2012 11:55 am

do you currently have a revolving credit line at the moment? is your macys card still open? if you have no revolving accounts itll be pretty tough i believe to even app for a zync. as the others stated you should try for a student card from your bank or dare i say even with capital one
Wells Fargo Student Credit Card Visa - $1300 (February 2011)
American Express Zync Charge Card (February 2012)
Chase Freedom Visa- $2000 5% rotating (April 2012)
Citi Forward Visa- $3000 - 5x at restaurants, amazon.com (April 2012)
Chase Sapphire Preferred Mastercard World Elite - $5000 (July 2012)

Credit cards left to attain
-Amex BCE/BCP

cww007
 
Posts: 2
Joined: Wed Jul 18, 2012 3:15 pm
Location: CT

Postby cww007 » Mon Jul 23, 2012 11:53 am

Thanks for all the advice everybody...it turns out I received their explanatory mailer the other day and they stated that the primary reason for the denial was that my FICO score was 607 (which seems awfully, awfully low). I'm guessing this is because of the missed payment, which is rather unfortunate. I'm not in a rush to do anything immediately but I'd like to have SOME kind of card going back to school in a month or so. I think I'm going to try to re-apply for the zync in August and if no luck then I'll try the card through my personal bank (Sovereign).

432521
Centurion Member
Centurion Member
 
Posts: 379
Joined: Thu Apr 26, 2012 3:15 pm
Location: USA

Postby 432521 » Mon Jul 23, 2012 5:18 pm

If u apply I say u call and see if they can use the same hard pull they used when u did your app for the green because nothing will change from now until August since it is like 2 weeks away.
March 2011- Wellsfargo Cash Back College Card
May 2012- Chase Freedom
May 2012- Discover IT
August 2012- American Express Blue Cash Everyday



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