Discover IT Card with 762EQ score Approved only $1K

All about Discover & Diners Club - talk about their credit card deals such as the More, Miles, Escape, and others.
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rsudhakar948
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Discover IT Card with 762EQ score Approved only $1K

Postby rsudhakar948 » Thu Dec 03, 2015 6:05 am

HI I recently applied for the Discover Credit card and i was approved for only $1K with a Equifax score of 762
This is my second credit card. As a foreign national i received my SSN this year in Jan 2015 after obtaining employment authorization .

My first card is from citi double cash back credit card. I applied for citi card in Feb 2015 and was approved for $4900. After 6 month CLI was automatically increased to $5900.

I received my Discover IT card yesterday in mail , along with card they also provided me my Equifax credit score(762) that they pulled on Nov 18 2015. The Equifax Score is 762. I am offered 0% APR for 12 months and 17.99 % APR after DEC 2016. I am not carrying any balance as of today on my citi credit card. I was expecting Discover to Start of my credit limit with at least $3K. And the APR of 17.99%, i was expecting something lower around 14.99% .

I haven't activated my discover it card yet. Is it worth talking to Credit Analyst about my Credit Limit. Can i black mail them saying i am not gonna activate the card if they dont increase my credit limit.

Please share your thoughts


takeshi
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Re: Discover IT Card with 762EQ score Approved only $1K

Postby takeshi » Thu Dec 03, 2015 7:51 am

First off, it's never just about score. Your entire credit profile matters and that includes recent activity.

rsudhakar948 wrote:I was expecting Discover to Start of my credit limit with at least $3K. And the APR of 17.99%, i was expecting something lower around 14.99% .

What were these expectations based on? From what you've said it sounds like you have a thin credit profile so this isn't unreasonable on Discover's part IMO. Keep in mind that you cannot simply assume that because you get $X with creditor A that you would get something similar with creditor B. They each have their own underwriting criteria -- which can also vary by product. The limit and APR you get all depend on what your credit and income qualify for.

rsudhakar948 wrote:I haven't activated my discover it card yet. Is it worth talking to Credit Analyst about my Credit Limit. Can i black mail them saying i am not gonna activate the card if they dont increase my credit limit.

It really doesn't matter if you activate or not. You're not going to blackmail (which is illegal) them by not activating. It will report regardless and you just won't be able to use the card until you activate it.

As for worth -- that's subjective regardless of topic and up to you to determine. We're not Discover underwriters and we don't have access to your credit reports so we can't say if you'd qualify for more or not. You'd have to contact Discover to find out. You may have some headroom for a CLI but if you qualified for more they probably would have approved you for more.

It won't hurt to call but you're really just starting off and 10 or 11 months is no time at all in the credit world. Building credit is a long, slow process so ensure that your expectations are reasonable.

thom02099
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Re: Discover IT Card with 762EQ score Approved only $1K

Postby thom02099 » Thu Dec 03, 2015 10:06 am

And to add to what Takeshi said, Discover can be generous with credit limit increases, automatic or requested, over time. If you use the card a lot and pay it off, that could be to your advantage over time. Occasionally carrying a small balance could also result in an automatic CLI. I've carried a balance and gotten an automatic CLI by allowing that balance to report. This has happened more than once. That said, I've also been a Discover customer for a while. Give it time and you could see rewards. Just depends on what you want to accomplish long term.
Retired, and in the process of retiring cards!
EQ = 846 EX=828 TU = 836 as of 02/2016

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Vattené
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Re: Discover IT Card with 762EQ score Approved only $1K

Postby Vattené » Thu Dec 03, 2015 11:48 am

I would be pretty happy with that. You have a very thin file at this point, but you have two great cards. No tying up money in secured cards, no annual fees for builder cards, no store accounts with limited utility, and you earn top-tier rewards on top of it. You're doing quite well for someone with almost no history.

$1,000 certainly isn't a large limit you can do much with, but you can still use it while making multiple payments in a billing cycle if need be and, as previously mentioned, Discover is usually really good at growing along with customers' credit profiles. They're currently advertising an APR range of 10.99% to 22.99%, which is higher to help compensate for paying out good rewards. You landed in a middle to higher point in that range, but again that's to be expected with someone just starting out building credit.

Even if you call and threaten to close your account unless they give you something, you're not exactly in a position with much leverage. I'd expect them to say, "as you wish, good riddance." I understand it's frustrating just starting out and that the process is long and slow, but keep in mind you are asking a company to basically grant you an unsecured loan while knowing next to nothing about you.
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FICO-8:
EX - 827 (4/17) | TU - 812 (4/17)
Primary Cards:
American Express EveryDay - $20,000 (10/14)
Discover it - $23,000 (2/14)
AU on Barclay Sallie Mae - $10,000 (8/15)
plus several store accounts of varying usefulness now

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CarefulBuilder14
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Re: Discover IT Card with 762EQ score Approved only $1K

Postby CarefulBuilder14 » Thu Dec 03, 2015 11:57 am

I'm confused. In another thread, you talk about having cards from Chase and BofA. How is Discover only your second?
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4ktvs
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Re: Discover IT Card with 762EQ score Approved only $1K

Postby 4ktvs » Thu Dec 03, 2015 12:20 pm

I am just shocked citi handed out a double cash with a good limit and APR right off the bat as your first card. I have a longer credit history than you do OP from what it sounds like and my APR for the IT card is %20.99 after the %0 ends though my limit is much better than 1k.

My guess is that Discover would have liked to have seen at lest a year of history before granting a higher limit. Though only Discover UW would know what is going on for sure.

I agree getting a 1k limit isn't fun but at less than one year of credit history it's something that is common with a short credit history. (Under a year is viewed as short in the credit world.)

yfan
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Re: Discover IT Card with 762EQ score Approved only $1K

Postby yfan » Thu Dec 03, 2015 3:36 pm

4ktvs wrote:I am just shocked citi handed out a double cash with a good limit and APR right off the bat as your first card. I have a longer credit history than you do OP from what it sounds like and my APR for the IT card is %20.99 after the %0 ends though my limit is much better than 1k.

My guess is this has to do with OP's existing relationship with CIti prior to his arrival in the US. From the name, my assumption is that OP is from India, and Citi is pretty well represented there.

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Re: Discover IT Card with 762EQ score Approved only $1K

Postby 9Cline » Thu Dec 03, 2015 7:53 pm

As previously stated by others this really isn't a great deal... w/ thin file,,besides they do give SP cli's ~every 6mths on DC & less on iT,,, they also are pretty good about lowering apr. on iT....about every 6mths if u ask..not sure about the DC....but I do know you can ask for HP CLI anytime you want..if u must have 1.... "It's not always about the score"
Good Luck 2 ya !!!!!!!!! :lift:
LOWES, DISCOVER-iT, MACY'S-AMEX PREMIER ELITE, AMEX-EDP, CHASE FREEDOM VS, AMEX-BCP, CITI-DC WEMC, JCP-PLAT MC, BELK ELITE, CITI BESTBUY, CHASE SAPPHIRE , HOME DEPOT :beat:



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