A CLI Plan

For just about anything you want to get off your chest about credit cards.
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Ikarus
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A CLI Plan

Postby Ikarus » Thu Oct 16, 2014 11:38 am

I plan to apply for CLIs on a few cards to create a utilization buffer to keep well below 30% for holiday spending. I have a Vitamex and other big ticket items on my list. :D

I recently went +5 on my FICO (730) and FICO 8 (742) scores.

I've been good about keeping my credit utilization low and all cards are currently paid to $0 balance in anticipation of CLI requests. (I paid off my $1300 AMEX BCE I had been carrying for months in preparation.)

Am I more likely to get CLIs or would I be better off getting a new card? (I don't want a hard pull and nothing really appeals to me right now.)

Next, I'll be finished with grad school this spring/summer. I have a healthy amount of debt, most of which is broken up in smaller loan amounts.

I have a few loans that are $300, $600 and $800 each. If I pay them off -- and thus close a few accounts -- how positively would that help my credit score and outlook to creditors?

When I reconned with Chase to get the Freedom months ago, they quipped about wanting to see me pay off a few accounts. When I pointed out that I had paid off a few, referencing my credit report on the phone, they agreed and approved the app for the card.

Will paying off the small student loans offer quick gains, or is the money better spent paying interest instead?
Merrick Bank (Hooters) 4100
Cap One Quicksilver 4800
Discover it 2500
Citi Forward 8000
Chase Freedom 1000
AMEX Blue Cash Everyday 5500
Citi Dividend 7000
Cap One Visa Platinum 750 (CLOSED)


takeshi
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Postby takeshi » Thu Oct 16, 2014 12:04 pm

Ikarus wrote:Am I more likely to get CLIs or would I be better off getting a new card? (I don't want a hard pull and nothing really appeals to me right now.)

With Chase a new card. If you don't want hard pulls then you won't get CLI's from some of your creditors.

Ikarus wrote:Will paying off the small student loans offer quick gains, or is the money better spent paying interest instead?

People usually see a drop when paying off an installment.

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djrez4
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Postby djrez4 » Thu Oct 16, 2014 12:29 pm

Ikarus wrote:Will paying off the small student loans offer quick gains, or is the money better spent paying interest instead?


Maybe. Money is never better spent paying interest. If the interest rate on the loan is lower than what you can earn by investing the money, invest and pay off the loan as it comes due.

Oddly enough, what may look better than paying off the accounts, though, is paying them down to what would count as a low utilization on a credit card. I've been dinged for having balances too high in relation to available credit for my student loans, car loan, and mortgage. It only came up because there was nothing else they could really complain about, but it is something they look at.

Ikarus wrote:Am I more likely to get CLIs or would I be better off getting a new card?


With Chase, yes. They tend to give higher limits on new cards rather than CLIs. Other companies work differently. You say you have an Amex BCE - have you tried the 3x CLI on that yet? Soft pull and high potential gain.

Ikarus wrote:I have a Vitamex and other big ticket items on my list. :D


Pssh. Get a Blendtec.
[RIGHT][size=100]- Sapphire Preferred - Freedom - Ink - Platinum - Everyday Preferred -[/size]
[/RIGHT]

Ikarus
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Postby Ikarus » Thu Oct 23, 2014 1:04 am

Considering I didn't foolishly blow through all of the money, what are some good ways to invest? I've always considered that, but never got above casino gambling. ;)

djrez4 wrote:Maybe. Money is never better spent paying interest. If the interest rate on the loan is lower than what you can earn by investing the money, invest and pay off the loan as it comes due.



So you're saying, instead of paying the loan off, pay it down to less than 30% of its balance, which is a commonly desired utilization ratio for credit cards? That sounds good for large balances, but it would seem the smaller balances that have been hanging around for a while are best paid in full to show the successful pay-off of an account.

djrez4 wrote:Oddly enough, what may look better than paying off the accounts, though, is paying them down to what would count as a low utilization on a credit card. I've been dinged for having balances too high in relation to available credit for my student loans, car loan, and mortgage. It only came up because there was nothing else they could really complain about, but it is something they look at.



I did try to get a CLI for my AMEX BCE and they noted my leaving balances on the card. I recently paid off my $1300 (0%) balance, made another purchase for a few hundred dollars, then paid it off the next day. I think this should be good enough prep for asking for another CLI. I'm just not sure how much to ask for. 3x seems a little high...

djrez4 wrote:With Chase, yes. They tend to give higher limits on new cards rather than CLIs. Other companies work differently. You say you have an Amex BCE - have you tried the 3x CLI on that yet? Soft pull and high potential gain.


I've compared Vitamix and Blendtec, and still prefer Vitamix. I'll likely get the 750 Pro version. I also like Vita's separate jar for making flour and kneading dough, as well. Blendtec looks more modern and has great designs, but Vita is more stable and makes smoothies with no air.

djrez4 wrote:Pssh. Get a Blendtec.
Merrick Bank (Hooters) 4100
Cap One Quicksilver 4800
Discover it 2500
Citi Forward 8000
Chase Freedom 1000
AMEX Blue Cash Everyday 5500
Citi Dividend 7000
Cap One Visa Platinum 750 (CLOSED)

whit
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Postby whit » Thu Oct 23, 2014 2:43 pm

Always ask for more, if anything they'll counter for one lower if they can't give you the amount you're asking but it doesn't hurt to ask.

Everyone's situation is different but

It's always better to get credit increases with one or two cards, before applying for another one that has a minimum x CL for example

I talked to this girl who was preapproved, but her freedom card was only 2k..told her with her income and such, better to ask for an increase on her freedom (got turned down for a sapphire preferred before) and then wait a bit before applying.

Well she called to get her CL on freedom increased and success, a month later after that applied for the sapphire preferred and got approved.

Generally if you already have cards with a high CL, barring that you don't have a zillion of them, or some sort of hit on your credit report (bankruptcy, past dues, etc)

You're almost guaranteed to get approval because you have already shown you can handle a larger CL

So having a higher CL isn't bad. Better to have quality over quantity

Ikarus
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Postby Ikarus » Mon Oct 27, 2014 4:41 pm

I'm going to pull the trigger and request the 3X CLI with AMEX BCE tonight. Or should it be during the day?

I found the letter when they last turned my down 6 months ago. The reason:

"One or more of your payments within the last 12 months was too low given the outstanding balance and payment history."

Now that everything is PIF and I recently made a large purchase and payed it off in full, I feel I should be okay.

Still, any last-minute tips?


whit wrote:Always ask for more, if anything they'll counter for one lower if they can't give you the amount you're asking but it doesn't hurt to ask.
Merrick Bank (Hooters) 4100
Cap One Quicksilver 4800
Discover it 2500
Citi Forward 8000
Chase Freedom 1000
AMEX Blue Cash Everyday 5500
Citi Dividend 7000
Cap One Visa Platinum 750 (CLOSED)

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CarefulBuilder14
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Postby CarefulBuilder14 » Mon Oct 27, 2014 5:11 pm

I've thought about calling for a BCE CLI, but I could see it going nowhere fast:

Me: Hi, I was wondering if I could get the credit limit on my Blue Cash card increased.

Amex CSR: The highest balance you've on the card has been $400. Why isn't $6,000 a suitable limit?

<Silence>
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

Ikarus
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Postby Ikarus » Mon Oct 27, 2014 10:00 pm

Well, I've had about $1600 or more at once and paid it off long before the 0% APR offer ran out, so I hope that holds me in good stead.



CarefulBuilder14 wrote:I've thought about calling for a BCE CLI, but I could see it going nowhere fast:

Me: Hi, I was wondering if I could get the credit limit on my Blue Cash card increased.

Amex CSR: The highest balance you've on the card has been $400. Why isn't $6,000 a suitable limit?

<Silence>
Merrick Bank (Hooters) 4100
Cap One Quicksilver 4800
Discover it 2500
Citi Forward 8000
Chase Freedom 1000
AMEX Blue Cash Everyday 5500
Citi Dividend 7000
Cap One Visa Platinum 750 (CLOSED)

Ikarus
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Postby Ikarus » Tue Oct 28, 2014 1:10 pm

AMEX shot me down due to debt to income ratio. I asked for $11K.

Is it worth calling the recon line to ask for $7.5K instead?

On the bright side, Citi accepted my modest CLI request for my Dividend (4000 > 5600).

Which gives me $11K in total credit with Citi.

Btw, does Citi combine cards? Would it be possible to close Forward and transfer the CL to Dividend?
Merrick Bank (Hooters) 4100
Cap One Quicksilver 4800
Discover it 2500
Citi Forward 8000
Chase Freedom 1000
AMEX Blue Cash Everyday 5500
Citi Dividend 7000
Cap One Visa Platinum 750 (CLOSED)



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