- Centurion Member
- Posts: 1144
- Joined: Sun Jan 26, 2014 3:55 am
- Location: US
I don't mean to be ignoring you, Elijahmex, but I don't really have anything to add that others haven't already contributed. As for CLI requests, 3 months is a good time to ask. They may tell you that you're not eligible for one yet, but you have nothing to lose by asking. I would recommend only requesting CLIs if it doesn't cost you a hard credit pull, especially while you're in this building phase. What I do is call and ask a CSR explicitly if it will require one, just to be sure. With a shorter history, hard inquiries have more impact. You KNOW it will hurt your score, but you don't know if you'll get the CLI you want to improve it until after you already take the HP. Even if you know you'll get one, there's no telling what the overall impact on your score will be. Request CLIs without HPs as often as possible. If they just won't let you make a CLI request without a HP, that is a determination you'll have to make.
Regarding utilization and reported balances, I also want to take a step back and just point out that this makes sense when you look at what all of this means to the lenders. Scoring models reduce a lot of data into one number that's meant to gauge the risk of the consumer in question, so utilization is just one factor among many. A person with no cards is a big unknown, and unknown = risk. When you're in the business of letting other people use your money, you want to be careful about taking on risk. It's frustrating to all of us when we are starting out - we know we're reliable, but lenders have no idea. Having no utilization report looks like you're not using the card. That's certainly better than maxing it out, but for all a lender knows you've just shredded the card. Low, nonzero utilization indicates that you use the card and manage it responsibly. Lenders want to give you tradelines, but they don't want to take on someone that won't pay them back in a timely manner.
EX - 804 (10/16) | TU - 803 (10/16)
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