- Gold Member
- Posts: 29
- Joined: Tue Feb 25, 2014 5:54 am
- Location: Ohio
Ok, so I am completely new to credit cards (with the exception of store-specific credit cards, which I rarely/never use anyway). This month, I was at a bank, which suggested that I apply for a credit card, so I did and, to my surprise, I was approved. They told me about the rewards program, which excited me. This was the PNC Cash Builder card that I got approved for.
Next, I was on my paypal account, and it advertised a credit card that seemingly had even better rewards, so I applied for that one, and I also got approved for that one. Next thing I knew, I had applied for several different credit cards, some of which I was approved, and others for which I wasn't approved.
Here are all of the credit cards that I have applied for this month:
-PNC Cash Builder (approved, $1,000 credit limit)
-PayPal Extras (approved, $3,000 credit limit)
-Chase Freedom (approved, $1,200 limit)
-Bank of America Cash Rewards (approved, unknown limit because it has not yet arrived)
-Discover It (originally approved, but I canceled the card because I didn't know that there was a special promotion for $150 if you spend $750 during the first 3 months, so I was told that I could reapply after 45 days for another one)
-Chase Amazon Rewards (denied, waiting for reasons why in mail)
-Capital One Quicksilver (denied [I think], waiting for reasons why in mail)
Keep in mind that all four of my cards are new as of this month, so cancelling any card shouldn't lower my average account age.
I am trying to get a wide variety of different cards so as to maximize the rewards earning potential because who doesn't want more cash? After doing some research, I am going to attempt to get the following collection of cards (some of which I already have, and some I wish to cancel if it won't negatively affect my score too much):
1. Discover It (mainly for the great rotating 5% cash back options along with the great 5-20% off mall options)
2. Chase Freedom (mainly for the 5% cash back on gas 2 quarters out of the year plus the 5% cash back on amazon.com later this year and on many other stores)
3. Bank of America Cash Rewards (mainly for the 3% cash back on gas for when Chase Freedom doesn't offer 5% cash back on gas 2 quarters out of the year)
4. Chase Amazon Rewards (mainly for the 3% cash back on amazon.com purchases)
5. Capital One Quicksilver (for all other purchases where I can't get above 1% cash back)
6. American Express Blue Cash Every Day (mainly for the 3% cash back on groceries)
So that's two that I already have (Chase Freedom and Bank of America Cash Rewards), two I was denied (Capital One Quicksilver, Chase Amazon Rewards), one for which I originally was accepted, but canceled so I can reapply for better benefits (Discover), and one for which I have yet to apply because I am assuming I was rejected the other two because I applied for too many at once.
I am 24 years old, and my credit score according to PNC before I applied for any credit cards was 723 according to TransUnion. Whatever Chase uses gave me a 688 (Card Acquisition Risk Score) after having applied for several credit cards. Bank of America gave me a score of 768 from Experian after having applied for several credit cards already. Furthermore, my income is about $25,000, and I pay no rent since I live with my parents.
On my Bank of America acceptance letter, my key factors for things that negatively affected my credit score were as follows:
1. Length of time revolving accounts have been established.
2. Ratio of loan balances to loan amounts
3. Lack of recent bank/national revolving information
4. Time since most recent account opening
Furthermore, Chase gave me the following on a document that came with my Chase Freedom card:
1. Number of general purpose credit cards
2. Number of requests for new credit in the past 3 months
3. Balances on accounts compared to credit extended
So it sounds like I applied for to many credit cards at once, which I get, although I feel like I have good enough credit for any of those cards. I also have no balances on any of those cards despite having used about $400-500 already and immediately paying it off. I did go through college and acquire some loans though although they are still deferred until the end of this year, and some of them aren't even under my name, but my parents' names.
So long story short, how should I go about things if I wish to acquire the credit cards I listed? Should I just wait and use what I already have and apply in a few months since it appears as though I applied for too many at once? Should I attempt to repeal their decisions? Should I close a card account or two (I really want to close the PayPal one since its rewards are not as good as I originally had thought, and I want to close the PNC Cash Builder one as well once I get the Capital One Quicksilver)?
I don't plan on maxing out these cards or anything like that. I just want to maximize my cash back and build good credit (once I get those cards, I plan on riding them for a long time building good credit) is all. Thanks!
Whats's in the wallet: Discover It - $3,800 (5% rotating, ShopDiscover), Sallie Mae Rewards MC - $1,000 (5% on gas, groceries, and Amazon), Chase Freedom Visa - $1,200 (5% rotating + 10% extra w/ Chase Total Checking), PayPal Extras MC (1.66% on PayPal, 2.5% on Restaurants- $3,000, Bank of America Cash Rewards Visa Signature - $5,000 (Signature benefits), PNC CashBuilder Visa - $1,000 (Don't use), Fidelity Investment Rewards Amex - $5,000 (2% on everything)
. . . and some store credit/charge cards.
-US Bank Cash+ (for the 5% categories)
-1-2 0% APR cards for some big purchases I'll be making within the year