My first post! Would like to start by saying that I have found this forum to be VERY useful.
I recently received an offer in mail to apply for the Chase Freedom card and get a $300 bonus with no annual fee. The APR is not a factor for me since I always pay the full credit card balance before/on the due date. I applied for this card and got a credit of $4.5k. The card has been shipped and I should receive it in 3-4 days. This is also my first card with Chase.
Then, while looking for a card with no transaction fee, I stumbled upon this forum and found the Chase Sapphire Preferred. This card has two things that I found very lucrative: $500 bonus (+7% year end match) and no foreign transaction fee. Also, the first year membership is waived.
I called the customer service and expressed my desire to instead go for the Sapphire Preferred card and asked them if it was possible to convert or transfer. I was told that I would need to cancel the Freedom and apply for a Sapphire.
I asked them the following questions:
1) Won't canceling the Freedom adversely affect my credit?
I was told that since I haven't started using it or even received the card yet, they would cancel it and mark it as "rejected by the customer". They would notify the credit bureau that I have rejected the approved card and it will not affect my credit.
2) Will I qualify for the $500 cash back offer on Sapphire as a new customer?
3) Will I be approved for Sapphire since I was for Freedom?
No guarantees (obviously).
4) Can I apply back for Freedom if perhaps Sapphire is not approved?
Yes. No guarantee it will be approved again.
My questions for people here are: What should I do and how much should I believe them? How will my credit be affected (keeping in mind that I am planning to buy my first car soon and that I want to get good mortgage rates)? What are the chances of getting a Sapphire approved? Should I just keep the Freedom? What are the pitfalls in doing this?
Not having a huge (or long-term) impact on my credit is my biggest priority.
My credit card profile:
- Amex Blue Cash - 15k
- BoA Student Platinum - 7.5k
- FICO Score - 700+