Amex Application: Is 1xCC better than NO CCs

[SOPOOR]

Question: does amex/CC companies see having no credit cards as a negative?
Going to reapply for amex shortly, ive cancelled my last single CC to avoid the fee, and to wait a month until it drops off credit and then apply for amex

a bit late for my situation, but, was thinking, should i have applied for the amex whilst the other one was active

 

[Human]

It really is very difficult, if not impossible, to be certain. Every CC company is different and each one applies different criteria, which they keep very secret.

My “informed guess” of an answer is that if you don’t currently have any CC, the companies including AmEx will look at your credit score and credit records via companies such as Experian. A low credit score, and no record of debts and repayments, would be more of a negative than not having any credit cards at this exact moment.

Just my guess, but hopefully not a totally uninformed guess…

 

[andye]

Question: does amex/CC companies see having no credit cards as a negative?
Going to reapply for amex shortly, ive cancelled my last single CC to avoid the fee, and to wait a month until it drops off credit and then apply for amex

a bit late for my situation, but, was thinking, should i have applied for the amex whilst the other one was active

I'm pretty sure none.

US credit scores have a component of length of credit and the score is very important in acceptance. In Australia, credit scores don't have a length of credit component and the actual score has little relevance.

Here, acceptance is largely based on regular earned income vs debt exposure, expenses, defaults. Assets also seem to be of minimal importance

 

[Peregrine]

My recent experience apply for Amex and sensing fro CSO what they were looking for:
- Any negative credit events? Defaults etc
- Ability to service, taking accout of -- income being received, expenses (dependents, other credit commitments), allowance for living expenses

Income from investment assets is disregarded.