Veda Credit Scores and American Express Applications (esp Plat Charge)

[grounded]

If you look a few posts up I had a 151 point drop after applying for BWP. It was my third card in just over 3 months.

 

[blueythecat]

140 - 150 point drops are big. Nasty!

 

[HTG2016]

140 - 150 point drops are big. Nasty!

Recently take advantage of 100K Amex Explorer and WestPac 50K Bonus Point . Applied both card on the same day and get approved for both .

My Veda score got hit with 62 points down for both cards , not sure it will drop further next month . Planning to stay low until next year

Received very low credit limit of $3300 for the Explorer which i am not very happy with , currently have much higher limit on the ANZ Black which is my main cards , Call Amex up and they said will review my situation every 3 months . Will Spend - Pay - Spend Pay pattern will help improved credit limit ?

 

[exceladdict]

Recently take advantage of 100K Amex Explorer and WestPac 50K Bonus Point . Applied both card on the same day and get approved for both .

My Veda score got hit with 62 points down for both cards , not sure it will drop further next month . Planning to stay low until next year

Received very low credit limit of $3300 for the Explorer which i am not very happy with , currently have much higher limit on the ANZ Black which is my main cards , Call Amex up and they said will review my situation every 3 months . Will Spend - Pay - Spend Pay pattern will help improved credit limit ?

In theory, regular repayment of the limit will encourage them to increase your limit, so you are more likely to spend more than you can afford and therefore end up paying interest. A customer who can afford to pay their bills isn't as high profit for them!

The $3300 may be based on your total capacity to meet minimum repayments - for example, if you already have combined limits of $15k (and you reported this to amex) and they assess your income (and expenses) as being able to support the minimum repayments on a total balance of $18,300.

Another note - be careful with increasing limits as they can result in an increased number of credit checks. You may be better off saving those credit checks for more cards (and sign on bonuses!)

 

[ramamba]

Billt
Can confirm Amex keeps pestering with credit limit invitations although I only spend about a quarter of my limit monthly. And they didn't stop after I reduced the limit to a nice round figure. I'd say just keep spending and you'll almost certainly get an invite to increase.

 

[blueythecat]

Billt
Can confirm Amex keeps pestering with credit limit invitations although I only spend about a quarter of my limit monthly. And they didn't stop after I reduced the limit to a nice round figure. I'd say just keep spending and you'll almost certainly get an invite to increase.

I'd agree with that, if you let them AMEX seem pretty eager to give out credit limit increases!

 

[Isochronous]

I dropped 120 Veda points on Explorer application?

 

[burmans]

I dropped 120 Veda points on Explorer application?

Well it's a high limit card, if they don't know the actual limit on the card they may be imputing some from the type of card.

 

[Tiggerstoes]

Just applied for the explorer card. Was on 808 and dropped to 656 after application! OUCH! Used to have a Velocity Plat with 11,300 limit that I never even got near.
Also didn't tick the "do you want us to give you max limit" box and they gave me $5300 limit.. not too upset about that because I will need a personal loan in March and want to keep my overall liability low.
Now to sit out until it recovers back to the mid 700's

 

[blueythecat]

Just applied for the explorer card. Was on 808 and dropped to 656 after application! OUCH! Used to have a Velocity Plat with 11,300 limit that I never even got near.
Also didn't tick the "do you want us to give you max limit" box and they gave me $5300 limit.. not too upset about that because I will need a personal loan in March and want to keep my overall liability low.
Now to sit out until it recovers back to the mid 700's

Wow that is an OUCH!

 

[andye]

646 to 618 with Plat Charge application. Second card application this year.
Hoping to bounce back next couple of months as have a couple of 5-year old car loans dropping off the end and will have a leasing enquiry >12 months old

 

[HTG2016]

Billt
Can confirm Amex keeps pestering with credit limit invitations although I only spend about a quarter of my limit monthly. And they didn't stop after I reduced the limit to a nice round figure. I'd say just keep spending and you'll almost certainly get an invite to increase.

Thanks for the tip , i am trying to avoid apply for credit limit like exceladict said it will impact my credit score . I spent up my 3.3K limit within a day or 2 after i received the card , it a pity as i am looking to switch to the Explorer as my main card to get MR instead of lock in Qantas only with our ANZ Black . Look like i have to be patient and waiting for the invite from them .

 

[grounded]

Third consecutive month stuck on 520. No new CC aplications since August. Can I get a break?

 

[Tiggerstoes]

Do you pay your balance off monthly? I read somewhere (probaly earlier in this thread) that credit scores increase when you make part payments it shows you can service the debt hence be more credit worthy!
My mum has 6 credit cards all with balances owing and her score was 923 until she recently applied for a DJs store card and dropped to 876
Meanwhile I pay my balances off monthly and am hanging out in the 670s
Go figure!

 

[Rallo]

Third consecutive month stuck on 520. No new CC aplications since August. Can I get a break?

I feel your pain , 6 months and no change in score with no new applications for credit since 2015 .

 

[grounded]

Do you pay your balance off monthly? I read somewhere (probaly earlier in this thread) that credit scores increase when you make part payments it shows you can service the debt hence be more credit worthy!
My mum has 6 credit cards all with balances owing and her score was 923 until she recently applied for a DJs store card and dropped to 876
Meanwhile I pay my balances off monthly and am hanging out in the 670s
Go figure!

Yeah I have 3 cards and I max them all out every month. I always pay them off every month and never pay interest. We've got a chunky interest only mortgage though, and that gets serviced - we've had it for 5 years and pay a tonne of interest every month.

Would be good to figure out how to work that score up again.

 

[andye]

I suspect you need some things to 'drop off', whether its 1 yr, 2yr or 5yr

Mrs andye's (Experian) score jumped 94 points after her last credit card application went to 12 months ago

 

[Rallo]

Yeah I have 3 cards and I max them all out every month. I always pay them off every month and never pay interest. We've got a chunky interest only mortgage though, and that gets serviced - we've had it for 5 years and pay a tonne of interest every month.

Would be good to figure out how to work that score up again.

Yep same position, never pay interest on cards everything paid for on time , currently on hold on the phone to Veda to find out what's going on.

 

[grounded]

I suspect you need some things to 'drop off', whether its 1 yr, 2yr or 5yr

Mrs andye's (Experian) score jumped 94 points after her last credit card application went to 12 months ago

I expect you're right. That'll be May for me :-/

Yep same position, never pay interest on cards everything paid for on time , currently on hold on the phone to Veda to find out what's going on.

Nice work - let us know if you learn anything from them.

 

[Rallo]

I expect you're right. That'll be May for me :-/



Nice work - let us know if you learn anything from them.

Ok just got off the phone slightly more bewildered that when I started .

The explanation given was that due to the lack of activity on my credit file the score will not move greatly or at all and basically hover , the major financial institutions calculate their own scores regardless but if you have an enquiry from a smaller lenders then you are likely to take a major hit on your score.

I have raised the issue up to their Supervisor and waiting on a call back, stay tuned.