So AMEX won't let me have a card cuz i have too many accounts with balances. I have 2 cards, had them for 6 months, and have NEVER been late and ALWAYS paid off in full. They also say no cuz i've asked them a few times. Anyone in the sub 20 year old range get an Amex with minimal pain??
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Anyone understand AMEX??
- Thread starter silbeej
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I have an American Express Blue card and I am happy with it. Probably the best customer service of the different credit card vendors I have dealt with. One thing to remember with AMEX is that the normal AMEX card is NOT a credit card, but a charge card, which means you cannot carry over a balance and must pay in full each month. The Blue from AMEX is a credit card like any other and can carry a balance.
With that said American Express is a very picky company when it comes to issuing cards. Most credit card companies will issue a card to just about anyone so if you can't get an AMEX card try another company.
With that said American Express is a very picky company when it comes to issuing cards. Most credit card companies will issue a card to just about anyone so if you can't get an AMEX card try another company.
Credit is being tightened everywhere; it's a sign of the times. If your record isn't spotless and you want unsecured credit, be prepared for people to turn you down. Too many card applications in a short period six months, say rings warning bells.
Well unlike a few people i know, i have never violated anything to do with the card, overbalance, late, fees of any kind, so my history is perfect. I would like another card cuz the two i have are college ones, and have very low credit, so when the time comes that would like to buy something big, i can't and someone else has to purchase it for me.
And it's been only six months as you stated in your first post. I would see you as a risk as well... do you have a regular income?
Try paying off your balances, cancelling one of your cards and then reapplying in another six months time.
Really, if you already have two credit cards and are in good standing, I don't see why you need a charge card? We've been Gold and Platinum with AMEX for quite a while, (the only plastic we use aside from a Visa account ATM card) and though Platinum offers a carry over pay plan for travel and lodging to pre-approved members, the perks are not as many as should be. They are now offering complimentary Admirals Club and VIP entrance with cooperating airlines which is an overdue gesture. But why would you want a charge card in addition to the two credit cards?
Credit is a weird and arbitrary thing. Get used to it. Amex is one of the more "high end" credit cards, which means they are pickier.
Your good history only goes so far. For one thing, you only have 6 months of history -- which is peanuts. Plus you are young and you don't have a full-time job (I'm guessing), which means that the credit they think you are capable of handling will be very low. The fact that you already have two credit cards means Amex will be wary of your cumulative revolving credit line.
It's possible if you cancel the first two that you could get a new Amex, but at your age there's no reason to do that. Keep the cards you have, and build your credit with those. If you've gone 6 months with no credit hiccups (over limit, late payment, etc.) and using both cards every month, then your credit is improving. Try calling your issuer and asking for an increase in your line of credit. Do this again after 12 months of impeccable credit.
Applying for lots of cards will hurt you because credit card companies can see all of your applications, and its a scary signal of desperation from their perspective. Even if you were able to get a card, they would offer youa crappy one because they are concerned about the risk that you pose. Don't apply for more than 1 card every 6 months.
Anyway, if you're interested, read up on how credit scores and credit ratings work. Read up on FICO (which is the biggest load of BS ever invented, in my opinion -- the financial equivalent of the equally ridiculous quarterback passer efficiency rating in football). Check out sites like fatwallet.com where people discuss which credit deals are best. Read up on the 3 major credit reporting agencies (CRAs) and get a free copy of your credit report.
Thanks everyone, some good info in your posts. The biggest thing i didn't get is them telling me i have too many accounts with balances, i have two, one has no balance, and the otehr just has monthly purchases on it, how can that be too many. lol Also, i'm not going to cancel the one i don't use, cuz that helps my average account age, so i don't think i'll ever cancel the two i have, but i would like to get a non-college card. Oh well, i'll just wait and see.
You still haven't specified whether you tried to get a Green, Gold, or Platinum card or one of the other ones. As Green, Gold, and Platinum are charge cards and not credit cards AMEX sees no opportunity to make money off of a young person - you're probably not going to spend that much, and since it has to be paid every month they won't have any chance to charge the exorbitant interest rates that sink so many young people. My friend got one of the credit cards (clear card, I think) when he was 18 with no problems at all. As far as their "too many accounts already" statement I'm sure they echo the sentiments of many of the posters in this thread: Why does somebody under 20, already with two credit cards, need a card from us?
well in that case, I guess try again in 6 months or so. Why amex blue? (just wondering)
Six months may seem like a long time at your age. but it really isn't. Six months more down the road and you may be fine, depending on your income. You stand a good chance of being declined by any credit issuer if you have a recent application on their system that was already declined. Searches on your credit history are also viewed negatively if they are too numerous.
*Love* my gold AMEX. So pretty.
(UK perspective)
*Love* my gold AMEX. So pretty.
(UK perspective)
You're under 20, you have a small income (relative to others who get AMEX cards), and you don't have a long credit history. It isn't rocket science
That said, I started my credit history in a few ways, one of which won't help you anymore because the FICO formula has been amended:
1. My parents added me onto one of their cards when I turned 18 so I could buy school books and such. This gave me a credit boost, but FICO no longer uses this as a factor in your credit history, so sorry
2. I opened my own credit card (parent free) within a few months of turning 18. I used it for only an occasional purchase, and paid the balance IN FULL every month. I got a second card about six months later, kept using it in the same way as the first, and now I have a better credit score (mind you, I just turned 20).
3. I didn't take every offer of credit that came my way. If you apply mulitple times, your FICO goes down because it's viewed as an attempt to secure emergency funding. Don't apply frequently, and you'll avoid this problem.
Hmm. I am only 20, and AMEX has approved me for two different cards (one was a Blue card and the other was a Platinum). Mind you I haven't bothered to get them because their rewards are terrible (Mastercard and Citi do a better job with rewards, as does Discover). Plus, not all (but most nowadays) take AMEX. You're better of holding off for a while and apply for a MC in six+ months.
IIRC, the Blue card requires a minimum household income of $25,000/yr.
The annual fee for the Green card is only $55. It's only more if you join the Membership Rewards program.
The annual fee for the Green card is only $55. It's only more if you join the Membership Rewards program.
A Green AMEX was my very first card at the age of 19. Frankly I was a bit shocked that they offered me one, since I had no credit history at that point and no job. A few months later Chase offered me a Visa with a monster $500 limit!
$500? Wow. My first card was $500, and the other one began at $2500 six months later. Then again, I did get my card when there wasn't a credit crunch like there is now, or like there could have been when you got yours.
Amex is also one of the few credit card companies that routinely file cases against their deadbeat cardholders (both civil and criminal.)
Much more often than the other card companies, probably because they can let you get up to some silly numbers compared to the other cards.
Just don't burn them for over $100k.
Much more often than the other card companies, probably because they can let you get up to some silly numbers compared to the other cards.
Just don't burn them for over $100k.
American Express is notoriously picky when it comes to issuing credit cards. I applied for a BofA student card, and had my mother issue me an AMEX card in my name. I'm having a bad habit, though, of exclusively using the AMEX for purchases, and not using the BofA, which sucks because you have to actually charge and pay bills on the card to establish good credit... right?
That's somewhat true, but not entirely. One part of your FICO is your current debt to credit ratio. The more credit you have relative to debt, the better your score (this carries a weight, as do each of the several factors that make up the FICO). So, if you have credit cards with no balances, they can help your credit score slightly (not by much mind you) if you keep them but don't use them.
My first credit card was a AMEX Blue Student Card (free) that I got at age 18 for college with a spending limit of $500 I think.
I think I see why AMEX won't pick you. It does have to do with the current financial/credit crisis in the US and you're probably more risky than they like. Even if you've never had to pay late fees, credit companies would rather avoid people who run balances AND have no regular income. It doesn't matter if one of your credit cards doesn't have a balance right now. They can check your history and if in general you run balances, even just over a month or two, it can be a negative factor.
It probably sucks that you started out with somebody other than AMEX if you really want AMEX now. Your reason for getting the cashback card is dumb though. Read the fine print. You get 5% back on select purchases IF you spend more than $6500 a year. Otherwise, it's about 0.5% on most purchases and about 1.5% on select purchases (not sure about the latter percentage). Anyway, this usually amounts to quaters, depending on how many "select" purchases you make.
I have AMEX cash back card too and used (when I was back in the States) it just for filling my car with gas, which counts as a "select" purchase. Anyway, it's not really worth it for you probably.
I agree, 6 months is not long enough to really establish history, especially when you do not have a regular income. AMEX let me increase my credit after about a year. And eventually after a few years and 3 credit cards later, I was offered a Rewards Gold Plus Card, free for the first year. And actually I love it.
The customer service is definitely better and because I'm living in Europe now, I charge all my travel expenses on the Gold Plus for additional insurance coverage etc.
PS - don't cancel a card. You then decrease the amount of credit you have available and thus your credit score too.