Denied Barclay- Is Best Buy possible option?

Discussion in 'MacBook Air' started by eckthroi, Jul 20, 2011.

  1. eckthroi, Jul 20, 2011
    Last edited: Jul 20, 2011

    eckthroi macrumors regular

    Joined:
    Mar 10, 2011
    #1
    I applied for the barclay card to purchase the new 2011 MBA but was denied.
    I was wondering if anyone had experience with being denied through Barclay and then applying for financing through Best Buy and their experiences. I am considering also applying through chase but I only want to have my credit ran one more time. Which do you think is the safest bet?

    Thanks for any help you can offer
     
  2. KPOM, Jul 20, 2011
    Last edited: Jul 20, 2011

    KPOM macrumors G5

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    Oct 23, 2010
    #2
    If you are trying to establish a credit history having a lot of inquiries can be a bad thing. If you can afford to pay for it upfront, the best option may be to put it on a credit card with no balance and then pay it off next month when you get the bill. Paying in full every month is the best way to build a good credit history. OTOH, if you don't have the money upfront and can't get the credit...well, we can't always get what we want, right?... seriously, though you may need to consider whether you really need this. Build up your credit rating so when you need to get a car or rent an apartment you get approved. Yes, the "new normal" sucks, but that's what we're dealing with.

    The Apple card is through Barclays, while Best Buy is through HSBC, and Chase is part of JP Morgan. Of the three, I think Chase has the highest credit standards (meaning they are the least likely to give you a card).

    Also, get your credit reports from each of the agencies once per year for free at this site (which is the only official site for this purpose - the other sites try to sign you up for costly credit monitoring services, which aren't necessary for most people). For a few dollars extra you can get your credit score. I'd suggest just pulling one score since the other two are likely to be close. Check your reports to make sure there aren't any inaccuracies, such as a company reporting that you were late with payments when yo weren't.

    www.annualcreditreport.com

    From my personal experience, Barclays is quick to give you a card but there's little redeeming about it once you have it. I got it when I got my Rev B back in 2008, and I paid it off during the interest free period by setting up automatic payments. I didn't use it after that because there were no decent reward programs for regular purchases, and they used the financial crisis as an excuse to close my account (something that someone with an 800 credit rating finds a little annoying, to say the least). That said, I opened up another account online today for the same reason, and will let it stay dormant after I pay off the Rev E. I'll stick with my existing airline and cash rewards cards for everyday purchases.
     
  3. tbobmccoy macrumors 6502a

    tbobmccoy

    Joined:
    Jul 24, 2007
    Location:
    Austin, TX
    #3
    Credit is NOT something you want to apply for right now... too much uncertainty until the debt ceiling is dealt with. Cash or current line of credit ONLY if I were you.
     
  4. wdaleherring macrumors member

    Joined:
    Jul 19, 2011
    #4
    I was denied Bill Me Later... no idea why, it said "Length of time accounts have been established..." I guess it means I don't have a long enough history? That said, a little over a year ago best buy gave me a $900 limit, I was 20 at the time. I'd give it a try. You've already tried once today, better group you credit pulls together rather than do it every couple of weeks (if you must).
     
  5. WardC macrumors 68030

    WardC

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    Oct 17, 2007
    Location:
    Fort Worth, TX
    #5
    Cash, or better yet American Gold Buillion (I recommend $20 St. Gaudens Gold Coins). One of those (1 ounce of 24k GOLD) is worth about $1600. Don't think they will deny you there.

    But still they couldn't deny you if you came in with $1700 in cash. They will readily accept anything from Franklins, to McKinleys, to Clevelands, to Madisons, and even the Salmon P. Chase Note. Heck, they will even accept a Wilson (yes, a $100,000 bill).

    [​IMG]
     
  6. srf4real macrumors 68030

    srf4real

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    Jul 25, 2006
    Location:
    paradise beach FL
    #6
    Yes Best Buy is easier credit; my experience was that at first when I was building my credit they limited my available credit to like $500 and over time have extended my line to where now ten years later I can buy waay too much cool stuff I don't really need on credit.:eek::rolleyes::D

    You can always take some cash and pay the remaining balance over whatever they offer you in way of credit line amount.. and with BB you will also be qualified for a same as cash zero interest on purchases $499 and up.;)
     
  7. wdaleherring macrumors member

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    Jul 19, 2011
    #7
    This is why BB's CC is WAY better than "Apple's" card. With BB they 0% promotionals go by what they offer at that time and are not tied to your card so that means you can purchase thing over and over at 0%.
     
  8. KPOM macrumors G5

    Joined:
    Oct 23, 2010
    #8
    Whatever "no-interest" plan you get, make sure you do one thing first: set up an automatic payment from your bank account to make sure that the bill gets paid every month. Miss a payment, and they can charge interest back to day one (usually at a ridiculous rate). Read the fine print, too. Don't charge anything else on the card unless you know how they apply the payments. Some things might get a little bit better with the new Consumer Financial Protection Bureau, but other things will get worse (annual fees are starting to rear their ugly heads again, and credit is harder to get in general). No matter what, caveat emptor is still good advice.
     
  9. wdaleherring macrumors member

    Joined:
    Jul 19, 2011
    #9
    I thought this was the case as a was pretty sure I read it in my terms of agreement and I forgot to pay one month (I was maybe 5 days late) and they just charge me a $20 fee. I called them a couple weeks later to confirm interest didn't kick in on my account and they said no... phew. Haha.
     
  10. KPOM macrumors G5

    Joined:
    Oct 23, 2010
    #10
    It may depend on your history with the card. Having a high credit score helps, too. Credit card companies like people who pay them back. I've missed the payment date by a day or so on my regular cards once or twice and have had interest charges waived. The person who gets denied by Barclays isn't likely to get such perks from HSBC or Chase after missing a payment, though.
     
  11. baypharm macrumors 65816

    baypharm

    Joined:
    Nov 15, 2007
    #11
    I'll chime in here, too. I doubt you will get credit from BB if you were denied by Barclays. Barclays is tough and no nonsense. I have known people with AAA credit to obtain a barclays card (Apple) only to have it taken away 6 months later for not using it.

    Like the other posters, I recommend paying cash if you can. If you can't. Wait. Save up the money and then pay cash. Unless you are working for the U.S. Government, jobs are very unsecure now. The last thing you want is to finance $1700 and then lose your job. A gal I know just lost her job of 30 years with the same company. No reason. They called her in and said she was no longer needed. Goodbye. No thank you for your decades of service and dedication, etc.

    So be careful. Cash is always the best way to buy anything. I bought a new corvette once that way. I saved for years and years and years with the specific purpose of buying a vette.
     
  12. s.hasan546 macrumors 6502

    Joined:
    Feb 26, 2011
    Location:
    NY
    #12
    while i agree he should be careful and this definitely doesn't apply to him b.c if he can't get approved for a credit card he isn't in a good/matured financial state anyway. I don't agree with your final statement.

    Cash IMHO is the worst way to buy things. 1-5% back + extended warranties are some examples of why to buy on credit and than it in full. Or use best buy's 0% 18 month no interest option. It doesn't cost me anything to use Best Buy's 18 month no interest plan. I can afford to pay in all cash but why would i do that? And in your comparison to buying a car i think that's even worse. I would not buy any car in cash since i can go get a 2.25% interest rate at my credit union on a new car. My money can make more than that per year. As long as your beating your interest rate it makes sense to use credit. Now that's not an option for everyone but it does make sense for the financially savy.
     
  13. FieldingMellish Suspended

    Joined:
    Jun 20, 2010
    #13
    For OP, it's probably time to establish credit worthiness, just not now and with the computer you want to get. Then, you'll have that built up for the next time you want to buy something expensive.
     
  14. srf4real macrumors 68030

    srf4real

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    Jul 25, 2006
    Location:
    paradise beach FL
    #14
    Establishing and using credit is paramount to success in today's society. From buying your first new computer to your first new home..to getting good rates on insurance.. Even many employers now screen prospective hires using their credit score. My advice, start early, be responsible, do not charge things you can not afford to pay 20% down right now on even if you choose not to. Have a large savings account that matches or beats your available credit. ;)

    I started with a secured VISA; gave the bank 500 bucks and they issued a card with $500 limit. Within six months of responsible use my secured deposit was returned to me and I was on my way!
     
  15. Davidkoh macrumors 65816

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    Aug 2, 2008
    #15
    I think the way American loans and banks work is a bit strange. In Sweden they care about your ability to pay back at the time being and in the future, and will also look at if you ever been unable to pay before. Having many credits in your past will only work against you if you want a loan or credit, even if you paid them properly.
     
  16. n8sco macrumors member

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    Mar 17, 2011
    #16
    It's more than a bit strange my friend. It's downright ridiculous. Only in our ridiculous system could your interest rate be jacked up to 30% from 9% when you've never had so much as a single late payment because other people aren't paying their bills and your being responsible isn't making the bank money. People are almost encouraged to get into debt here. The best way to get a credit line increase is to spend right up to your credit limit and then stop charging items for a couple of months. They sense you getting off of the hook and need to real you back in so they can make more money on you. It's truly a baffling system and no wonder that people have gotten themselves into so much debt.
     
  17. Davidkoh macrumors 65816

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    Aug 2, 2008
    #17
    Yep. I have to agree on this.

    As far as I know you can also take a loan with your house as security and then if you cannot pay your loan the bank takes your house and you walk away debt free, no matter how much the bank sells your house for.

    In Sweden the bank can make you sell your house in the same way, but your debt will only be written down by as much as the bank sold your house for. Any debt still remaining is your burden. Might be why the american banks want to see if you paid your interest in time before.

    I find it interesting though that countries can have so totally different credit and loaning policies.
     
  18. n8sco macrumors member

    Joined:
    Mar 17, 2011
    #18
    Yeah it's very weird. You guys seem to have it much more together in Sweden than we do over here. I think you pretty routinely cream us on global quality of life metrics.
     
  19. srf4real macrumors 68030

    srf4real

    Joined:
    Jul 25, 2006
    Location:
    paradise beach FL
    #19
    The main benefit of our American ways tho.. With good credit and zero interest loans we can maintain our savings and use current income resraints to afford large purchases without imminent risk of insolvency. Good or bad, I leverage this aspect in the same way corporations keep healthy books while investing in growth.

    I promise you- Apple has hoardes of cash and a credit line to match.
     
  20. EBS macrumors newbie

    Joined:
    Dec 30, 2010
    #20
    This won't be of much help to you, but I just thought I'd say it.

    Don't let the fact you got denied, or many of the people bashing credit cards and credit card companies turn you off of using credit. Credit can be such a good thing -- perfect to use in a pinch, but better to use as a financial tool.

    I feel like I'm ripping Visa off. I use their credit card frequently every month, pay off the balance, and receive reward points. Then, I redeem my points for $100 and $200 Visa gift cards. It's like they're paying me to borrow money from them for a few weeks at a time.

    It's just that right now, with the country's financial state, it is increasingly hard to attain any line of credit. My fiance is having a heck of a time getting started, even though she is quite responsible and has a very nice size bank account for a 22 year old.

    Anyway, I just wanted to throw my $.02 (on my Visa) in.
     
  21. KPOM macrumors G5

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    Oct 23, 2010
    #21
    Well, what's happening is that Visa charges the merchant about 2-5% of the total purchase price (the more business a merchant does, the less it costs them). With the new financial reform law, though, card companies have fewer sources of revenue, so those of us with good credit will wind up paying more, either through annual fees or reduced rewards. The card companies used to make quite a lot through late fees and high interest charges from people with poor credit habits. They still will, but not nearly as much as before since there will be caps on some of that.
     
  22. racer1441 macrumors 68000

    Joined:
    Jul 3, 2009
    #22
    No, now is the perfect time to do it.

    I'm putting cash currency into Gold right now, and doing everything on credit. If it gets worked out, cash in the gold and pay the bills. If it doesn't, it'll be anarchy anyway, so just walk away from the credit cards with your stuff and gold.
     
  23. eckthroi thread starter macrumors regular

    Joined:
    Mar 10, 2011
    #23
    For one - what kind of statement is that to assume you know my financial state anyway. I have a average 683 credit score - I do have a car on loan and a 5th wheel as well- both with a total of less than 30k owed. I do have school loans but am currently still going so these actually help not hurt my credit. However my home is paid off and my expenses very minimal- My total monthly expenses is 1/3 of what I make. So to assume that my financial state is poor is incorrect. The biggest problem I have been encountering is that I dont have a long payment history. Until a few months ago I always paid everyt.hing by cash. I have made a couple investments lately and those will be paid off within a few years as well. I will have the money right before the B2S ends, however I was wanting one before I started classes. I asked this question because I wanted to know if there was a possibility that BB would approve when Barclay didnt so that I could get it before classes start.
     
  24. KPOM macrumors G5

    Joined:
    Oct 23, 2010
    #24
    With a 683 credit score, it's hit or miss. 660 used to be the cutoff above which just about anyone and everyone would give you a card. That changed in 2008, so it's harder to tell. Best Buy might just give you a card. Do you have any other store cards? HSBC is Best Buy's card provider, and they provide lots of other store cards, as well (I think Home Depot is one of theirs). If so, check your disclosure statement to see who is providing you credit. If it's HSBC, then they would be more likely to give you another card at Best Buy.

    Barclays can be fickle. Like others have said, they find excuses to close accounts that aren't being used, and they can be sticklers about waiving late charges, etc. I have cards issued through most of the big banks (Chase, B of A, Citi), but it's hard for me to judge which company is easiest to deal with since the last time I was denied a card was when I was living in the UK 7 years ago (and had the same lack of history problem).
     
  25. stevenpa macrumors 6502

    Joined:
    Jun 28, 2011
    #25
    If you pay off your credit card bill each month in full it is essentially cash with .25-5% back depending on the card / spending. If you don't, then you have a problem.

    First, you should never buy things in cash when you can buy with a credit card and pay off immediately. It's not necessarily the low % cashback/rewards, it's what paying by credit card gives you. Cash purchases that are returned may give you store credit, while the credit card is almost always refunded. You can get insurance (for example AMEX doubles the warranty, plus if it's stolen with a few months you get your money back).

    The only time cash is the best way to buy something is when it's the only way to buy something. As for jobs, you should have a rainy day fund that will cover you in case something happens.
     

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