American Express Essential Credit Card Rejection

givemethebestdeals on 25/05/2018 - 10:29

I'm a recent university graduate working full time (earning $55,000) per year and I recently applied for the Amex Essential Credit Card to use. After a few days I received a letter saying that my application was rejected to due the information that I had provided in my application. I have no other credit cards and no loans (apart from HECS) and was confused as to why my application was rejected.

Does anyone have any idea as to why they might have denied my application? The only other reason I can think of is that I've recently moved addresses and am currently living in my home for a period of 6 months

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Comments

  • Monday on 25/05/2018 - 10:32
    +1

    More speculation as credit can often be a black box… But the fact you have no previous loans/credit cards can usually go against you, especially on a higher-end credit card like an American Express. It might be interesting to have a look at your credit score through those free websites and see where it ranks you for your demographic. Also, if your "expenses" are high, that could also have a negative bearing on your application.

    It is annoying, because a credit rejection may further worsen your credit score…

    • givemethebestdeals on 25/05/2018 - 10:41

      My expenses aren't high at all, I only pay for phone, internet and food which is about $500-600 a month! I'm still living with my parents and don't pay rent. Quite confusing but yes, I was also scared it was because I had no previous cards. I've also just used getcreditscore.com.au and my credit score is within the 'good' range.

    • Baghern on 25/05/2018 - 13:52

      Its an essential card the basic card, he probably just didn't fill out the form wrong…

  • Randxyz123 on 25/05/2018 - 10:43

    Weird.
    Try applying for a ANZ card and then Amex.
    I’m on a similar salary and got the Qantas ultimate

    It’s useful to have a non Amex as well.

  • carlJack on 25/05/2018 - 11:05

    When you are getting your first credit card its better to do it through phone call rather than online where everything is automated. When you call the bank, the Bank rep can manually approve your application.Try getting a fee free card from one of the big 4 banks first. once you have a credit card wait for few months then apply for Amex. You have to build your credit history. It takes time. Just be patient.

  • ShannonN on 25/05/2018 - 11:31

    How recent is recent Uni grad? I mean have you had this job at 55k only since graduation?

    If so it may be a simple case of not working at a job for more than a year?

    • givemethebestdeals on 25/05/2018 - 11:43

      I've been with the company for 7 months

      • newjerseydamo on 25/05/2018 - 13:19
        +4

        There's 3 things I see:
        1) New job < 1 year
        2) New address < 1 year
        3) Low expenses

        Those most likely triggered it.

        Longer times in job and residence, and realistic expenses will give a better chance to get approved.

        *Just my personal opinion.

    • jdee87 on 09/04/2019 - 03:21

      Was thinking this could be to blame. In case it is (although we'll never know), I wish OP luck in the next application

  • djkelly69 on 25/05/2018 - 11:41

    Call them and ask why it was rejected, and see if anything can be done to fix it. It is not always just insufficient income, too many expenses, etc.

    I had a Westpac application rejected because my payslips didn't show my super on them, so they assumed I was not full-time and rejected the application. I called to discuss, sent them some documents, and got it approved a couple of days later.

    • givemethebestdeals on 25/05/2018 - 11:44

      I called to ask about my application but apparently no information was supplied as to why it was denied. The customer support lady just told me it could've been 1 out of 140 possible reasons as to why I couldn't get the card. She said if my details change in 3 months or so then to reapply then.

      The online amex application only asks for salary, expenses, company name etc. no documents

  • poohduck on 25/05/2018 - 11:41

    Why do you care? Go with someone else. Citibank is good if you're traveling.

    • givemethebestdeals on 25/05/2018 - 11:45

      I guess because I want to accrue the rewards with amex

      • LordSydney on 28/05/2018 - 18:17
        -2

        The surcharges applied by most retailers and places that accept Amex almost outweighs the benefits of the rewards…

  • theoracle30 on 25/05/2018 - 13:01

    My partner had the opposite experience - new-grad, just started working this year, just moved interstate for work. First credit card ever. Applied for Amex Platinum Velocity 3 weeks after commencing work. Got approved with no issues apart from further identity proof requested.

  • [Deactivated] on 25/05/2018 - 13:20

    That's weird. I had credit cards trying to get my business whilst I was in uni. Pre-approved.

    I thought they dish out platinum cards like cheap candy.

  • Ughhh on 25/05/2018 - 14:08

    I was in a similar situation, basically no credit history, Citi bank rejected me, didn't give a reason. A few months later I asked my bank that I have a history with, they gave me a platinum card with $20k credit. Higher chance of getting approved now.

  • payton on 25/05/2018 - 15:32
    +1

    You get a free credit report after rejection IIRC so see if there is anything wrong on the report

  • MarsTitan on 25/05/2018 - 16:21
    +1

    It is best to apply for your first credit card with the bank you generally do business with. Other than that, apply for a basic low limit card first.

    Try to avoid citibank, macquire and HSBC etc. Especially if it is your first card application.

  • Some Human on 26/05/2018 - 11:22

    Did you apply for some ridiculously high credit limit?

  • kt007 on 08/04/2019 - 19:06

    Today my application for Amex essential card got rejected, by strange i just applied online yesterday and a gentleman from Amex called me over the phone asked few questions and said after few minutes that application is not in my favor. This is second time happened to me in last 1 year. I am not going in to credit history and all that details but by the word of rep from Amex i assume my expenses what I declared was not in my favour. Can you people explain how much should we mention as living expenses in application for credit card other than mortgage. Also, if you have family then you mention living expenses for whole family or only personal living expenses. I am sure I was rejected on that ground both times. if you can all shed some light over living expenses to mention in credit card application especially in Amex…Thank you.

    • bluedufflecoat on 09/04/2019 - 22:11

      I got a call too, recently applied for the David Jones Amex. I requested for the minimum amount of credit because I already have other credit cards (another Amex), so I was only doing it for the perks. Got asked the same questions, but was successful. In terms of credit scores, I have not applied for a credit card for over 3 years.

      I think for you to be successful, you need to have enough income to cover all your expenses with some extra. I mentioned total family expenses.

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