AmEx Application Declined

Nuclearvodka on 27/02/2024 - 19:16

I had an Amex credit card for a few years with absolutely no missed repayments, no default of any sort and I cancelled it when Covid hit, as I didn't want to pay the $395 per year fee if I wasn't going to use it.

Fast forward 3 years, I make more money, I have bought my own place, my credit score is the same (or at the very least has improved) and somehow, they declined my application.

The only reason I can find, is that I now have a HECS debt since I went back to uni during Covid.
But when I called, all the customer service guy could say, was his scripted line saying the calculation score meant that I was uneligible.

I make much more than the minimum amount
I have no debt, no other credit card.
I had a card with them in the past and didn't miss a single payment.
And they declined my application without even asking any further questions or asking for more documents.
What kind of service is that?
The person on the phone was a broken records and clearly did not want to move away from his script.

I am baffled by that lack of flexibility or transparence in their prossess.
I genuinely do not understand how/why they made that decision.

I could have entered any bullshit, say that I do not have a HECS debt and it would have been approved.

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Comments

  • paloverde88 on 01/03/2024 - 19:54
    -1

    what a load of rubbish lamenting unable to carry more debts.

  • paloverde88 on 01/03/2024 - 19:55

    I think it is better to worship cash than worship American Express

  • mikeykay on 01/03/2024 - 22:39
    +1

    Soooo my wife was declined with absolutely no reason, I then applied similar situation to you uni degree finished 2022 ie hecs debt. The only thing the wife did differently was she nominated a credit limit. That's my best input here lol

  • hibiscus on 01/03/2024 - 23:51

    Don’t take it personally. The first time I was declined I was soo indignant. But I churn all the time, have a high salary, minimal debts, high credit score, and I never hold more than 2-3 credit cards at a time, still get declined here and there. I just apply for another bank.

  • haemolysis on 02/03/2024 - 03:15

    I think most people get angry when rejected assuming they’ve been assessed as unable to service, but actually credit institutions are doing two checks:

    1) That you can service the maximum possible debt on an indefinite basis.
    2) That you have a poor enough cash flow that you ACTUALLY incur some debt.

    It’s a balance between the two. Banks don’t want someone to miss mandatory payments, sure… but they also don’t want to capture people who are responsible and at liberty to pay off all their bills without incurring interest.

    Getting the balance right is hard to guess without seeing their algorithm. Likely, your expenses are even too low.

    • Baghern on 02/03/2024 - 09:54

      2) That you have a poor enough cash flow that you ACTUALLY incur some debt.

      I dont obsessively churn, but I went through a period of rejections, so I took some advice regarding debt and artificially increased it… no more rejections

  • milobob on 02/03/2024 - 08:59

    It's much harder to get credit cards now.

    They test your income against a very high interest rate.

    The fact that you now have a mortgage and HECS debt is enough to tip the scales to "can't service"

  • Baghern on 02/03/2024 - 09:50
    -1

    Wow the op is on one…

    You're not special

    Unless you've had your head in the sand, a lot has changed in the last few years, especially when it comes to credit

    For the first time I had AMEX call me to confirm and get more detail

  • bonking on 02/03/2024 - 11:16

    I applied last week for Amex ultimate Qantas card, got declined as well.
    I think I underdeclared my expenses. Currently I have no mortgage and my total credit card limit with other banks is $25.000.

    My last Amex card was 2 years ago.

    • sim777 on 06/03/2024 - 10:01

      Yes, similar boat. I think they (amex) almost want to see that you will have substantial expenses and late payments rather than pay every statement with ease

  • ddilrat on 02/03/2024 - 14:45

    You've bought your own place and you have HECS. At least one of those IS debt

  • IM-Cheap on 02/03/2024 - 14:57
    +1

    Had a similar experience last year with ANZ black card, no explanation on why and I had the same credit limits and earned 30k more than the last time I held the card. My sister who worked another bank said it was probably due to a change in lending criteria. Lowered my credit on current cards by 6k and approved, would have been so much eaisier if they'd just say that was the issue.

  • Doboman on 11/03/2024 - 14:49
    +1

    Found Amex have change the rule a bit now. I did ask for a credit increase but was declined.
    HSBC last 10 year never could get a card. They seem to have some sort of a black mark on me. But when I applied for my wife as a test , that got approved.
    I think every bank is different also changes rules time goes by.

  • ozbargainerlife1 on 11/03/2024 - 16:47

    amex doesnt like churners

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