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credithacker

Navy Federal Business Card Approvals & High Utilization?

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I need to apply for a business card that doesn't report to personal credit. Does anyone know how NFCU views higher utilization on their personal cards for approving business cards? I have the 4 accounts below with them, credit in the 680 range with perfect payment history. Just don't want to waste the inquiry if chances of getting approved with them are low. 

 

Account / limit / balance %
$25,000 > $22,251 > 89% NFCU CC

$15,000 > $13,350 >  89% NFCU CLOC

$25k 1/year > NFCU Auto Loan

$17,800 > $ 0 > 0%  NFCU CC / 0% (Auth user)


Other Accounts / Utilization:
$35,500 > $31,500 > 89% (Chase)
$ 5,000 > $ 1,445 > 28% (Chase)
$ 3,000 > $ 867 > 28% (Chase)
$ 1,000 > $ 0 > 0% (Wells)
Auth User CC's
$15,800 > $ 0 > 0% (Chase)
$ 9,000 > $ 0 > 0% (Chase)
$ 4,100 > $ 150 > 3% (Wells)
 

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Maybe if your income is significant but wouldn't be surprised if they gave you a small limit if they approve you.

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NFCU is pretty sensitive to debt-to-income and overall utilization. You have some pretty high balances, so unless you have a very high income and other high limit cards with no balances to offset them, I would expect your approval chances to be fairly low.

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4 hours ago, cv91915 said:

What would happen if you "wasted an inquiry"?

I know most people on here say not to worry about inquiries but it's caused issues for me in the past and my fiancee was just turned down for a balance increase on a 11 year old Wells Fargo card she has because of inquiries and she has 780+ credit. In addition to applying for a business card, I was also going to apply for a personal loan to consolidate some of the CC debt. Not sure how they will look at it as well. Just trying to play it safe which I didn't do in the past. 

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2 hours ago, semistatic said:

NFCU is pretty sensitive to debt-to-income and overall utilization. You have some pretty high balances, so unless you have a very high income and other high limit cards with no balances to offset them, I would expect your approval chances to be fairly low.

Thanks DTI & income is fine. I listed all my cards, not sure how they view auth users but I do have a $17,800 Navy Card with zero balance and a $15,800 Chase zero balance. Actually just pulled my report and my scores are over 700, not sure if that matters much. 

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6 hours ago, cv91915 said:

What would happen if you "wasted an inquiry"?

Also score is 701 so will probably knock that under 700 once it's pulled

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Honest question.  If you were NFCU and looked at the figures you just supplied, would you give you another high limit unsecured credit instrument?

 

Try AMEX, Barclays, BofA, Citi. 

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6 minutes ago, Konrad2012 said:

Honest question.  If you were NFCU and looked at the figures you just supplied, would you give you another high limit unsecured credit instrument?

 

Try AMEX, Barclays, BofA, Citi. 

Thanks for the response. Well depends how they factor things. I always pay early and pay off in bigger chunks, most of the CC balance is from balance transfers from my Chase cards that are a higher APR. Also I would assume they would base some off the business which is a 13 year old LLC with 10 or so good trades. 

Was actually considering US bank or a card backed by Elan. Are the ones you sent easier to get approved for or do you just think NFCU will just look at my high util on their cards and not want to take the risk? 

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While it's meaningful to you that those balances came from higher APR cards, the fact is it's unsecured debt and you're maxed. 

 

The lenders I listed are major banks with good biz CC products.  AMEX, BofA, Citi (and Chase) all have no AF biz CCs.  US Bank, Wells Fargo and loads of others also offer business CCs. 

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That a serious debt loads you acquired bros. Not trying to rain on your parade. The situation you're in is unequivocally serious. Your app for additional credit is just not being realistic, apps approvals will not come to fruition, extended CLIs by NFCU or be by others will be denied. Just by seeing your current utilization reporting is enough to scare-off away future potential creditors. Hence, better positioning yourself by not to apply for any more credit meantime to aggressively paying down your debts.

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On 7/13/2018 at 11:33 AM, credithacker said:

I know most people on here say not to worry about inquiries but it's caused issues for me in the past and my fiancee was just turned down for a balance increase on a 11 year old Wells Fargo card she has because of inquiries and she has 780+ credit. In addition to applying for a business card, I was also going to apply for a personal loan to consolidate some of the CC debt. Not sure how they will look at it as well. Just trying to play it safe which I didn't do in the past. 

One time my brother got detained at Target because he was suspected of shoplifting. 

 

He had picked up some condoms and walked them over to the greeting card aisle and dropped them into an unsuspecting elderly woman's cart, so he could watch her surprise when she loaded the contents of her basket onto the belt at check-out.

 

Yet I don't tell people that they risk detainment when they buy condoms in a store.

 

With the exception of some fringe issuers, inquiries don't matter.  It's not uncommon for AA letters to list items with little to no effect on the outcome, and it's equally common for the issuer's clueless employees to insist that the reasons on the letter are accurate.

 

Unless you have a thick, aged profile, the AAOA hit from a new account will likely cause noticeable score damage, yet most people think nothing of the new account when they need or want new credit... but they recoil at the thought of the inquiry(ies) required to obtain it because of some voodoo they've read about online.

 

Edited by cv91915

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You have 45% overall utilization with nearly $60k in revolving debt and barely a 700 credit score. I think your approval chances are very low. Instead of applying for a credit card, you should first get a consolidation loan to reduce the revolving utilization. Once this happens, your score will improve which will give you more options.

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On 7/13/2018 at 3:58 AM, cv91915 said:

What would happen if you "wasted an inquiry"?

 

Inquiries matter.  I wish you cats would stop insisting they don't.  Yeah, they matter very little and often times have absolutely no impact on your scores, but there are many situations where inquiries matter and actually (on a rare instance) influence a make-or-break event.

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18 hours ago, nooneimportant said:

You have 45% overall utilization with nearly $60k in revolving debt and barely a 700 credit score. I think your approval chances are very low. Instead of applying for a credit card, you should first get a consolidation loan to reduce the revolving utilization. Once this happens, your score will improve which will give you more options.

I was planning on apping with Marus for the consolidation loan first but they only use personal bank statements and I run everything through my company. Anyone in particular that you'd recommend? 

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17 hours ago, ubercat said:

 

Inquiries matter.  I wish you cats would stop insisting they don't.  Yeah, they matter very little and often times have absolutely no impact on your scores, but there are many situations where inquiries matter and actually (on a rare instance) influence a make-or-break event.

 

I'm going to meow like this forever. 

 

Here is a list of "negative" info that matters less than inquiries:

 

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4 hours ago, credithacker said:

I was planning on apping with Marus for the consolidation loan first but they only use personal bank statements and I run everything through my company. Anyone in particular that you'd recommend? 

I used SoFi. They required pay stubs as well as ID documents like driver's license, social security card, and birth certificate.

 

You should look into any credit unions you are a member of already. Other possible options include Discover Personal Loans, Lightstream by Sun Trust, and maybe Lending Club or Prosper.

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20 hours ago, ubercat said:

 

Inquiries matter.  I wish you cats would stop insisting they don't.  Yeah, they matter very little and often times have absolutely no impact on your scores, but there are many situations where inquiries matter and actually (on a rare instance) influence a make-or-break event.

Yes, inquires matter when applying for an additional account with the same creditor.  If they consider too many new accounts added since the last account opened with them or a very high total utilization, they can reduce the credit limits on their cards. 

 

This happened to me a couple of years ago when I applied for a mortgage loan.  They reduced the balances on my credit card and PLOC by less than half (0% total utilization but 3 new cards added no less than 6 months prior to the inquiry).

Edited by mikewilkes

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1 hour ago, mikewilkes said:

Yes, inquires matter when applying for an additional account with the same creditor.  If they consider too many new accounts added since the last account opened with them or a very high total utilization, they can reduce the credit limits on their cards. 

 

This happened to me a couple of years ago when I applied for a mortgage loan.  They reduced the balances on my credit card and PLOC by less than half (0% total utilization but 3 new cards added no less than 6 months prior to the inquiry).

You just made the case for why too many new accounts and high utilization matter.

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9 hours ago, nooneimportant said:

I used SoFi. They required pay stubs as well as ID documents like driver's license, social security card, and birth certificate.

 

You should look into any credit unions you are a member of already. Other possible options include Discover Personal Loans, Lightstream by Sun Trust, and maybe Lending Club or Prosper.

I'm a member of Navy Federal but the feedback I've been getting is since I have a $25k CC at 89% and a $15k CLOC at 89% util they may not be willing to extend any more credit to me. I also have a car loan and I'm on a $17.8k CC at 0% util as an authorized user which I would think may help?

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