New card applications?
#2
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Which card & which company are you asking about? All of them? I've not been asked to submit either. I was, however, asked about my 1099 income when I was appealing a rejection today. CSR didn't ask to see my Schedule C but wanted me to read the figures from it (Chase). Things have changed, heh?
#3
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Very few of the major banks (Chase, BofA, etc) will ask for physical proof of income. When you talk to them, they will ask you about income, etc, but its rare for them to have you fax anything in.
Almost all credit unions will want proof.
In both cases, about 90% of the time most underwriters are happy with your last two paystubs. With other 10%, they will want more. That could be w2's or 1040's, or 1099s.
For business card accounts, if they want proof, they will want 1040's.
Amex, especially if you're part of a "financial Review" will want the 4506-T from the IRS, which is a transcript of your last tax return.
Almost all credit unions will want proof.
In both cases, about 90% of the time most underwriters are happy with your last two paystubs. With other 10%, they will want more. That could be w2's or 1040's, or 1099s.
For business card accounts, if they want proof, they will want 1040's.
Amex, especially if you're part of a "financial Review" will want the 4506-T from the IRS, which is a transcript of your last tax return.
#4
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I believe best is referring to new rules that will require credit-card companies to consider an applicant's income or assets and current debts before approving credit. This WSJ article suggests the requirement can be met by using an income estimate provided by credit bureaus
http://online.wsj.com/article/SB1000...904801106.html
http://online.wsj.com/article/SB1000...904801106.html
#5
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"Tuesday, the Federal Reserve issued its final rules related to last year's Credit Card Act, which, among other things, will require credit-card companies to consider an applicant's income or assets and current debts before approving credit. To provide flexibility, however, the Fed said that issuers can use "a reasonable estimate" of income or assets based on "statistically sound models.""
When did they not consider income and assets before issuing credit? Or is this the elimination of "pre-approved" or "pre-screened" offers based on a soft pull of your credit report?
As far as the bureaus adding their estimates, I took that as another cash grab. Another 'product offering' to lenders.
Either way, i don't really care. I've done most of my borrowing with credit unions, so faxing in paystubs is SOP for me...
When did they not consider income and assets before issuing credit? Or is this the elimination of "pre-approved" or "pre-screened" offers based on a soft pull of your credit report?
As far as the bureaus adding their estimates, I took that as another cash grab. Another 'product offering' to lenders.
Either way, i don't really care. I've done most of my borrowing with credit unions, so faxing in paystubs is SOP for me...
Last edited by skofarrell; Feb 3, 2010 at 8:28 am
#6
Join Date: Oct 2007
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Very few of the major banks (Chase, BofA, etc) will ask for physical proof of income. When you talk to them, they will ask you about income, etc, but its rare for them to have you fax anything in.
Almost all credit unions will want proof.
In both cases, about 90% of the time most underwriters are happy with your last two paystubs. With other 10%, they will want more. That could be w2's or 1040's, or 1099s.
For business card accounts, if they want proof, they will want 1040's.
Amex, especially if you're part of a "financial Review" will want the 4506-T from the IRS, which is a transcript of your last tax return.
Almost all credit unions will want proof.
In both cases, about 90% of the time most underwriters are happy with your last two paystubs. With other 10%, they will want more. That could be w2's or 1040's, or 1099s.
For business card accounts, if they want proof, they will want 1040's.
Amex, especially if you're part of a "financial Review" will want the 4506-T from the IRS, which is a transcript of your last tax return.
Out of principle, I didn't send it to them and went to another issuer (offering the same type of card) with whom I have no history nor account. Approved immediately.
And by the way - WF then sent me another card (not the type I applied for) with a low-five-figure limit, and wrote that if I sent them my proof of income they would raise it. I shredded the letter (and the card).
#7
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I suppose it was the last decade or more when card issuers accepted self declared "household" income and didn't even ask about assets aside from "Do you own a home, rent, live with parents, other?"
Last edited by mia; Feb 3, 2010 at 10:18 am
#8
In memoriam
Join Date: Jan 2006
Posts: 4,020
IMHO, nope. Card issuers have been accepting stated income card apps for many more than ten years. Indeed, a main basis of credit reporting system is self declared income as transmitted via the merchant reporters.
I have had a LOT of credit cards and have NEVER been asked for documentation of claimed income.
The system is insane, but, the insanity is not a new development.
By the way, Chase is even wackier than many of the others.
I have had a LOT of credit cards and have NEVER been asked for documentation of claimed income.
The system is insane, but, the insanity is not a new development.
By the way, Chase is even wackier than many of the others.
#9
Join Date: Oct 2007
Programs: Plat:US,DL (ex KL,AF,LX,LY) Gold:BA,VS (ex CO,UA).Plat.SPG,HGP Diam.HH. ICHG Plat RA. Amex Centurion
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IMHO, nope. Card issuers have been accepting stated income card apps for many more than ten years. Indeed, a main basis of credit reporting system is self declared income as transmitted via the merchant reporters.
I have had a LOT of credit cards and have NEVER been asked for documentation of claimed income.
The system is insane, but, the insanity is not a new development.
By the way, Chase is even wackier than many of the others.
I have had a LOT of credit cards and have NEVER been asked for documentation of claimed income.
The system is insane, but, the insanity is not a new development.
By the way, Chase is even wackier than many of the others.
#13
Join Date: Sep 2007
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It's my understanding the CARD act doesn't address business cards so whether issuers choose to play by the new consumer rules on business cards or not is, as mentioned above, a YMMV situation.