Originally Posted by
Phasers
As a former chase banker (in a branch), I can definitely say that the Branch does in fact have the ability to manually override a credit card application denial and approve the card.
However, if a branch does this, then for the entire life of the account that branch is held liable for that account. Meaning if the branch approves you for a $500 credit line, and 10 years later it is raised to. $20,000 via credit line increases outside of the branch, and then the account gets charged off with a $20,000 balance, that branch takes a direct hit for the full $20,000 to their P&L.
Without a very significant banking/other relationship, that is something a branch simply won't do. In 3 years of working in a branch, we did it once. And that was the day I learned it was even possible.
You're talking about executive endorsements right? J.P. Morgan private bankers can do this as well, but as you said, it's extremely rare due to the liability involved. This is actually the first time I've heard of a retail branch doing this kind of thing.
Since you were a Chase banker, I assume you've dealt with special consideration forms as well? Can you shed some light on how much weight those things actually carry? My impression is that they are most useful to people with thin credit files, not those with bad credit files.