What defines income for a credit card application?
Apr 25, 2019, 3:15 pm
#16
Join Date: Apr 2019
Posts: 251
Go ahead and include it, if you want. I'm just saying it doesn't matter. When you are showing ~$100k income, spending nearly that much on credit cards each year, have a house worth a $1M and no debt the banks know what is up. This is hardly a unique situation.
Apr 25, 2019, 3:48 pm
#17
Moderator
Join Date: Jun 2003
Location: Miami, Mpls & London
Programs: AA & Marriott Perpetual Platinum; DL & HH Gold
Posts: 48,954
I don't think there is reason to exclude any verifiable income, taxable or not. The question is what to list if your actual income is low, but your assets are ample.
Apr 25, 2019, 4:48 pm
#18
Join Date: Apr 2019
Posts: 251
Are people with substantial assets actually being denied credit cards for low income?
Last edited by time_stamp; Apr 25, 2019 at 7:38 pm
Apr 25, 2019, 4:57 pm
#19
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Join Date: Jun 2003
Location: Miami, Mpls & London
Programs: AA & Marriott Perpetual Platinum; DL & HH Gold
Posts: 48,954
Apr 26, 2019, 10:08 am
#21
Join Date: Jul 2014
Location: Western US
Programs: Costco Executive Member, Amazon Optimus Prime
Posts: 1,251
Apr 26, 2019, 4:44 pm
#23
Join Date: Jul 2014
Location: Western US
Programs: Costco Executive Member, Amazon Optimus Prime
Posts: 1,251
Dec 8, 2023, 9:08 am
#24
Join Date: Sep 2015
Location: flyover country
Posts: 2,435
Yes, the last post was 4.5 years ago. But I came up with a situation that I didn't see addressed.
I rolled over some retirement funds, being careful to follow the rules so that it was a tax-free event. However, my federal form 1040 showed the rollover amount in the income section (as non-taxable income). Do I get to count it, since it is in the income section? It would mean my annual income went up by an order of magnitude.
If I can count it, then I could roll it over again in a subsequent year, and again have that huge (non-taxable) income in that year. And so on.
This borders on the question of assets, but is different because money was actually reported in the income area of form 1040. But the income wasn't available for paying credit card bills. But the income could have been available for paying credit card bills (after paying taxes).
What do you think?
I rolled over some retirement funds, being careful to follow the rules so that it was a tax-free event. However, my federal form 1040 showed the rollover amount in the income section (as non-taxable income). Do I get to count it, since it is in the income section? It would mean my annual income went up by an order of magnitude.
If I can count it, then I could roll it over again in a subsequent year, and again have that huge (non-taxable) income in that year. And so on.
This borders on the question of assets, but is different because money was actually reported in the income area of form 1040. But the income wasn't available for paying credit card bills. But the income could have been available for paying credit card bills (after paying taxes).
What do you think?
Dec 8, 2023, 10:08 am
#25
Join Date: Oct 2004
Location: Indianapolis area
Programs: Marriott Lifetime Titanium
Posts: 436
Yes, the last post was 4.5 years ago. But I came up with a situation that I didn't see addressed.
I rolled over some retirement funds, being careful to follow the rules so that it was a tax-free event. However, my federal form 1040 showed the rollover amount in the income section (as non-taxable income). Do I get to count it, since it is in the income section? It would mean my annual income went up by an order of magnitude.
If I can count it, then I could roll it over again in a subsequent year, and again have that huge (non-taxable) income in that year. And so on.
This borders on the question of assets, but is different because money was actually reported in the income area of form 1040. But the income wasn't available for paying credit card bills. But the income could have been available for paying credit card bills (after paying taxes).
What do you think?
I rolled over some retirement funds, being careful to follow the rules so that it was a tax-free event. However, my federal form 1040 showed the rollover amount in the income section (as non-taxable income). Do I get to count it, since it is in the income section? It would mean my annual income went up by an order of magnitude.
If I can count it, then I could roll it over again in a subsequent year, and again have that huge (non-taxable) income in that year. And so on.
This borders on the question of assets, but is different because money was actually reported in the income area of form 1040. But the income wasn't available for paying credit card bills. But the income could have been available for paying credit card bills (after paying taxes).
What do you think?
Dec 8, 2023, 2:28 pm
#26
Join Date: Sep 2015
Location: flyover country
Posts: 2,435