Introduction
If you haven’t read my huge bank ban post yet, you should read it here. A reader actually shared this story before I wrote the post, which may have pushed me to write the post.
What happened
The reader actually applied for the Comenity Virgin America card as part of an AOR with a couple of Chase, some BOA, Barclays, AMEX, etc. He then got the card and made 2 charges on it. And that was that. A week later he got this in the mail. It essentially says that he had too many recent inquries on his credit report. Getting shut down always sucks, but to get shut down after getting the card and the hard pull just burns that much more.
Lessons Learned
Once you factor my Comenity shutdown with this reader’s, it’s safe to say that a) you shouldn’t do an AOR with them and b) you should not apply for any cards or even use the cards that much for the first 6 months to let it marinate. I’m not sure how often Comenity keeps checking your CR, but they definitely will do it after 3 months.
Lets dump a guy with near perfect credit….makes a ton of business sense.
Gotta file a complaint. This is negligence on their part. They are messing w/ people’s credit report doing this. They have a right to approve or not when you apply, but to approve then turn around and close an account within a week, that doesn’t seem right. Now this person’s credit report will have the following line item: an account w/ the line “account closed by grantor.”
It would have been so much better if they never granted him the credit to begin with. They had the same information they had when they granted him the credit then decided a week later to close the account. There was no new information.
Agreed. They are assholes. CFPB won’t do anything; they’ll just say they have the right to monitor your CR. Maybe complaining to all 3 companies may do something.
Agreed. I had the same issue and filed a BBB complaint and CFPB complaints.
876 credit score is unreal. Too much, too fast.
It is unreal, but he does aor’s every 3 months. it’s an anomaly that his score is that high.
A credit score of 876 suggests that someone isn’t churning hard enough. Perhaps a large fold-increase in total credit line rather than # of inquires may be the issue.
nah I talked to him. he does aor’s every 3 months. it’s an anomaly that his score is that high.