The Hidden Rules of Credit Card Approvals
5/27/202651 min
#280: Learn how to dramatically improve your odds of getting approved for the credit cards you actually want. Chris breaks down the hidden system every bank uses to evaluate applications, why your credit score matters far less than what's on your report, and the real factors driving denials, from credit-to-income ratios to recent inquiries to each issuer's internal model. He also walks through what to do before you apply, how to sequence applications across issuers, and the right moves to make after a denial. Link to Full Show Notes: https://chrishutchins.com/credit-card-approval-strategy. Partner Deals Quince: Affordable luxury essentials with free shipping + 365 day returns Mercury: Help your business grow with simplified finances Wispr Flow: Try effortless voice dictation for free Fabric: Affordable term life insurance for you and your family LMNT: Free sample pack of my favorite electrolyte drink mix For all the deals, discounts and promo codes from our partners, go to: chrishutchins.com/deals Resources Mentioned Credit Cards The Atmos™ Rewards Visa Summit Card The Business Platinum Card® from American Express Southwest Rapid Rewards® Plus Credit Card Capital One Venture X Business Capital One Venture X Rewards Credit Card Capital One Spark Cash Plus Tools & Resources Doctor of Credit MyFICO Forums LexisNexis Articles Complete Guide to Credit Card Application Rules by Bank ATH Podcast #221: Deep Dive on Credit Reports, Scores, and Their Real-World Impact #228: Deep Dive on Citi Credit Cards and ThankYou Points (Best 2-Card Combo) #236: Deep Dive on Amex Credit Cards and Membership Rewards Points #242: Deep Dive on Capital One Credit Cards and Miles (+ Why I Love Them) #247:Deep Dive on Bank of America Credit Cards (Up to 5.25% Cash Back) Best Cards Page AMA: Submit A Question Newsletter Leave a review: Apple Podcasts | Spotify Email for questions, hacks, deals, and feedback: podcast@chrishutchins.com Full Show Notes (00:00) Introduction (03:50) Why Chris Lets His Cards Report High Balances (05:06) When Your Credit Score Actually Matters (05:53) Why Business Cards Stay Off Your Credit Report (06:39) What Actually Counts as a Business (10:55) How Your Credit-to-Income Ratio Drives Approvals (14:48) What Your Payment History Reveals (15:08) Why Recent Inquiries Can Sink Your Application (17:44) The Chase 5/24 Rule Explained (18:44) The Hidden Internal Models Banks Use (19:18) Diagnosing a Listener's Surprise 820-Score Denial (24:56) What to Check Before You Hit Submit (25:55) Sequencing Business Card Applications for Approval (28:05) The Best Personal Card Offers Right Now (28:50) Why a Checking Account Can Boost Your Odds (30:10) Using Frozen Credit Bureaus to Your Advantage (32:37) Tag-Teaming Applications With a Partner (33:32) Why Last-Minute Fixes Don't Work (34:32) Using Pre-Qualification Tools to Avoid Hard Pulls (34:49) Cutting Unnecessary Credit to Get Approved (35:27) What Actually Happens After a Denial (40:54) When It Makes Sense to Close a Card (44:26) The Hidden Value of Card-Linked Offers (46:15) Every Major Bank's Application Rules (48:45) The Mindset Shift That Changes Everything Connect with Chris Newsletter | Membership | X | Instagram | LinkedIn Editor’s Note: The content on this page is accurate as of the posting date; however, some of our partner offers may have expired. Opinions expressed here are the author's alone, not those of any bank, credit card issuer, hotel, airline, or other entity. This content has not been reviewed, approved or otherwise endorsed by any of the entities included within the post. Learn more about your ad choices. Visit megaphone.fm/adchoices
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First 90 secondsChris Hutchins· Host0:00
At any given point in time, there are plenty of lucrative welcome bonuses on credit cards, a hundred thousand points, two hundred thousand points, sometimes even more. And who doesn't want that? Now, maybe you've already had some of those bonuses, but here's something that happens to almost everyone eventually: you get a denial. It's happened to me, and just this past week, I got an email from someone with an 820 credit score who got denied for a card he was sure he would qualify for. For some, it's getting denied on that card you really want. For others, it's a string of denials across different issuers, and it's rarely because something went wrong with your credit score. What's actually happening is that there is a system behind every credit card approval, one that every bank uses, even if they each tune it a little differently. Today, I'm gonna walk you through how that system works, what banks actually look at when you apply, and how to improve your odds of getting approved for the credit cards you actually want. Let's start looking at my own credit report, and if you pulled my FICO score, it swings anywhere from fifty to eighty, even a hundred points in various different months. Sometimes it's as high as 850, and sometimes it's in the mid-700s. So the question is, why? Well, sometimes my cards report with really high balances and look like they're being eighty, ninety percent utilized, which is true, but it's not that I'm carrying any balances. I'm always paying in full. I just pay after the statement closes, not before. Now, there is a way to avoid this. You can pay your statement before