Why am I getting so many credit card offers when my credit rating would remind anyone of a cesspool?
by Author on Tuesday, August 24th, 2010 | 8 Comments
These banks are sick. Each month I must get about 5 to 10 offers to sign up for new credit card accounts, some of them pre-approved. My credit is certainly less than perfect.
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the word "preapproved" is bait… You aren’t preapproved…unless they give you something like a $25 limit with huge interest and penalties
The term "pre-approved" is meaningless. It is the bank’s way of encouraging more people to apply. If your credit is poor, then your application will be rejected once the bank has received it and examined your credit history
apply for one then you will know.
They think that because your credit is bad that you are desperate and therefore an easy mark, for the high interest, penalties, and yearly charges the place on the card.
There are two ways a bank may profit with credit cards. The first one thru the interest charged. This is as expected. The second way is thru late payment fees and such. You may think your credit is not good. That may be the reason you were targeted. The bank may hope you apply to one of their cards, pay late, bag YOUR late fee. Believe, they have the thing down to a science. They calculated you will pay, but that you will pay late at times.
If you want to opt out of these credit card offers (which I did because it is annoying and can be a way to expose yourself to identity theft should someone get in your mail), go to this website below:
https://www.optoutprescreen.com/?rf=t
It’s the site recommended by the Federal Trade Commission to opt out.
Once I received a rejection letter from a credit card company the same day I received a ‘pre-approved’ offer from the same company. The ONLY requirement to receive such offers is having an address. Visit http://www.optoutprescreen.com to stop most of the offers. It has worked for me for 3 months so far.
Well , i think it is due to the fact that most credit card companies do not "pre-approve", meaning they have no idea of your credit history. They also, in Canada anyway, cannot access your credit file without your express permission, unless you are already a customer of said bank or financial institution.
Sometimes it’s better that way! LOL, Hope this was something along the line of a logical answer for you.
Regards
Agent