Overdraft Protection w/no Inquiry

Discussion in 'Credit Talk' started by VJ, Sep 4, 2001.

  1. VJ

    VJ Well-Known Member

    I've always encouraged overdraft protection for anyone with a checking acct as it's really a necessity, at least for anyone who could qualify.With it, you may never have to deal with the likes of Checksystems, ever.No more 4-5% cash advance fees, either.Alot of flexibility,and even more peace of mind.

    Some banks are tough with issuing o/d lines of credit.
    A credit analyst at Fleet/Boston at the time, told me they needed to see a 660 or more fico to approve(not 660 creditexpert-but 660-fico) and they do look at debt ratios closely and like to see them under 30%, 25% being better.
    At the time I applied for $5k ,my fico was 673 and debt ratio 23%.( She said I should have applied for more,GRRRRR)

    Interestingly, one day I opened up a new Chase checking acct,as I already had opened a Chase Plat cc acct about 2 months before. In the process of opening the checking acct, the rep says," You qualify for a $1000 line of credit, do you want me to add it to your checking?" My first question was "Is this going to result in a inquiry being pulled". He said no because I had a cc with them, they already had access to everything they needed.Standard operating procedure for them........Best guess, my fico then was 660-665.

    No inquiry ever showed... The acct will be 1 year old this week.They review o/d accts for automatic yearly increases weather you want one or not,again with no hard inquiries....

    I hope this helps alittle, good luck everyone.

  2. Nave

    Nave Well-Known Member

    Actually this helps alot! Instead of me applying for overdraft protection on my current checking acct (20+ years with same local credit union) and all the hassle that involves (huge application/paystub/tax returns/hard inquiry)...I wonder if I can open up a Citibank checking acct complete with overdraft protection since I now have 2 new cards from them maybe they have a similar offer. They have branches all over DC too!

    I am going to call Citibank tomorrow and inquire about opening up an account with them. Thanks for the idea VJ!

    -Peace, Dave

    GEORGE Well-Known Member

    DIFFERENT idea...SAVINGS account "TIED" to the checking...O/D if needed comes from savings...NEVER A FEE...
  4. MT

    MT Well-Known Member

    My BOA (Bank of America) checking account is tied to my savings account. I've never had an overdraft, but it is nice to know that I have a cushion for mistakes.
  5. IncomeHelp

    IncomeHelp Well-Known Member

    My Wells Fargo checking is tied to my Wells savings and works like overdraft. Small fee for the automatic transfer and no interest or payback.

  6. the other

    the other Well-Known Member

    Does overdraft report to the CRA's like a line of credit would?
  7. VJ

    VJ Well-Known Member

    Overdraft protection is a on-going line of credit and is reported as such to all three cras, with balance due and total credit line available.Minimum monthly payback payment is usually 2% of balance, although I've seen it as high as 3%.

  8. river

    river Well-Known Member

    ...Same here and no inquiry involved,which wouldn't make a difference since I have about 15-20 inquires on each report.
  9. lbrown59

    lbrown59 Well-Known Member

    Another Good Idea
    Put 100 500 or what ever in your checking account but dont list it in your check book .
    This method requires No
    Credit check
    Inst. charges
    Fees what so ever.

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