Recon letter - should I include other creditors increases

[Epic]

I'm two years out from BK7 and working on increasing my credit lines on my cards. I belong to four credit unions, all but one of them have increased my credit limits. One increased 25%, another 50% and a third doubled my line.

This last one (small, local CU) has denied me. In my recon letter, in addition to all the other standard recon statements, should I mention how I simply would like them to bring the limit closer to my other lines? Or would that make look like I am taking on too much risk?

I was also just approved for an auto loan, but have not used it (yet). Is that worth mentioning?

[justbroke]

I would be careful about telling the credit union that you doubled your available credit everywhere else. They may come back and deny you for "sufficient credit"! I was once going to buy a rather expensive watch at a local jeweler. They ran my credit. It came back denied as I had "sufficient credit" available to me. I did not want to put the watch on my VISA Signature card. I wanted a different (installment) account!)

Anyhow, your reconsideration letter should address the reasons for denial and why you should not be denied.

Please understand that I have never asked for a reconsideration.

[TXskyblue]

What were the reasons given on the denial letter? I would focus on the reasons listed and provide counterpoints or at least explanations.

I don't think telling them that everyone else is giving you CLIs and auto loans is going to work in your favor. For one, they can pull your credit report and see your credit lines. Two, it makes it sound like you're possibly overextending yourself.

In my opinion, calling the credit card company and asking to speak to the recon/approvals department is better than writing a letter. You can get a feel for what the person is thinking about your application and you can make a more direct appeal. I have no had much success with letters asking for recon, but I have had moderate success with calling for recon.

Remember that CUs tend to be conservative. CUs are all about relationships. Do you bank with the CU? I'm guessing not, but if you do then that could work in your favor.

[Epic]

It was an online denial, so waiting for the letter providing the reason. You're right, I'll provide reasons for extending our 'relationship' together. The new limits are not yet showing on my report as this was just within the past two weeks. I've always kept my utilization below 10% and PIF every month.

Yes, I do bank with them and have upper five figures in the accounts - which is what is baffling why I was denied.

[TXskyblue]

Since you bank with them, you might even be able to go into the CU and talk with the manager about your recon in person. I'd wait for the letter and evaluate the reasons they list for declining you.

[Logan]

Does it really matter what your limit is? You have enough credit and your credit will heal with time.

[TXskyblue]

Does it really matter what your limit is? You have enough credit and your credit will heal with time.

If you use your credit cards for daily purchases and pay it off at the end of the month, your utilization might be high which would negatively affect your credit score.

If OP is trying to buy a house, this would be be bad. In some states, mine included, credit scores are used in determining how much you pay for auto insurance. Therefore, everyone has an interest in keeping a good credit score.