But if you did get this card issued without your permission, it will have boosted your credit rating by showing that a lending institution is willing to credit you $30,000 (on top of whatever other credit margin you may have been aware of) and by showing that you don't spend all your credit. The article causes me to assume that the Wells card has no fee if unused.
Whether it has a fee or not, cancelling it will still negatively affect your credit rating.
(although I saw one nice suggestion, which is to use the fact that Wells Fargo will loan you 30K to get *actually good* credit cards from *actually good* banks, where the card benefits aren't shit. And once you have them, cancel the fraudulent WF card)
Yes, using the Well Fargo card as leverage to acquire a better card and then ditching WF is a good plan if you really do need that other card, or if you need a higher credit rating.
That's my reading: the existence of the card boosts your credit score artificially, cancelling it returns you to normal, there's no actual penalty based on that article, merely a reversion to actual status.
It's a bullshit method of assessing people, but this doesn't appear to be an actual overall hurt: if the act of cancelling a card in and of itself hurt you and reduced you below where you would otherwise have been that's an actual problem.
The act of reducing your available credit decreases your credit score *more* than not having the credit to begin with. Because it shows that someone thought you WERE a good risk, then changed their mind, meaning they thought you were now a BAD risk.
Credit scores be fucked, yo.
Fred "Slactivist" Clark has a nearly endless series on how awful credit scoring and credit scoring agencies are.
Rather, capitalism makes it exceedingly easy for us to fuck ourselves.
(Capitalism is built on positive feedback loops. The only intrinsic negative feedback event is economic crisises due to capital accumulation reaching critical levels. The other impactful negative feedback event would be war.)
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(no subject)
Date: 2016-10-03 09:19 pm (UTC)(no subject)
Date: 2016-10-03 10:03 pm (UTC)(although I saw one nice suggestion, which is to use the fact that Wells Fargo will loan you 30K to get *actually good* credit cards from *actually good* banks, where the card benefits aren't shit. And once you have them, cancel the fraudulent WF card)
(no subject)
Date: 2016-10-04 12:20 pm (UTC)(no subject)
Date: 2016-10-04 12:03 am (UTC)It's a bullshit method of assessing people, but this doesn't appear to be an actual overall hurt: if the act of cancelling a card in and of itself hurt you and reduced you below where you would otherwise have been that's an actual problem.
(no subject)
Date: 2016-10-04 01:04 am (UTC)Credit scores be fucked, yo.
Fred "Slactivist" Clark has a nearly endless series on how awful credit scoring and credit scoring agencies are.
(no subject)
Date: 2016-10-05 12:42 am (UTC)The last two times I had my credit score checked, I was told by the checker that I had the highest scores either had ever seen. How did I do it?
I have no idea.
And that's a real problem.
(no subject)
Date: 2016-10-03 10:35 pm (UTC)(no subject)
Date: 2016-10-05 02:41 pm (UTC)(Capitalism is built on positive feedback loops. The only intrinsic negative feedback event is economic crisises due to capital accumulation reaching critical levels. The other impactful negative feedback event would be war.)