Consumer complaint received 2021-05-20
Company: UNITED SERVICES AUTOMOBILE ASSOCIATION
State: FL
Product: Credit card or prepaid card
Sub-product: General-purpose credit card or charge card
Issue: Getting a credit card
Sub-issue: Application denied

Complaint:
USAA XXXX XXXX XXXX. 
XXXX XXXX, TX XXXX XXXX XXXX XXXX Dear USAA Underwriting I would like to ask you to reconsider my application for your Preferred Cash Rewards credit card. I recently applied and I was rather surprised to receive a denial regarding my application. Due to the numerous positive reviews shared by my family and friends with respect to this card, I would like to share some more information with you in hopes of obtaining an approval. 

In your letter, you listed that the reasons for the denial were : - Presence of a bankruptcy - Time since most recent bankruptcy is too short - Insufficient number of open real estate loans recently reported - Total available credit on recently reported open bankcard accounts is too low However, I would like to shed some more light and update some of these issues. Firstly, one of the reasons I have a bankruptcy due to almost losing my battle with XXXX by attempting to XXXX XXXX. I was in the XXXX for one week, and I had just started a new job so the medical insurance had not kicked in. The hospital Bill was XXXX XXXXXXXX and immediately put me in debt. Filing for bankruptcy was the only option to remedy the issue. 

To add, Its been 4 years since filing for bankruptcy, and as you can see, I have rebuilt my credit and boasts a 100 % payment history on all 15 positive accounts. 

Additionally, I do not have any real estate loans as I have never wanted to be a homeowner. However, Im interested in purchasing a couple homes and multi family properties for the sole purpose of XXXX and XXXX temporary rentals. Im currently in the process with XXXX XXXX of gaining my first mortgage pre-qualification. 

Furthermore, you stated the total available credit on recently reported open bankcard accounts is too low. This doesnt make any sense when all of my cards are under 30 % utilization. For example, I have a XXXX XXXX credit limit on my XXXX XXXX XXXX XXXX cash rewards is only XXXX XXXX, which is 15 %. My XXXX XXXX XXXX is {$300.00} balance out of {$3500.00}, which is only about 8.5 % utilization. 

The Preferred Cash Rewards credit card will prove especially useful to me because I travel a lot and the no foreign transaction fee feature is a great fit for me. Also, the 1.5 % cash back can be put towards the principal balance due every month. 

I sincerely believe that I deserve a chance with this card. Not only did I rebuild my credit within 6 months, but I currently gross {$140000.00} annually, and I have a pretty robust stock portfolio weighing in at {$39000.00}. I also have accounts with XXXX XXXX, XXXX, and XXXX Bank. If you are willing to give me a chance, you can even start me with a low credit line of {$5000.00} so I can prove to you my reliability and loyalty to this bank. My checking account currently has a balance of {$10000.00} to show Im worthy. 

I thank you for your time and reconsideration and I hope to hear back from you soon. 

Best, XXXX XXXX, XXXX

Company public response: Company believes it acted appropriately as authorized by contract or law
Company response to consumer: Closed with explanation