andrewlohnes

Hello, I have searched and looked on the wiki and haven't found what I'm looking for. Also I've always been a bit confused about AMEX hence why I have never applied for 1 before, it's always seemed aimed at the business type man to me. But basically I'm going to apply for 1, it will give me 18 months of credit paid off monthly ready for when I move to the US.

My question is, is it ok for me to apply for just 'the basic' card? It doesn't have a annual fee which obviously I'd prefer and I'm not interested in the rewards and will only spend and pay off probably £200-300 a month anyway, but the basic card should still be transferable in the US, right? Or should I go for 1 with a annual fee?

Thanks.

lansbury

I only had a basic card UK card and got a US one no problem.

andrewlohnes

perfect, thanks.

GeoffM

Just make sure you get it direct from AMEX, not a store card with an AMEX logo or whatever. I had the BA Exec Club one, earned enough for a "free" upgrade which was more useful for the baggage allowance than BA's perception of an "upgrade".

andrewlohnes

Wirelessly posted (Nokia113/2.0 (03.32) Profile/MIDP-2.1 Configuration/CLDC-1.1)

Cheers, yea I went on the AMEX website, a bit weird I had to print the form out rather than apply online, it was like going back to the dark ages!

andrewlohnes

OK so I had my Amex approved Friday and should have it by the end of the week, this will give me 18 months of Amex credit history for when I move.

I know it's nothing compared to some of you guys but I'm hoping to have $20,000 saved up so will have money for deposits on stuff e.g - mortgage, car finance, utilities etc. After a month or so of having a full time job will 18 months of Amex history be enough for a mortgage? I'm doubting it will be but would like to get on the property ladder ASAP, renting is dead money.

Pulaski

A standard US deposit is 20%, and getting a mortgage for more than 80% with a rather thin credit history might be challenging.

Also be wary about putting down too many roots too soon after you arrive when the round trip buy-sell cost of a house is about 10% of what you eventually sell it for (the largest cost is the 6% that most realtors take from the sale). Renting might be appear to be dead money, but it can be much better financially than owning a house for 2-3 years. And if you're the owner of a house, even a small one, if you get left needing a roof or a new AC system you can expect to wave goodbye to $8-10,000 that you'll never get back when you come to sell the property. A roof that doesn't leak and AC that works is what people expect, they're not going to pay extra for.

andrewlohnes

Thanks Pulaski, my dad did say renting for a year or so would probably be for the best and I see people on here say it aswel so you can judge what a area is like and stuff. I suppose I'm just getting to that age (27) where I'd like to own a property rather than pay someone else's mortgage! But at the same time I like to think I'm quite sensible, so if renting is the best option then that's what I'll do.

MarylandNed

Using a UK Amex card is not going to do anything for your US credit history. It'll have no effect on your ability to obtain US credit with one exception - it should make it easier for you to get a US Amex card. I did exactly the same thing when I moved to the US 16 years ago. I was having trouble getting a US credit card so I called Amex and told them I had one of their cards in the UK and asked them if I could get a US card based on my good payment history with them in the UK. They did some checking and obliged. I also did the same with my MNBA card but they have disappeared now (swallowed up by Bank of America).

As for whether renting is "dead money", that really depends. Having a US mortgage is beneficial because of the mortgage interest and property tax deductions in the US. However, many people can't afford to sell because they are "under water" - i.e. they owe more on their property than it's worth. Renting does give you more mobility and an opportunity to scout out various different areas before deciding to take the plunge and buy a property.

Pulaski

I might be wrong, but I thought someone had once said that AMEX imports your UK AMEX credit history into their US systems, and then that gets reported to the credit reference agencies. So three months after he arrived the OP would have a 21 month credit history. I've never tried to prove if that is the case for me.

andrewlohnes

Cheers Ned, I guess that is like negative equity then. Its interesting what you say about Amex credit history, obviously I don't know for certain either way but presumed your UK history with Amex would be transferred to the US. I shall find out for certain in 18 months time and let people know for definate!!

FinnDiego

AMEX seems to report the total time you've been as an AMEX customer as the age of the account, even though you've only had a US AMEX for shorter time. At least that's what my mortgage folks saw in my credit report, going all the way back through two transfers.

FWIW my bank wanted to see three credit references. Luckily I decided to take a car loan for my current car so am good there - two cards and a car loan. Now all I need is to find a house...

MarylandNed

Foreign credit history cannot be transferred to the US.

hungryhorace

It's false. AMEX state you have been a customer since the year you took out the card, but your credit history does NOT transfer over.

andrewlohnes

Ah well that sucks a bit, I'm going to try and open a bank account in November with Chase and try to get a credit card through them aswel. But I was hoping the Amex history transferred over, that's a bummer.