Topic Wiki

1)   What is a Financial Review?
In short - American Express occasionally freezes the credit card accounts of individuals with high-risk patterns, or for new account holders.
They request a lot of personal information, such as IRS tax returns, bank statements, letters from Banks ect…

Let’s break it down into 2 different types of Financial Reviews
A)   Mini Financial Review
B)   Financial Review

A)   Mini Financial Review

(please fill in info) This form of financial review, is usually a short process, it could be as short as one phone call. American Express might feel a need to verify your finances for whatever reason, and they could call you to verify information. Your accounts could be suspended from using until you get in touch with them, typically they will restore your accounts after a simple phone call.

B)   Financial Review
This type of Financial Review is very common. It often happens when opening a new account for the first time, usually if you are opening a Charge Card, or a Business Card or if on a new account you start off will a lot of high spending.
American Express will suspend your account/s, they will not remove the suspension until the review is over, which takes around 2 weeks.

If you cannot provide the required information, shut down your account right away.

2)   Triggers

Look below for a list of triggers and links.
 
3)   What will happen?
Your accounts will get suspended. You will be able to log in online, and see account activity, but you will get a message that charging is suspended.

They will contact you via phone and email. Once you get in touch with them, (typically) you will be assigned a specific representative to work on your case.

The will require mainly IRS Tax returns. The point of a Financial Review is to verify your income. They may also require Back statements, a letter from a Bank to verify your address, and other documents. People have reported that they did survive a Financial Review with just bank statements.

As long as you could provide the documents they request you will be fine, they might lower your credit lines, but you should be able keep your account open. Even as low as a $6000 tax return people have been able to survive a Financial Review.

In cases of a Financial Review after opening a Business Card, you will need proof of Business income.

If you cannot provide the required information, shut down your account right away.

As long as you could provide the documents they request you will be fine, they might lower your credit lines, but you should be able keep your account open. Even as low as a $6000 tax return people have been able to survive a Financial Review.

4)   What Steps Should I take?

Get in touch with Amex as soon as you could. Send in the request inform promptly. You will have a rep that will be working with you, and telling you what documents are needed. 4506-t is a transcript request from the IRS for you last tax return. You will need to fill out this form, fax it to Amex, it will take them 24-48 hours until they receive this form, they will request the tax return from the IRS that could take about a week.

Important: you only have 2 attempts to send them the fax, if they reject it after 2 attempts you will get shut down. You don't get more than 2 attempts. (source)
You may be able to get 3 attempts if you ask for a manager.

You need to be on top of it, if you don’t follow thru, they could shut your accounts down.


5)   What to do if American Express closed your accounts?

Once American Express closes your accounts, the only way to get back on is if you have the required information needed to pass a Financial Review. They will require you to request a 4506 form from the IRS (which will cost you $57) before they even approve any of your future applications.


To start you may want to read up here:

F/R triggers:
[/color]


Credit line of $25k or more
http://www.dansdeals.com/forums/index.php?topic=1438.msg10906#msg10906

Family member receiving FR can cause other family members to get Fr'ed as well
http://www.dansdeals.com/forums/index.php?topic=6223.msg74003#msg74003 http://www.dansdeals.com/forums/index.php?topic=8.msg24759#msg24759

Living at same address as someone who was FR'ed
http://www.dansdeals.com/forums/index.php?topic=8.msg77046#msg77046

Using majority of CL
http://www.dansdeals.com/forums/index.php?topic=7526.msg87716#msg87716

Large cash advance
http://www.dansdeals.com/forums/index.php?topic=5908.msg82906#msg82906

Nothing...
http://www.dansdeals.com/forums/index.php?topic=2723.msg30062#msg30062

Changing name on business card
http://www.dansdeals.com/forums/index.php?topic=3589.msg38101#msg38101

Mint purchases
http://www.dansdeals.com/forums/index.php?topic=146.msg22932#msg22932

Amex Gift Card Purchases
http://www.dansdeals.com/forums/index.php?topic=2422.msg26670#msg26670
http://www.dansdeals.com/forums/index.php?topic=8.msg40106#msg40106

Unusual spending
http://www.dansdeals.com/forums/index.php?topic=8.msg7627#msg7627
http://www.dansdeals.com/forums/index.php?topic=3710.msg39597#msg39597

Amazon payments (possibly)
http://www.dansdeals.com/forums/index.php?topic=3657.msg88656#msg88656
http://www.dansdeals.com/forums/index.php?topic=3524.msg42436#msg42436

Using close to reported income
http://www.dansdeals.com/archives/2537

Logging in online too much (!)
http://www.dansdeals.com/forums/index.php?topic=8.msg13741#msg13741

Prepaying
http://www.dansdeals.com/forums/index.php?topic=1712.msg13732#msg13732
http://www.dansdeals.com/forums/index.php?topic=3710.msg39725#msg39725

Adding Cardholders (many?)
http://www.dansdeals.com/forums/index.php?topic=8.msg49318#msg49318

Refunds exceeding total payments made on the card since it was opened
http://forums.dansdeals.com/index.php?topic=8.msg845606#msg845606
[/font]
Though not exactly F/R, it's worth mentioning that Amex takes returned payments very seriously.
They often shut all accounts without going through the F/R process.

Author Topic: Amex F/R Master Thread  (Read 1818244 times)

Offline dans fan

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Re: Amex Financial Review
« Reply #480 on: July 04, 2011, 07:23:39 PM »
cant imagine anything

Offline aryeh1

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Re: Amex Financial Review
« Reply #481 on: July 05, 2011, 01:32:08 AM »
So is there a rule of thumb as to how much credit to avoid accumulating so as not to be FR'd?

Yes, dont have any amex cards

Offline easy48

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Re: Amex Financial Review
« Reply #482 on: July 05, 2011, 10:25:08 AM »
I think it is more just conjecture and speculation, but years ago, some forums suggested keeping total credit lines with AX under $25K, and even suggested that any credit lines showing up on your report over $25K, could be a factor in getting FR'd.

Another guess of mine, is that AX uses a "points" system to trigger a FR, with each factor being weighted, and if you go over a certain number of "points", it triggers a FR.

Any idea what AMEX considers the Platinum and gold where there are no specific amount of credit listed on the account?  SPG for example tells me how much but I also have Plat and Gold.  I would want to apply for more soon but DO NOT want to get an FR.  Ideas?

Offline ChMo

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Re: Amex Financial Review
« Reply #483 on: July 05, 2011, 02:12:15 PM »
Any idea what AMEX considers the Platinum and gold where there are no specific amount of credit listed on the account?  SPG for example tells me how much but I also have Plat and Gold.  I would want to apply for more soon but DO NOT want to get an FR.  Ideas?

I don't know how, or if, their charge products are factored into "total AX credit exposure".  You can use their "Check Your Spending Ability" tool, which appears on the AX website on your Summary of Accounts page, directly under the picture of each card you have.  This will give you an idea of your internal credit limit for your charge cards.

As far as getting FR'd - statistically, you should be fine, as only a smallish percentage of folks get FR'd.  And it seems that most folks getting FR'd, either changed their spending patterns, asked for a credit line increase, or did something that AX considered higher risk behavior.  Some people swear they did nothing to get FR'd, but that seems like the minority.

One idea, is to cancel the AX cards you don't need or use.

Personally, I just stopped worrying about it.  If it happens, it happens.  If you get FR'd, give 'em your 4506-T if your tax return income is reasonable.  Or, cancel all your cards yourself the same day, if your tax return can't hang.  Then re-apply when your tax return is strong.  Or even if it's not strong, since some people don't get re-FR'd, after they cancel and re-apply in the future.  If you let AX cancel your cards, though, by simply ignoring their FR, you will probably immediately get FR'd upon future re-application.  And, your credit report will show "closed by grantor".  It is more favorable to have your credit report show "closed by consumer".
« Last Edit: July 05, 2011, 02:49:48 PM by Matityahu »

Offline easy48

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Re: Amex Financial Review
« Reply #484 on: July 05, 2011, 02:16:32 PM »
I don't know how, or if, their charge products are factored into "total AX credit exposure".  You can use their "Check Your Spending Ability" tool, which appears on the AX website on your Summary of Accounts page, directly under the picture of each card you have.  This will give you an idea of your internal credit limit for your charge cards.

As far as getting FR'd - statistically, you should be fine, as only a smallish percentage of folks get FR'd.  And it seems that most folks getting FR'd, either changed their spending patterns, asked for a credit line increase, or did something that AX considered higher risk behavior.  Some people swear they did nothing to get FR'd, but that seems like the minority.

One idea, is to cancel the AX cards you don't need or use.

Personally, I just stopped worrying about it.  If it happens, it happens.  If you get FR'd, give 'em your 4506-T if your tax return income is reasonable.  Or, cancel all your cards yourself the same day, if your tax return can't hang.  Then re-apply when your tax return is strong.  Or even if it's not strong, since some people don't get re-FR'd, after they cancel and re-apply in the future.  If you let AX cancel your cards, though, by simply ignoring their FR, you will probably immediately get FR'd upon future re-application.  And, your credit report will show "closed by grantor" instead of "closed by consumer", which is less favorable.

Seems like sound advice.  Much appreciated.  Thanks!

Offline Nitantnel

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Re: Amex Financial Review
« Reply #485 on: July 06, 2011, 10:38:17 PM »
What do you guys think of a fake 1040 to send to amex, would that work?

Offline aryeh1

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Re: Amex Financial Review
« Reply #486 on: July 06, 2011, 11:19:47 PM »
What do you guys think of a fake 1040 to send to amex, would that work?
go for it!
They make you fill out a 1040 request form that goes to the irs (you dont send the 1040). The irs wont send them your 1040 if any info is incorrect.

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Re: Amex Financial Review
« Reply #487 on: July 07, 2011, 12:21:08 AM »
What do you guys think of a fake 1040 to send to amex, would that work?

Wishful thinking, not happening.

go for it!
They make you fill out a 1040 request form that goes to the irs (you dont send the 1040). The irs wont send them your 1040 if any info is incorrect.

They make you fill out 4506-T, which is a release for the IRS to give them transcripts of whatever form(s) they want to see..
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Offline aryeh1

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Re: Amex Financial Review
« Reply #488 on: July 07, 2011, 12:45:01 AM »
Wishful thinking, not happening.

They make you fill out 4506-T, which is a release for the IRS to give them transcripts of whatever form(s) they want to see..
they can only see your account summary-which is only your finanial info as the box is automatically filled on the 4506t. As far as i know you can provide any type of tax return,it doesnt have to be 1040.

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Re: Amex Financial Review
« Reply #489 on: July 07, 2011, 12:51:16 AM »
they can only see your account summary-which is only your finanial info as the box is automatically filled on the 4506t. As far as i know you can provide any type of tax return,it doesnt have to be 1040.

What box? ???
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Offline daganster

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Re: Amex Financial Review
« Reply #490 on: July 17, 2011, 12:06:22 PM »
I applied for a platinum amex 4 months ago. They requested that I fill out a 4506 for and have my banker confirm my home address, so I complied with all their requests. 4 months later I get approved and they send out a card (which I haven't yet received), but I'm being financially reviewed again!!! I'm not sure why they would ask me regarding my employment if they have my tax returns. It's really annoying, and I don't want to go through this whole hassle again. Isn't this bizarre? Are they losing it? 

Offline myb821

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Re: Amex Financial Review
« Reply #491 on: July 17, 2011, 12:14:06 PM »
I applied for a platinum amex 4 months ago. They requested that I fill out a 4506 for and have my banker confirm my home address, so I complied with all their requests. 4 months later I get approved and they send out a card (which I haven't yet received), but I'm being financially reviewed again!!! I'm not sure why they would ask me regarding my employment if they have my tax returns. It's really annoying, and I don't want to go through this whole hassle again. Isn't this bizarre? Are they losing it?
call them and ask tel them u just went through this why r they doing it again

Offline aryeh1

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Re: Amex Financial Review
« Reply #492 on: July 17, 2011, 12:19:24 PM »
What box? ???
on the 4506t form-theres a selection for which type of transcript requested.

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Re: Amex Financial Review
« Reply #493 on: July 17, 2011, 11:56:20 PM »
call them and ask tel them u just went through this why r they doing it again

+1

Hey Daganster, sorry to hear about all the drama.

Wishing you g'luck with your F/R, try what myb821 suggested, and please let us know what they say.
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Re: Amex Financial Review
« Reply #494 on: July 18, 2011, 07:12:22 AM »
Thanks guys, and I'll keep you posted. 

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Re: Amex Financial Review
« Reply #495 on: July 18, 2011, 06:56:23 PM »
been reading this forum today. Seems like the best way to avoid F/R is to have your limit under 25k. Is that per card or all Amex cards total?

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Re: Amex Financial Review
« Reply #496 on: July 19, 2011, 02:45:44 AM »
been reading this forum today. Seems like the best way to avoid F/R is to have your limit under 25k. Is that per card or all Amex cards total?

Best way is not to have Amex cards :P

(HT to whomever originally coined that response)

Seriously, there are a lot of possible F/R triggers, play safe and you'll probably be spared.
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Offline ChMo

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Re: Amex Financial Review
« Reply #497 on: July 19, 2011, 03:26:46 PM »
Best way is not to have Amex cards :P


Hahahahahaha!   :D

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Re: Amex Financial Review
« Reply #498 on: July 20, 2011, 04:57:16 AM »
Sure, best way to avoid getting hit by a car is to never cross the street ;)

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Re: Amex Financial Review
« Reply #499 on: July 20, 2011, 12:09:55 PM »
Sure, best way to avoid getting hit by a car is to never cross the street ;)

I live in Monsey.  I have to avoid parking lots and sidewalks as well.