Well this is new

HurricaneHeather · 04-15-2009, 08:21 PM

So I have two credit cards with a large national bank.

Today I get two letters in the mail from said bank. One says: we are cancelling this card because you have sufficient credit on other accounts. (this card has no balance on it, but I use it on random occassions to keep it open.)

The other letter says that my credit limit has been reduced on the other card....reduced by 15K.

(this has a balance on it with stuff for my husband's school).

I have never had this happen before....I am at a loss for words.

Has this ever happened to anyone else? Is it because of the economy they think I might rack up all this credit and not pay it? Mind you, my account is in good standing, never had a late payment or overdrafts or any of that stuff.

I am just so confused and angry that they can do that. The one they cancelled was one of my oldest cards and so this is going to effect my credit overall....I'm so bummed. I don't need this right now.

skiergirl · 04-15-2009, 08:26 PM

They are doing it to a lot of people. A guy from work was complaining about the same thing, they are reducing the credit limits of many to stop people from racking up huge debt and not paying. It has nothing to do with your credit rating I was told but I'm not sure what the criteria they use really is.

tached1000rr · 04-15-2009, 08:27 PM

Yes it's related to the economy, I read an article where the banks were gonna tighten up by reducing credit limits, closing accounts and such.

JARVIS518 · 04-15-2009, 08:38 PM

ya there doing a lot of this shit. i recently applied for a balance increase to put the remainding balance of my bike on my BOA credit card because there is a 15% difference in intrest rates. after checking my credit there was a $15 co-pay from 2 years ago in collection (i didnt know about) so because of this BOA raised my intrest rate, anual fee and declined my credit increase

ya that sucked

Papa_Complex · 04-15-2009, 08:50 PM

Personal bankruptcies must be beating the shitout of them. To think that last year they would have been pushing for you to take MORE credit, not less.

It's not as bad up here though. Noty yet, at least. I got a new card last month because some fucktard decided he needed a couple of TVs or something on it. When I called to activate the new card, the droid asked me if I wanted another $5K on my limit.

Apoc · 04-15-2009, 08:58 PM

Quote:

Originally Posted by Papa_Complex

Personal bankruptcies must be beating the shitout of them. To think that last year they would have been pushing for you to take MORE credit, not less.

It's not as bad up here though. Noty yet, at least. I got a new card last month because some fucktard decided he needed a couple of TVs or something on it. When I called to activate the new card, the droid asked me if I wanted another $5K on my limit.

Ya, HD called to see if i wanted a new visa, 45000$limit, and if I wanted to transfer the balance of my bike on to it.

Uhhh... No thanks, the one I have now is fine...

goof2 · 04-15-2009, 09:01 PM

Actually, I believe they are doing this because they have too much outstanding credit. They can only extend a certain amount of credit at any time. They would rather have that credit extended to people who rack up balances and fees than people who rarely use their cards or only use them "in case of an emergency". Cards that carry balances and cards that result in fees make them money. The other kind do not.

cbrchick · 04-16-2009, 07:37 AM

Sounds kinda responsible to me in a weird way. Kinda looking out for people best interests and their's at the same time although I am sure it takes away a little freedom and security for others.

I only have one credit card/line of credit. They're not making much off me as the interest rate drops almost every month. @ 2.5% now.

I think the banks where more conservative up here with their lending.

Particle Man · 04-16-2009, 07:43 AM

Use the existing card to buy some fish from the market... Then use it to mail the fish to them after it has started to rot.

Papa_Complex · 04-16-2009, 08:00 AM

Quote:

Originally Posted by cbrchick

Sounds kinda responsible to me in a weird way. Kinda looking out for people best interests and their's at the same time although I am sure it takes away a little freedom and security for others.

I only have one credit card/line of credit. They're not making much off me as the interest rate drops almost every month. @ 2.5% now.

I think the banks where more conservative up here with their lending.

I had two cards and one of them had a yearly fee, so I dropped it and just increased my CC-LoC by 5K. Two weeks later that card, now the only one that I have, was exploited and deactivated. My daily parking for work is paid for by CC, so I was screwed. Didn't get the replacement card for more than a week.

There actually are reasons for having more than one.

04-15-2009, 08:21 PM	#1
HurricaneHeather AMA Supersport Join Date: Nov 2008 Location: Sydney Moto: '98 Honda Fireblade Posts: 3,696	Well this is new So I have two credit cards with a large national bank. Today I get two letters in the mail from said bank. One says: we are cancelling this card because you have sufficient credit on other accounts. (this card has no balance on it, but I use it on random occassions to keep it open.) The other letter says that my credit limit has been reduced on the other card....reduced by 15K. (this has a balance on it with stuff for my husband's school). I have never had this happen before....I am at a loss for words. Has this ever happened to anyone else? Is it because of the economy they think I might rack up all this credit and not pay it? Mind you, my account is in good standing, never had a late payment or overdrafts or any of that stuff. I am just so confused and angry that they can do that. The one they cancelled was one of my oldest cards and so this is going to effect my credit overall....I'm so bummed. I don't need this right now.

04-15-2009, 08:50 PM	#5
Papa_Complex Nomadic Tribesman Join Date: Nov 2008 Location: Brampton, Canada Moto: '09 ER-6n Posts: 11,150	Personal bankruptcies must be beating the shitout of them. To think that last year they would have been pushing for you to take MORE credit, not less. It's not as bad up here though. Noty yet, at least. I got a new card last month because some fucktard decided he needed a couple of TVs or something on it. When I called to activate the new card, the droid asked me if I wanted another $5K on my limit. __________________ "Everything's better with pirates." - Lodge, "Dorkness Rising" http://www.morallyambiguous.net/

04-16-2009, 07:43 AM	#9
Particle Man Custom User Title Join Date: Nov 2008 Location: Central NY Moto: 2003 SV650S Posts: 14,959	Use the existing card to buy some fish from the market... Then use it to mail the fish to them after it has started to rot. __________________ I'm not "fat." I'm "Enlarged to show texture." Handle every stressful situation like a DOG: If you can't eat it or hump it, pi$$ on it & walk away.

04-15-2009, 08:26 PM	#2
skiergirl Gixxer Girl Join Date: Jan 2009 Location: Kyle, TX Moto: 05 GSXR 750 & 06 YZ250F Posts: 1,424	They are doing it to a lot of people. A guy from work was complaining about the same thing, they are reducing the credit limits of many to stop people from racking up huge debt and not paying. It has nothing to do with your credit rating I was told but I'm not sure what the criteria they use really is.

04-15-2009, 08:27 PM	#3
tached1000rr WERA White Plate Join Date: Dec 2008 Location: NC Moto: 2009 GSXR 1300 Posts: 2,448	Yes it's related to the economy, I read an article where the banks were gonna tighten up by reducing credit limits, closing accounts and such.

04-15-2009, 08:38 PM	#4
JARVIS518 BOOBS!! Join Date: Nov 2008 Location: Saratoga, NY Moto: 06 CBR 600RR Posts: 1,188	ya there doing a lot of this shit. i recently applied for a balance increase to put the remainding balance of my bike on my BOA credit card because there is a 15% difference in intrest rates. after checking my credit there was a $15 co-pay from 2 years ago in collection (i didnt know about) so because of this BOA raised my intrest rate, anual fee and declined my credit increase ya that sucked

04-15-2009, 09:01 PM	#7
goof2 AMA Supersport Join Date: Feb 2009 Posts: 4,756	Actually, I believe they are doing this because they have too much outstanding credit. They can only extend a certain amount of credit at any time. They would rather have that credit extended to people who rack up balances and fees than people who rarely use their cards or only use them "in case of an emergency". Cards that carry balances and cards that result in fees make them money. The other kind do not.

04-16-2009, 07:37 AM	#8
cbrchick Canyon Carver Join Date: Nov 2008 Location: Halifax, Nova Scotia, Canada Moto: Honda CBR 600, Yamaha Zuma 50, Suzuki SV1000 Posts: 395	Sounds kinda responsible to me in a weird way. Kinda looking out for people best interests and their's at the same time although I am sure it takes away a little freedom and security for others. I only have one credit card/line of credit. They're not making much off me as the interest rate drops almost every month. @ 2.5% now. I think the banks where more conservative up here with their lending.