topic Re: BoA cancelled my Visa due to inactivity of less than 1 year? in Credit Cards

BoA cancelled my Visa due to inactivity of less than 1 year?

monkeybutt — Sun, 05 Aug 2012 21:45:24 GMT

I received a letter on Friday stating that my Visa would be cancelled either due to 1. serious delinquencies or 2. inactivity.

Obviously I didn't have any delinquencies whatsoever as all my cards are a $0 balance and my credit score is over 700 with no issues.

But then I checked the inactivity on this card and it has only been 6-7 months since I stopped using it...less than 1 year? This is my oldest card, plus best APR and limit.

Any ideas? Maybe this is a sign because BoA is the worst bank next to Citi.

Re: BoA cancelled my Visa due to inactivity of less than 1 year?

LS2982 — Sun, 05 Aug 2012 21:48:22 GMT

monkeybutt wrote:
I received a letter on Friday stating that my Visa would be cancelled either due to 1. serious delinquencies or 2. inactivity.

Obviously I didn't have any delinquencies whatsoever as all my cards are a $0 balance and my credit score is over 700 with no issues.

But then I checked the inactivity on this card and it has only been 6-7 months since I stopped using it...less than 1 year? This is my oldest card, plus best APR and limit.

Any ideas? Maybe this is a sign because BoA is the worst bank next to Citi.

Did they already close it?

Have you called in to talk to them about it?

Re: BoA cancelled my Visa due to inactivity of less than 1 year?

monkeybutt — Sun, 05 Aug 2012 21:49:55 GMT

I wanted to get some intel before I called them. It still looks open online but I haven't tried to use it yet.

Re: BoA cancelled my Visa due to inactivity of less than 1 year?

LS2982 — Sun, 05 Aug 2012 21:51:58 GMT

monkeybutt wrote:
I wanted to get some intel before I called them. It still looks open online but I haven't tried to use it yet.

I'd go ahead and use it, if it declines call them and sound angry about it! :smileyvery-happy:

Re: BoA cancelled my Visa due to inactivity of less than 1 year?

trumpet-205 — Sun, 05 Aug 2012 22:06:26 GMT

monkeybutt wrote:

Any ideas? Maybe this is a sign because BoA is the worst bank next to Citi.

More and more lenders are closing inactive cards, not just BofA. Barclays specifically stated on T&C that its card may be closed for 6 months of inactivity.

Re: BoA cancelled my Visa due to inactivity of less than 1 year?

Koop10010 — Sun, 05 Aug 2012 22:14:13 GMT

Personally, If it was a card I wanted to keep open I wouldn't let it go more than 3 months without some kind of activity. I think 6 months is kind of the standard where you're at risk for closure due to inactivity. If you want to keep it open I'd definitely suggest trying to make a couple of transactions with it and calling if it's denied. Just make sure to use it at least every 3-4 months from now on.

Re: BoA cancelled my Visa due to inactivity of less than 1 year?

MarcinXP — Sun, 05 Aug 2012 22:35:22 GMT

Or do what I do: I have cards that I dont want to use cause they outgrew, but I hate to close because its no AF and it has decent limit. I have a CAPONE that has $750 limit and they refuse to PC to something with rewards but since there is no AF, I use it for Netflix $7.99 every month. As soon as it posts, I pay it and that is that. It sits in the drawer and gathers dust until CAPONE realizes that they need to compete for my business and not the other way around like it used to be.

Re: BoA cancelled my Visa due to inactivity of less than 1 year?

LS2982 — Sun, 05 Aug 2012 22:39:20 GMT

MarcinXP wrote:
Or do what I do: I have cards that I dont want to use cause they outgrew, but I hate to close because its no AF and it has decent limit. I have a CAPONE that has $750 limit and they refuse to PC to something with rewards but since there is no AF, I use it for Netflix $7.99 every month. As soon as it posts, I pay it and that is that. It sits in the drawer and gathers dust until CAPONE realizes that they need to compete for my business and not the other way around like it used to be.

I agree!!!

Re: BoA cancelled my Visa due to inactivity of less than 1 year?

CreditScholar — Mon, 06 Aug 2012 02:27:29 GMT

Just put a recurring monthly charge through it and you'll be fine. That's what I do with my BofA card, and they haven't closed or AAed me.

Re: BoA cancelled my Visa due to inactivity of less than 1 year?

CreditCrusader — Mon, 06 Aug 2012 03:09:26 GMT

monkeybutt wrote:
I received a letter on Friday stating that my Visa would be cancelled either due to 1. serious delinquencies or 2. inactivity.

Obviously I didn't have any delinquencies whatsoever as all my cards are a $0 balance and my credit score is over 700 with no issues.

But then I checked the inactivity on this card and it has only been 6-7 months since I stopped using it...less than 1 year? This is my oldest card, plus best APR and limit.

Any ideas? Maybe this is a sign because BoA is the worst bank next to Citi.

Look at this from their perspective: They extend you credit, you fail to use it for over half a year.

I don't mean to direct this personally to you, but a lot of CCCs don't issue cards just to keep our utilization low or look nice in our wallets. If there is no AF and no usage, there really is no motivation to keep you as a customer since, by definition, they aren't making money from your business.

Just something to keep in mind before declaring someone "the worst bank next to Citi" :)

Fair disclosure: I am not a BOA customer in any form...in fact, they wouldn't give me a credit product if their financial lives depended on it because of a BK7 on my report.

Re: BoA cancelled my Visa due to inactivity of less than 1 year?

Ron1 — Mon, 06 Aug 2012 02:53:21 GMT

I use it for something small (like buying a soda) to keep it open. IMO, BofA is one of the worst bank. It is not worth to keep it. They can close or CLD or downgrade your card.

Ron.

Re: BoA cancelled my Visa due to inactivity of less than 1 year?

CK_Charles_Lover — Mon, 06 Aug 2012 02:56:50 GMT

I would call credit analyst and tell them that you use it a Christmas a lot or something along those lines, and you were planning on using it again heavily this holiday season, just see if they will reconsider. If not replace them with a shiny new card.

Re: BoA cancelled my Visa due to inactivity of less than 1 year?

monkeybutt — Tue, 07 Aug 2012 01:58:37 GMT

We understand that blocking the account may seem like a bold action. However, this will ensure that your payments will not reach a point where you cannot make them, and help give you the opportunity to pay things down on your account - without fear of adding more to your balance. Once you have paid down the balance, please contact us back so we can re-evaluate the decision to close the account. We would definitely like to hear back from you to see if we can reactivate your account in the future.

I have had a zero balance on this card for a very long time.

I called customer service right now. They are saying something completely different. My account was closed due to serious delinquencies found in my credit report not related to this account. My CR is clean.

What is wrong with BoA?

Re: BoA cancelled my Visa due to inactivity of less than 1 year?

Revelate — Tue, 07 Aug 2012 02:12:38 GMT

monkeybutt wrote:
We understand that blocking the account may seem like a bold action. However, this will ensure that your payments will not reach a point where you cannot make them, and help give you the opportunity to pay things down on your account - without fear of adding more to your balance. Once you have paid down the balance, please contact us back so we can re-evaluate the decision to close the account. We would definitely like to hear back from you to see if we can reactivate your account in the future.

I have had a zero balance on this card for a very long time.

I called customer service right now. They are saying something completely different. My account was closed due to serious delinquencies found in my credit report not related to this account. My CR is clean.

What is wrong with BoA?

Ask them what report they pulled, then go burn your annualcreditreport.com one for tha tbureau and compare with them on the phone.

I don't think there's anything "wrong" with them besides a possible mix-up. Sometimes there are errors in the machine, butFWIW most lenders would close an account with six months inactivity on it. If you're not using the card, the only possible rationale is for FICO purposes, and banks don't agree with that rationale.

Re: BoA cancelled my Visa due to inactivity of less than 1 year?

monkeybutt — Tue, 07 Aug 2012 02:23:51 GMT

I just ordered reports from all 3 bureaus and 0 issues. Excellent credit all-around.

Keep in mind, the rep online stated I had a serious negative balance on my card which is the reason for the card being closed. The rep on the phone stated I had credit issues not related to BoA and that's the reason the card was closed.

Wow.

Re: BoA cancelled my Visa due to inactivity of less than 1 year?

surfnspy — Tue, 07 Aug 2012 05:39:35 GMT

Say what?!

Re: BoA cancelled my Visa due to inactivity of less than 1 year?

A_Madel — Tue, 07 Aug 2012 10:45:26 GMT

Oh my. That's very disturbing. They are also my oldest trade. I guess I'll have to use them against my will. I can only hope they don't pull that with me. Nothing with them is safe apparently ..... So, they just "made up" a reason? And there's no recourse? Digusted.

Re: BoA cancelled my Visa due to inactivity of less than 1 year?

CS800 — Tue, 07 Aug 2012 13:53:07 GMT

Go to starbucks and buy a a coffee on it.

This way you can make the min payment twice so it will show payments for two months ;)

Re: BoA cancelled my Visa due to inactivity of less than 1 year?

CS800 — Tue, 07 Aug 2012 13:55:01 GMT

A_Madel wrote:
Oh my. That's very disturbing. They are also my oldest trade. I guess I'll have to use them against my will. I can only hope they don't pull that with me. Nothing with them is safe apparently ..... So, they just "made up" a reason? And there's no recourse? Digusted.

As harsh as it seems, banks do have some $$ too so any credit extended that's not making them some kind of $$ doesnt look good.

Re: BoA cancelled my Visa due to inactivity of less than 1 year?

Revelate — Wed, 08 Aug 2012 03:49:49 GMT

CS800 wrote:
A_Madel wrote:
Oh my. That's very disturbing. They are also my oldest trade. I guess I'll have to use them against my will. I can only hope they don't pull that with me. Nothing with them is safe apparently ..... So, they just "made up" a reason? And there's no recourse? Digusted.
As harsh as it seems, banks do have some $$ too so any credit extended that's not making them some kind of $$ doesnt look good.

It's worse than that.

Their credit extended has to be countered by their financial reserve: so in this case, they're tying up money on a customer who isn't making them any money, instead of going out and getting a different one who will. Also they can't invest it in pretty much anything more profitable, so it's pretty much lost income all the way around for the bank. Bad mojo, and worse math: any lender will close the card or otherwise CLD it and go utilize that resource somewhere else.