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AMEX just decreased my credit limit?

Frequent Contributor

Re: AMEX just decreased my credit limit?

I'm not really sure about Amex not liking you to carry a balance longer than 3mnths. I carried a balance of 4K-5K for almost a year before I paid it off without any negative effect(s). After I paid it down to $0 requested a CLI and got it.

Amex Platinum Charge(NPSL); Starwood Amex Preferred CC(20K CL); Diners Club ELITE MC(20K);Diners Club Premier MC(20K,could've sworn the rep said 25k, oh well lol);Delta Amex Reserve CC(21K CL); Amex PRG Charge(NPSL); United Presidential Plus Chase World Elite MC (15K CL); AARP Chase Visa Signature(35K CL); NFCU Visa Platinum(20K CL) NFCU LOC(15K); NFCU Go Rewards MC(17.5K); Disover IT 7.8K;
First Tech Federal Visa Platinum(15K CL); Simmons First Visa Platinum(9K CL); Wells Fargo Visa Platinum(7.5K CL); CitiBank Sears MC(6K CL); JCPenney Card(7.5K CL); Lowes(2.5K CL);Barclays Mile & More Lufthansa 12.5K.
Message 11 of 47
Valued Contributor

Re: AMEX just decreased my credit limit?

Oh, they are strange alright. In 2009 I let Blue be dormant, SD'd. My CL was like $11K.  While I was on a plane to Rome, they cut my CL down to $1K. Was turned down to use the card to pay for my hotel. When I called AMEX, they explained lack of use, but that I was perfectly free to put it on gold and pay over time. I am not sure what the difference is for them.


Wind the clock to 2012. Here I am figuring out the real rules of using credit, and I now know about sending charges through every now and then to keep cards active. I asked AMEX for a CLI and was denied. I called them to ask why I was denied for a CLI. They told me that "my payments were too small compared to my balance over the course of a 12 month period."  I had made more than the minimum payment, but it was not "enough" more. Of course, when I am talking to them I had already paid the card off in full.  They told me to try again in 90 days. I am still being punished by AMEX.

Starting Score: 693 TU FICO, 679 EQ FICO
Current Score: FICO 8 = 844(9/15) EQ, 827 TU, 811 EX (7/15); mortgage FICO= 758 (9/15)EQ5, 797 TU4, 748 EX2 (7/15)
Goal Score: 750+, but shooting for the 800's
Hyatt Visa Sig ($23K), Amex BCP (24.8K), BofA Travel Rew Sig (22.5K), B&N World MC (22.3K), Amex RP Gold (NPSL w/ S&T), Cash+ Sig (20K),United Mil+ExpSig (16.3K), FNBO Visa (13.1K), Hilton Surpass (10K), Freedom Visa Sig (8.6K), Disc It (16.4K), Citi Dia Pref MC (3.7K),Sam's MC (10K), Wally (7.5K), JCP(5.3K), Costco (2K)
Message 12 of 47
New Contributor

Re: AMEX just decreased my credit limit?

drsmith wrote:

Amex doesn't like it when you carry a balance. 


I'd say you're lucky they didn't close it. 

Guess they dont like making money on interest ?

Wonder what they are in business for at that point.

EQ FICO 735 as of June 17, 2011
EX FAKO 767 as of April 3rd, 2012
Citibank($10,000@10.74%) Discover($5000) CapitolOne($4500)
USBank($3000) AMEX($2000) BOA($2000) NRAVISA($4000)
Message 13 of 47
Frequent Contributor

Re: AMEX just decreased my credit limit?

Banks don't simply consider your credit in a vacuum, absent of any other influence. There are a multitude of factors that are going to affect how much credit they want to extend. Maybe their internal models predict an increase in risk for your behavior pattern. Perhaps they are over exposed to your demographic. Maybe they are trying to reduce exposure in general, or are facing increase short term repo costs. Lots of credit card debt is securitized and sold...if these buyers become risk averse, prices drop, yields increase and it becomes more expensive for banks to extend credit.


Long story short, the number of factors that influence how Amex behaves is many orders of magnitude greater than simply the information on your CR.

Message 14 of 47
New Visitor

Re: AMEX just decreased my credit limit?

Hi, all.  Just had my Amex limit slashed from $19K to $16k, citing credit score and too much debt on my other cards.  Never late on a payment, never missed a payment, been with Amex since 1996, and never went over limit....ever.  Nothing negative on my credit report.  Score:  711.  Visa and MasterCard banks have no problem with me or my score.  If you appeal, you get a special department within Amex and they offer you couple options to get your limit back.  Mine were:  Pay $3k now and get an additional $300 added to my new limit.  Pay $9k now and get my $19k limit back.  So, they do want money, but it seems they want it up front, like a secured credit card, even though Amex offers no secure cards.  This tells me they are in financial trouble and need money ASAP.  I am paying off the card and sticking with Visa, Discover, and MC.  I recently got a Discover card within seconds with a 709 FICO.  So, in conclusion, my opinion, it is not your fault Amex decreased your limit.  They are desperate for money NOW, and trying to get it any way they can.  Call Amex, ask to appeal, and you will be sent to another group.  They will ask for an immediate checking account payment electronically.  Hope this helps.  Amex is no longer the Cadillac of credit cards, so do not fret.  Visa, MC, and Discover offer superb rewards!  I can even get immediate cash back with my Discover at select stores, and it counts as a purchase, not a cash advance.  It is called cash over and just gets added to your purchase at select stores, including WalMart, up to $120 per day.

Message 15 of 47
Senior Contributor

Re: AMEX just decreased my credit limit?

Amex makes 5% as a merchant fee I think.... Amex is a weird one. Im just making sure I pif. Hope they don't aa me for student loans :-/

+1 creditfreak and ctb!!! You guys are smart:-)
Marriott PR$25k | BCE $24.5K |BankAmericard Visa $25k| BOA Better Bal $17.5k |Wmt Discover $12.5k | BR Visa $17.5k | Amex Delta Gold $10k | Discover IT $10k | Paypal Extras MC $15k | Amazon Store $10k|Smile Gen $7.25k | Dillard's $10k | West Elm $4k| Express $3.05K | Visa $4.5k | Freedom Visa $1k| Amex Surpass $1k
Message 16 of 47
Established Contributor

Re: AMEX just decreased my credit limit?

I just have to say this some good info, thanks 4 all that have responded to OP's thread.  Because of info like this I can better understand CC co's and 4 sure Amex is a weird one.


BOA: 8.9k
CSP: 5k
Discover: 5k
Citi TY Preferd: 5k
Wally: 5k
JCP: 4.9k
citiForward: 4.7k
ChaseFreedom: 4.5k
DFS: 2k
Message 17 of 47
Valued Contributor

Re: AMEX just decreased my credit limit?

Lilybuggy wrote:

So I have a few cards, including an AMEX Blue which I've had for about 7 years now.  They slashed my credit limit from $8000 to $3000 a few years back.  I had been carrying a balance with hovering around $2,000.  I recently paid it down to $1,200.  I haven't been late ever and mostly paid more than my minimum payment.  I was actually contemplating making use of another card's 0% balance transfer (for 1 year) and then they hit me with a second credit limit decrease $1,800.  This just killed my util. score.


I've been pretty dormant with credit applications in the psat year or so, but I recently started working to clean up some negatives on my credit report, so I'm a little shocked it came now. I did get suckered into applying for an Old Navy (card with a $1,000 cl), probably just to save $100 and got dinged for a PenFed card.  Lasst time I checked, my credit score for Exp was 718.


Is there anyway I could ask for recon on this credit limit decrease? Has anyone been successful?



Did you make any old negatives report as a current negative?


Too many INQs & low AAoA so I'm off to tend the Garden.     Age:23    

     $17k       $8.5K          Closed          $19k      $6.5k        $24.2k        Closed         $5k       Closed     $8.5k        Closed      @2.49%
Message 18 of 47
Valued Contributor

Re: AMEX just decreased my credit limit?

youngandcreditwrthy wrote:
Amex makes 5% as a merchant fee I think.... Amex is a weird one. Im just making sure I pif. Hope they don't aa me for student loans :-/

+1 creditfreak and ctb!!! You guys are smart:-)

The fee for an average purchase will be less than 3%. This would be a general break down if you are curious. (Sorry OT)

Business Type American Express Discount Rate & Transaction Fee

Fast Food Restaurant3.50%
Mail Order & Internet3.50%
Restaurant *3.50% plus a $0.05 Transaction Fee
Other Transportation3.50%
Independent Gas Stations3.25%
Retail *2.89% plus a $0.10 Transaction Fee*
Services, Wholesale & All Other2.89% plus $0.15 Transaction Fee*
Office-based Doctor, Dentist, Orthodontist2.55%
Healthcare not office-based2.89% plus $0.15 Transaction Fee
* A surcharge of 0.30% will apply to transactions that are not swiped. For example, keyed-in, e-commerce and other card-not-present transactions will be charged a discount fee of 3.80% instead of 3.50%


Too many INQs & low AAoA so I'm off to tend the Garden.     Age:23    

     $17k       $8.5K          Closed          $19k      $6.5k        $24.2k        Closed         $5k       Closed     $8.5k        Closed      @2.49%
Message 19 of 47

Re: AMEX just decreased my credit limit?

That's interesing Dustin, where did you find that?

Starting Score: EQ 5 561, TU 98 567, EX 2 599 (12/30/11)
Current Score: EQ 5 771, TU 4 758, EX 2 758, EQ 8 795, TU 8 762, EX 8 786 (7/28/17)
Goal Score:    EQ 5 750, TU 4 750, EX 2 750, EQ 8 800, TU 8 Blah, EX 8 800 (01/01/18)

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Message 20 of 47