Amex Suspended my 3 accounts

newdaddy113 · ‎01-09-2014

I logged into my amex account today and it showed that all my 3 accts where suspended and was asked to call the number on the site. I called the number and the CSR said that they need to make sure the credit extended to me matches my income level, They asked me to fill and send back a form 4506T. I not sure why this would happen to me!!!! On 1/1/14 I was approved for a delta gold card for 18400 and was approved for the Business Gold charge card the following day. before that i had a 2 secured credit cards for $500 each I don't know if that is what triggered this FR. Has anyone had this experience before? I'm also worried because my spouse and I file joint taxes together so I don't know what amex reviews in the 1040 form can anyone shed some light on this? Thank you

Amex Green Card (NPSL) 03/13 - BOA ($7200) 03/13 - WELLS FARGO ($500) 03/13 - DISCOVER IT ($5800) 12/13 Amex delta gold ($18,400) 1/1/14. Amex Gold Business Card (NPSL) 1/2/14. Chase Freedom($7900) 1/9/14 NavyFederal ($25000) 1/16/14 Best Buy ($1000) 8/4/14 Barclays Arrival Plus($12500) 1/29/16 Chase CSP($20000) 1/29/16 Penfed Platinum Rewards ($16000) 1/29/16 NavyFed goRewards ($5000) 1/29/16.
Credit Score EX- 760 EQ- 735 TU- 763 Oldest account 3.2yrs aaoa 2.2 yrs.

Networth · ‎01-09-2014

If I had to guess you hit the nail on the head about having two 500 limit secured cards and than having American Express give you $20,000+ in new unsecured credit in two days. Their internal risk calulations probably red flagged you. As long as you did not lie on your credit applications you should not be worried. Just send them your tax information so they can verify your income. I have never been flagged but I had a friend who had and everything went smoothly he just sent them the neccesary paperwork, they saw his income justifys the risk/credit line they had given him and the freeze was removed. All Amex is looking for on your old tax's is to verify your income, whatever you told the federal goverment you made compared to what you told them you made/make, as long as they match you should have no problem.

Chase Sapphire Reserve - American Express Blue Sky - Chase Freedom - - Chase Freedom Unlimited - BankAmericard Travel Rewards -

TU 813 EX 809 EQ 812

longtimelurker · ‎01-09-2014

Yes, as said, the key thing is if your income approximately matches what you claimed in the app (or if you can clearly document why things are different).

The tax transcript might be enough, or they may ask for additional stuff.

The outcome can be that things are unchanged, your CL is decreased on one or more cards, or cards are shutdown (this is less common).

You also have to decide whether to comply. SOme consider the tax form is too much info. If you decline, your cards will be closed, and when you apply again, you will be asked for this information again.

enharu · ‎01-09-2014

+1 to what others said.

As long as you comply, generally you will be fine. They may adjust your limits, and that's bout it. If you do not comply, they will close your accounts.

JPMorgan Palladium (100k), AmEx Platinum (NPSL), AmEx SPG (46k), AmEx BCP (42k), Chase Sapphire Preferred (47k), Citi Prestige (31k), Citi Thank You Preferred (27k), Citi Executive AAdvantage (25k), JPMorgan Ritz-Carlton (21k), Merrill+ (15k), US Bank Cash+ (22.5k), Wells Fargo (12k), Bloomingdale’s (12.4k), Chase Freedom (5k), Discover IT (5k).

newdaddy113 · ‎01-09-2014

why would they give me such a huge limit in the first place? The issue is that I put my current salary of 70k but the last 2012 tax they requested I made more cause then I worked 2 jobs. IRS income in 2012 was 115k as opposed to my current salary of 70k. I feel very uneasy about all this. I have faxed them the 4506 document they needed. Fingers crossed

Amex Green Card (NPSL) 03/13 - BOA ($7200) 03/13 - WELLS FARGO ($500) 03/13 - DISCOVER IT ($5800) 12/13 Amex delta gold ($18,400) 1/1/14. Amex Gold Business Card (NPSL) 1/2/14. Chase Freedom($7900) 1/9/14 NavyFederal ($25000) 1/16/14 Best Buy ($1000) 8/4/14 Barclays Arrival Plus($12500) 1/29/16 Chase CSP($20000) 1/29/16 Penfed Platinum Rewards ($16000) 1/29/16 NavyFed goRewards ($5000) 1/29/16.
Credit Score EX- 760 EQ- 735 TU- 763 Oldest account 3.2yrs aaoa 2.2 yrs.

longtimelurker · ‎01-09-2014

@newdaddy113 wrote:
why would they give me such a huge limit in the first place? The issue is that I put my current salary of 70k but the last 2012 tax they requested I made more cause then I worked 2 jobs. IRS income in 2012 was 115k as opposed to my current salary of 70k. I feel very uneasy about all this. I have faxed them the 4506 document they needed. Fingers crossed

Then you should be fine. They are concerned if you claimed more than you earned

Fico2Go · ‎01-09-2014

for $500 each I don't know if that is what triggered this FR.

A great reminder that low CLs unless absolutely needed can cause unwanted attention and potentially effect future CLs.

Any approved CL of $10,000 or more is going to look funny and "out of place" alongside a $500 TL. If there is ever evidence that low CLs can create problems this is it.

OP, I am sorry this happend to you but based on your income I don't think you will have any issue. Send them the tax transcript and be done with it.

GL

Discover IT $19,000 == 12/2013
AMEX 12/2013 ---BCP $12,000 === BC $23,000 ----- 04/2014
CHASE SLATE $5,700 === 12/2013
BoA 123 $6000 === 12/2013
Barclay Rewards $1500 == 12/2013

longtimelurker · ‎01-09-2014

@Fico2Go wrote:
for $500 each I don't know if that is what triggered this FR.

A great reminder that low CLs unless absolutely needed can cause unwanted attention and potentially effect future CLs.

Any approved CL of $10,000 or more is going to look funny and "out of place" alongside a $500 TL. If there is ever evidence that low CLs can create problems this is it.

OP, I am sorry this happend to you but based on your income I don't think you will have any issue. Send them the tax transcript and be done with it.

GL

You are stating this as if it is conclusive proof. You would have said something similar if instead of the new limits, the OP had got $1000 limits because of the low $500s. If Amex thought the limits were out of place, they didn't need to give them. Basically, only Amex knows why they decided to do an FR here.

Fico2Go · ‎01-09-2014

Is there anything in relation to CCs hat has conclusive proof?

There's nothing in this business or game that is 100% true or proven. We are not even sure if approvals are based on FICO scores, internal scores, or other factors. What we do know is that OP didn't get approved for $1000 follow by FR. She was approved for $20K.

And what we also know is that she had a $500 TL on CR.

We can slice the presumptions anyway we want but I would bend towards available credit line in relation to sought credit line as the cause for FR.

I've been wrong often and I'm not afraid to be learn here.

Discover IT $19,000 == 12/2013
AMEX 12/2013 ---BCP $12,000 === BC $23,000 ----- 04/2014
CHASE SLATE $5,700 === 12/2013
BoA 123 $6000 === 12/2013
Barclay Rewards $1500 == 12/2013

Revelate · ‎01-09-2014

@Fico2Go wrote:
Is there anything in relation to CCs hat has conclusive proof?

There's nothing in this business or game that is 100% true or proven. We are not even sure if approvals are based on FICO scores, internal scores, or other factors. What we do know is that OP didn't get approved for $1000 follow by FR. She was approved for $20K.

And what we also know is that she had a $500 TL on CR.

We can slice the presumptions anyway we want but I would bend towards available credit line in relation to sought credit line as the cause for FR.
I've been wrong often and I'm not afraid to be learn here.

And yet we have tremendous numbers of Amex members who still have $500 cards on their report.

Am sorry, this just doesn't wash anecdotally either from what we know about Amex or their FR policies. The $500 secured cards were completely incidental in my opinion. A request for a tax transcript is an income verification device, nothing more, nothing less. I would encourage anyone to not read more into it than that.

ETA: business cards sometimes may be addressed differently, it's not necessarily unreasonable to want to check to see if you actually qualify as well in addition to the income verification as a tax transcript documents income from all sources reported to the IRS including various 1099 forms.