And Yet Another AMEX CLD

[Uncle_Money]

Hello Everyone,

Uncle Money here! I'm here to share my Amex story and get some opinions from my fellow ficoers.

To my disappointment, I received an e-mail from Amex stating they're now giving me a lousy $1,700 limit on my Plum Card. The Plum doesn't have a preset spending limit. My defer pay option has also been temporarily suspended. They are stating my utilization is now high. I'm only using 35% of my available credit. What the hell, do they expect you not to use other credit? There's not much I can do with a $1,700 CL for my business. I spoke to several reps but the end result remains the same. I have to wait for another account review. Should come quick considering they soft the hell out of me almost every two weeks. You can literally set your watch to it. I can understand once a month or every two months but not every two weeks. Ridiculous.

My Stats:

• Scores in the low 700s
• 15 accounts total
• Never late. Not even once
• Current utilization is 35%
• Short history with Amex; 4 months
• Combined monthy usage on both personal and business Amex cards is approximately $10,000

I also have the Green card, which luckily hasn't been effected.

Anyway, since this card doesn't even report to the business credit bureau's, I'm seriously considering cancelling it. I have $20,000 with BOA and they never ever bother me, whether I heavily charge up or not.

Aside from Key Bank, does anyone know of a business credit card issuer without a pg? Even the Plum card had to be personally guaranteed.

- UM

Message Edited by Uncle_Money on 11-25-2008 05:53 PM

[notmyname]

You've been around; I don't have to tell you that 35% utl is high and at this moment in time it is very high. I'm sure if you get scores and reports here you are being told this. Add to that a heavy charging pattern on a new account (four months, not four years, right?)

Also, did you use the term "never ever" about BOA ?  Come on, you know that relationships with banks are as good as the last time you checked the websites, just like scores here at FICO.

I've read your posts and know you are smart and capable , but you are doing what so many others do........reacting emotionally instead of logically.

Given the numbers here, "most" banks would react in some fashion to your current usage. I personally believe you can easily pass this test with Ax and continue to be a really excellent customer once you have shown them that you are not desperate for the credit they have been affording you. That's all they are doing with you.

You are not like some of the also rans that got over their heads by even getting a card from them.

I hope you will do well and know that it is not personal, it is business.

NMN

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@Uncle_Money wrote:

Hello Everyone,

Uncle Money here! I'm here to share my Amex story and get some opinions from my fellow ficoers.

To my disappointment, I received an e-mail from Amex stating they're now giving me a lousy $1,700 limit on my Plum Card. The Plum doesn't have a preset spending limit. My defer pay option has also been temporarily suspended. They are stating my utilization is now high. I'm only using 35% of my available credit. What the hell, do they expect you not to use other credit? There's not much I can do with a $1,700 CL for my business. I spoke to several reps but the end result remains the same. I have to wait for another account review. Should come quick considering they soft the hell out of me almost every two weeks. You can literally set your watch to it. I can understand once a month or every two months but not every two weeks. Ridiculous.

My Stats:

• Scores in the low 700s
• 15 accounts total
• Never late. Not even once
• Current utilization is 35%
• Short history with Amex; 4 months
• Combined monthy usage on both personal and business Amex cards is approximately $10,000

I also have the Green card, which luckily hasn't been effected.

Anyway, since this card doesn't even report to the business credit bureau's, I'm seriously considering cancelling it. I have $20,000 with BOA and they never ever bother me, whether I heavily charge up or not.

Aside from Key Bank, does anyone know of a business credit card issuer without a pg? Even the Plum card had to be personally guaranteed.

- UM

Message Edited by Uncle_Money on 11-25-2008 05:53 PM

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[Uncle_Money]

Greetings NMN,

Yeah, I guess you're right. Maybe I needed to hear it, which is why I posted lol. I suppose I need to get the utilization back to 10% or less. That's where it was when I got an approval from Amex. We shall see how long it takes to get the cap removed.

Message Edited by Uncle_Money on 11-25-2008 06:53 PM

[notmyname]

Congratulations.

NMN

[notmyname]

Not long to get back I am sure.

Your answer fits the character of the person I have been reading here.

Please keep me posted about improvements with your situation.

More good luck and good holidays,

NMN

[Anonymous]

i beleive i read amex considers over 25% to be high ut

[FretlessMayhem]

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@Anonymous wrote:
i beleive i read amex considers over 25% to be high ut

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Amex seems to consider anything that isn't PIF to be high util.  

[GregB]

I have an  Amex Platinum Optima CC that has been open since 1982 according to my credit reports. It is in the name of the business but shows on my personal credit reports. It is used for $0-1500 per month, almost all Costco, since they don't take any other cards. It is PIF about 80% of the time. 

Two months ago my big paper shredder gave up and Costco had the best deal, $1100, instead of most other suppliers $1800+freight. So my statement total showed $1860. They dropped my CL from $7800 to $3100, leaving me with 70% utilization with a few small charges after the statement date. I PIF on the due date leaving a balance of $3-400 or so on current charges.

In looking back through previous statements they dropped my limit from $15,500 to $7,800 two years ago just after one of the $1500 months that was paid off over 3 months.

The question is: Did the 10-20% utilization prompt the CLDs? Did the single $1100 charge that is about double the highest "normal" individual charge? Did the highest "normal" statement amount combined with Amex new credit policies?

[MidnightVoice]

One thing I do is warn Amex if I am going to do anything "out of pattern" like buy a computer or go on vacation.

[Scuba]

Does anyone know if utilization is ideal at <9% on each tradeline or all combined tradelines?

So if you have a $1,000 line owing $500 which will equal 50% utilization that I can understand.  But if you also have a $10,000 line with a zero balance then the $500 total is only 4.5% utilization.  This has always been a little confusing.