Another Chase/WaMu Closed Card...Help?

[mizvalentine]

Hi! I'm new to this forum (and new to fixing my credit) and finding a LOT of good advice here...

I, too am an old Providian/WaMu customer who had my longstanding (6 years!!) card cancelled unexpectedly by Chase on 7/7.  I NEVER paid late, and though I used a lot of my limit every month, I always paid most or all of it off (I only found out recently that this isn't a good thing to do). I had budgeted to pay it off by Sept 1 and stop using it, due to the recent rate hikes, but this isn't the way I wanted to do it.  

Anyway, that leaves me with a BoA debit Visa check card and a Capital One Platinum with a low ($750) limit but no balance.  The Chase card was my primary card for travel and business ($2200 limit).  I'm wondering a few things:

1. How much of a ding will this put in my credit score, and when will it hit?  My Experian FICO is 650...I don't know my TU or EQ scores.  I have a $30K student loan that I overpay every month, early; I think the main thing holding my scores down now is that I kept charging up and then paying off the Chase card every month. I also have some old late payments (2005 and 2007) on two older accounts...but I'm "Pays As Agreed" on all accounts and no late payments on either open card.

2.  Will paying off the Chase balance on the closed card ($1800 right now) by 9/1 help offset the ding of the closure?

3.  When can I expect my scores to even out again, or even improve?

4.  Should I wait til Chase is paid off to apply for a new card?  Is my best bet a CU? Or a second CapOne card?

Thanks!! I was finally feeling like I was on the right track to pay off the Chase card and give my scores a boost when this put a spanner in the works.

[Anonymous]

Mine cancelled as well - I would suggest for everyone involved to send official notice to atty generals office as well as log complaint with the BBB on this. I logged 3 complaints against chase this morning and will log 3 per day until the situation gets resolved.  Here is the proper BBB to log a complaint against chase

BBB of Delaware (New Castle, DE)
60 Reads Way
New Castle, DE 19720
Phone: (302)230-0108
Fax: (302)230-0116
Email: info@delaware.bbb.org
Web: www.delaware.bbb.org

If not when you put the proper information in the system this is the bbb local office that should pop up. Flood the gates with propaganda and things will change.

[RicknTX]

I, like many others posting here these past few days, have fallen victim to Chase. I've had my account for years with WAMU. I have always paid early or on time and have always paid more than the minimum due. I received notice of an APR increase at the conversion from WAMU to Chase promising all the added benefits, etc. This month they changed my due date without notice and my normal payment that would have been early posted instead one day early. They declared this as "another" payment for my previous statement and you see two payments posted for one month, both way more than the minimum due. They socked me with a $39 late fee and then said that my APR was going default to 29.99%. I first emailed them about this and they said it was my fault for paying too early and to "check my card member agreement" as it clearly states this is my issue, not theirs for paying ONE day too early as my statement dropped the following day to count for that statement. I told them this was in error and to review my account history. They then responded and said they couldn't review anything because my account was closed. After several back and forth emails, I finally called last night and was read script after script with no one listening to the situation or caring. I spoke with a manager who also continued to tell me to check my credit report, which I have and just pulled a few weeks ago for my annual checkup on things. No negatives or anything as they claimed. She then refused to do anything for me and told me that it was my responsibility to manage my account and that it states once again in the cardmember agreement that payments that post prior to the statement drop date are credited on the prior month and regardless if they change things, it is my fault that I didn't catch this and there is nothing they can do, the late fee and the increased APR stays. She also indicated that I needed to check my credit report again and again. She refused to look at anything on my account and my history and just kept quoting me scripts over and over it appeared. She couldn't speak anything other than scripts. Made a great robot. If there is a suit, I want to know about it!! Now I have to get my balance transferred quickly to avoid the 29.99% APR that I'm stuck with for no reason. And hope that my credit isn't screwed up too.

[JoeBJay20]

Where did you get that Experian score?  Experian scores are no longer sold to the public, and are available only through a mortgage application or if you're eligible to join PSECU, a credit union in PA.  You can get your EQ and TU scores here.

1. The closing of the account in itself has no effect on your score.  In other words, there isn't a FICO score punishment just on the basis of an account closing.  Where it will hurt your score is in terms of your credit card utilization, and with the closing of this card, yours just went from 61% (already high) to 240%.  

2. The sooner you can pay the balance the better, your score will be lowered as long as you have high utilization.  Optimally, you want your utilization at 9% or less.

3. Same as 2. 

4. Yes, you should wait until your utilization is lower before applying.  

[Anonymous]

There wa not an inquiry on my credit report (experian) from chase either. I think they are making some of this information up.

Mine cancelled as well - I would suggest for everyone involved to send official notice to atty generals office as well as log complaint with the BBB on this. I logged 3 complaints against chase this morning and will log 3 per day until the situation gets resolved.  Here is the proper BBB to log a complaint against chase

BBB of Delaware (New Castle, DE)
60 Reads Way
New Castle, DE 19720
Phone: (302)230-0108
Fax: (302)230-0116
Email: info@delaware.bbb.org
Web: www.delaware.bbb.org

If not when you put the proper information in the system this is the bbb local office that should pop up. Flood the gates with propaganda and things will change.