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Frequent Contributor
firstinlastout
Posts: 339
Registered: ‎12-12-2007

BOA just reduced my credit limit on (2) cards a total of 11k ! without a true VALID reason

Have not been on here in a while. I am one of those success stories. After a divorce in 2006, I saw my credit score drop from 750 to 545.  I slowly rebuild myself with help from contributers here and hard work. I was able to wipe out a lot of debt, see my credit score increase to 740 and was able to purchase a home with an interest rate of 5.5% back in January. Got married, wife is expecting...life is good.

 

I still always watch my credit score through myfico and true credit.  Still on top of everything. Today I got 2 letters from BOA in regards to two seperate credit cards I have with them.  I have heard about people having their credit line decreased for no reason, but I did not expect it to happen me. Do I have recourse ? If I call and complain, will the reverse their decision ?  

 

Card # 1 had a 12,500 CL....dropped down to 8000

Card #2 had a 10,000 CL....dropped down to 3000

 

Incredible ! I can't believe it ! The reason according to the letters "Serious delinquency"  I checked my credit reports and there is no delinquencies in the past 3 years.  The  only delinquency was one OVER 3 years ago.....and it was 90 days late because of my divorce.  Now all of a sudden they decide to penalize me for this ? Are they serious ?  Now my credit score will fall because of this.  Is this normal or do you all think there is chance of there being a mistake ?

 

I am so frustrated. 


God is keeping score....be good to others.
Regular Contributor
ExcellCR
Posts: 153
Registered: ‎07-10-2009

Re: BOA just reduced my credit limit on (2) cards a total of 11k ! without a true VALID reason

[ Edited ]
B of A still pullin that garbage? Congrats btw on your success. No you are not alone. B of A raised my CL to almost 20k earlier this yr and 2 mos L8r cut it to 4 figures. Reason given was the economy. I tried an online CLI and instead it was cut again! Called and got absolutely nowhere. I told them to close it . That I had other cards I could do business with.and while I was at it I closed my other financial accts with them. I will never do business with B of A again. They didn't care of course but I'm not about to do business with a shady establishment like B of A. They are not the only bank in the country. Subsequently I have been approved for 3 other cards. My FICO scores are in the 790 range. My util is well under the recommended 9% level. Right now barely on the radar less than 1% as is usually the case. PIF. No lates or any derogatories ever in my life. I almost puke when I see their current TV ads praising themselves for doing so much for the customer. Good luck though. Maybe you'll have better luck than I did with them.
Message Edited by ExcellCR on 09-19-2009 11:58 PM
Established Contributor
Revike
Posts: 720
Registered: ‎05-04-2007

Re: BOA just reduced my credit limit on (2) cards a total of 11k ! without a true VALID reason

Many accounts with absolutely perfect credit reports (no 30 day lates in 7 years, 0 or 1 inquiry in the past year, PIF every month, etc.) have received a CLD from BOA. No account can be considered immune. Between late 2008 and mid-2010, the analysts expect BOA to reduce their overall credit limits by 50%-55%, to strengthen their balance sheet. By the time the dust settles, there won't be too many BOA credit limits that will have escaped the ax ...
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Epic Contributor
haulingthescoreup
Posts: 28,115
Registered: ‎04-01-2007

Re: BOA just reduced my credit limit on (2) cards a total of 11k ! without a true VALID reason

They cut me from $18K to $9K several months ago. That seemed to be the pattern then --50% CLD across the board.

I let it go for a week or two and then called. I was actually hoping to ask that they just put it back to $10K, but I got passed onto an account specialist immediately. After a review of income and so forth (and vague hints on my part that I was being transferred soon --which is true --and that I'd probably need to BT some expenses --which is possible), they put it back to $18K.

They keep sending better and better BT offers, but with their uncapped fees, they're still not in the running for me yet. Plus I don't have any expenses yet. So I vaguely expect to see it gone back down again any day.

Oh, and btw, I had a 90-day late showing at the time which was 4 years old. So, a very similar situation to yours.

Congrats on the good stuff happening, and especially for the new one on the way!
* Credit is a wonderful servant, but a terrible master. * Who's the boss --you or your credit?
FICO's: EQ 781 - TU 793 - EX 779 (from PSECU) - Done credit hunting; having fun with credit gardening. - EQ 590 on 5/14/2007
Valued Contributor
wmarat
Posts: 1,754
Registered: ‎11-03-2007

Re: BOA just reduced my credit limit on (2) cards a total of 11k ! without a true VALID reason

The thing is that they do not need a true valid reason to cut credit limit.
IN VINO VERITAS.
Regular Contributor
Geordi
Posts: 141
Registered: ‎01-17-2008

Re: BOA just reduced my credit limit on (2) cards a total of 11k ! without a true VALID reason


wmarat wrote:
The thing is that they do not need a true valid reason to cut credit limit.

Or more simply put, their reason(s) does not have to seem valid to the card holder.  I am sure their reason(s) are valid to them.

 

I know noone likes to hear this, but the ones with the money are free to give and take however they please.

 

Just my 2 cents

Senior Contributor
creditwherecreditisdue
Posts: 4,923
Registered: ‎04-19-2009

Re: BOA just reduced my credit limit on (2) cards a total of 11k ! without a true VALID reason

I think BofA runs periodic purges of their CL's. If you are above a particular cutoff when they run one and you do not meet certain usage requirements you get cut. I don't think there is much of a science to it. If you don't call and squeak it will stand. All AA must be questioned!
Regular Contributor
Geordi
Posts: 141
Registered: ‎01-17-2008

Re: BOA just reduced my credit limit on (2) cards a total of 11k ! without a true VALID reason

[ Edited ]

creditwherecreditisdue wrote:
I think BofA runs periodic purges of their CL's. If you are above a particular cutoff when they run one and you do not meet certain usage requirements you get cut. I don't think there is much of a science to it. If you don't call and squeak it will stand. All AA must be questioned!

I hope the OP takes that advice with a grain of salt mentality.  Many people have had further CLDs or even closures when calling BoA to challenge an adverse action.

 

Obviously this is a YMMV issue

Message Edited by Geordi on 09-20-2009 01:37 PM
Senior Contributor
creditwherecreditisdue
Posts: 4,923
Registered: ‎04-19-2009

Re: BOA just reduced my credit limit on (2) cards a total of 11k ! without a true VALID reason


Geordi wrote:

creditwherecreditisdue wrote:
I think BofA runs periodic purges of their CL's. If you are above a particular cutoff when they run one and you do not meet certain usage requirements you get cut. I don't think there is much of a science to it. If you don't call and squeak it will stand. All AA must be questioned!

I hope the OP takes that advice with a grain of salt mentality.  Many people have had further CLDs or even closures when calling BoA to challenge an adverse action.

 

Obviously this is a YMMV issue


You just saw a post from HTSU to the contrary!

 

I recently was CLI'ed by BofA from $3.5K to $7.5K because I asked for it. That's more than 100%

 

Many have had their AA from Chase reversed, but only if they bothered to take action!

 

If you don't question your AA you get exactly what they hand you. I repeat, all AA must be questioned! Of course if you are satisfied, don't question it.

Valued Contributor
Scamp
Posts: 2,791
Registered: ‎03-18-2007

Re: BOA just reduced my credit limit on (2) cards a total of 11k ! without a true VALID reason


creditwherecreditisdue wrote:

Geordi wrote:

creditwherecreditisdue wrote:
I think BofA runs periodic purges of their CL's. If you are above a particular cutoff when they run one and you do not meet certain usage requirements you get cut. I don't think there is much of a science to it. If you don't call and squeak it will stand. All AA must be questioned!

I hope the OP takes that advice with a grain of salt mentality.  Many people have had further CLDs or even closures when calling BoA to challenge an adverse action.

 

Obviously this is a YMMV issue


You just saw a post from HTSU to the contrary!

 

I recently was CLI'ed by BofA from $3.5K to $7.5K because I asked for it. That's more than 100%

 

Many have had their AA from Chase reversed, but only if they bothered to take action!

 

If you don't question your AA you get exactly what they hand you. I repeat, all AA must be questioned! Of course if you are satisfied, don't question it.


I agree with Geordi that any decision to recon/challenge AA must be carefully weighed before acting; yes, HTSU experienced a minor miracle and others probably have as well, but at least as many if not more have had the opposite happen when they called, so OP definitely should research the creditor in question and make a carefully thought out decision about whether to recon AA.

_____________________________________________________________________________
It's never too late to become the person you might have been. ~George Eliot

02/12/09 EX: 701 / 02/08/10 EQ: 719 / 02/08/10 TU: 723

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