07-29-2009 08:08 PM
I opened a Bank of America AmEx account in Jan 2008, I've always paid on time, and a few months back I paid it off. Well, after paying it off I decided to do a BT with the 0% offer that became available on my account. My credit limit WAS 9,000 before I did the BT, the total amount of the BT was roughly 6k, Well right after the BT posted to my account they send a CLD letter stating that I "have sufficient available credit".
I believe this is hurting my credit score because now I'm at like 85% of my limit (they lowered it to 7,200)
Would it do me any good to call and request a CLI at this point, or do you think they won't do it?
I have good credit, scores in the mid 690's
07-29-2009 09:08 PM
07-29-2009 09:42 PM
Sorry to hear about that !
That's no good news at all, I guess big lenders amex, chase, boa.... lost their minds..i read a lot about AA lately some people get hit for no reason at all ..i don't know what to say I just got their amex acc cash rewards when I called to activate it the csr was trying to sell me their 0% on BT she even asked me if I needed any emergency cash!!!!? I just told here no thanks I do not carry balance and I do not need access checks ...But as soon as I asked to lower my apr she said no right away !
who knows what nasty game they re playing at right now, but they are hitting under the belt...Once they feel any weakness( big balances, BT, new Accounts,new inq, request for lower apr .....) they just hit with no mercy.
give em a call i guess u got nothing to loose.
07-30-2009 01:09 AM
Between the beginning of this year and mid-2010, BOA and Citi are expected to reduce overall credit limits by 50%-55%, to reduce their commitment and strengthen their balance sheet. BOA is mainly just doing CLDs on a huge number of customers. Citi seems to have chosen a different approach and has implemented widespread APR increases - many of those customers who choose to opt-out will have their accounts eventually closed, essentially a delayed 100% CLD. AmEx and Chase are expected to reduce overall credit limits to a lesser extent - about 30%-35%. Obviously, due to the massive scale of these reductions, nearly everyone will experience some adverse action, no matter how good a customer they consider themselves to be.
Based on the above numbers, banks are driven to lower the amount of unused credit overall - they absolutely do not care that a side effect is higher utilization percentage for individual customers and possible credit score decreases.
In some cases, CLDs of 50% are being applied to accounts with large CLs and small or no balance. In other cases, CLDs are applied in the form of balance-chasing, where the CL is reduced to X dollars above the current balance (which appears to be the case here).
Many customers who have contacted BOA to ask about improving their terms (requesting CLI, reduced APR, etc.) have found their account getting reviewed on the spot and, in many cases, the phone call has resulted in adverse action instead. Given BOA's ongoing effort to significantly reduce their overall credit limits, they won't be much inclined to reverse themselves. Customers should be aware that calling them is a roll of the dice and could have unintended consequences ...
07-30-2009 06:29 AM
07-30-2009 07:32 AM
-- nearly everyone will experience some adverse action, no matter how good a customer they consider themselves to be ,,, banks are driven to lower the amount of unused credit overall --
My dear wife found out last week BofA hacked her old MBNA MC CL by 37-k,, (Reduced from 44-k to 7), She's had that card since 1995, but rarely runs more than a few hundred thru it any given month,
Her scores are over 800,, She rarely reads her statements and only realized she'd been cut after she was thinking about writing a conveinence check to buy a horse trailer, No way that'll happen now,
I asked BofA for a CLI on my BofA Visa back in January, they declined telling me I had plenty of revolving credit available to me, which is true, They haven't hacked my13-k CL since my request, but I'm expecting it any time,
So far, at least, neither CapOne, CITI or Chase (my old Providian CC) have hacked either of our CL's, Her CapOne and CITI still have healthy (or un-healthy) Cl's which are looking more and more like a target these days, as she has nearly 55-k available on her Citi and C1,
Appologies to the OP for the TJ,
07-30-2009 09:39 AM
Here's one for ya! DH was preapproved online for BofA w/$4,000 CL. Called to ask for increase on limit (before card arrived - it's slow) and CL was decreased to *drum roll* $500. I hope we like these guys as time goes by - right now their behavior is far different than our other CC's.
07-30-2009 09:53 AM
BofA just seems plain evil. My sister works there and she says the environment is just plain crummy.
I have a BofA platinum card with a $2000 CL, and I use it frequently (7.24%) and pay it on time all the time. I don't call their people, and I don't do anything with the account but use and pay.
07-30-2009 11:39 AM
I recently posted here regarding my BofA luv button experience. Pressed it and got message to call in, I spoke to a credit analyst who told me that there are two responses now to the luv button: 1) flat out "NO" (the letter is in the mail) -or- 2) call us. All CLI requests are manually reviewed by the credit analyst with you on the phone. In my case I left the amount on the form blank. Blank means you are requesting the maximum possible increase. After some off-line conferencing the analyst came back and said he could increase my CL from $3.5K to $7.5K. I said thank you very much, you just made my day!
Unfortunately it looks like my transaction was not 100% successful. I asked for a PC to the Accelerated Cash Rewards AMEX and it looks like they gave me the Accelerated Rewards AMEX instead. (World Points, bah! I want money!) I think I'll wait 'til I have the plastic to get that corrected.
Last time I asked BofA for anything they ended up really peeving me. This transaction has probably gotten them off my "S" list.
I was subjected to some minor AA: my APR was changed from 9.9%F to 9.9%V and was notified of that change by mail about six weeks ago. I mentioned this to the credit analyst and he said that my rate is very good and that all rates will be variable eventually. He remained unfazed when I told him I had 6.99%F with HSBC and 6.99%V Citi.
I carry a small balance on the BofA card which is the remains of a BT. I suspect some consistent activity on a balance of < 25% of the CL is appreciated by them. BofA always did like use.
07-30-2009 04:13 PM
I also recently experienced a CLD from BofA (~$23k down to $11.5k--my lowest credit limit). I let it go for a couple of weeks, because I don't really need the card (actually I use it barely enough to keep it open). I logged in one day and decided to hit the luv button, just for the heck of it. I asked for an increase to $16k and got the please call notice. At which pint I thought the heck with it, I do not need the CLI enough to call. I logged into my BofA account a couple of days later and my CL has been increased to $16k. So evidently, you do not necessarily need to call to get approved--of course YMMV.
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