So based on what your saying they asked for your consent to determine your current credit worthiness which could possible lead to a credit line decrease. Well a couple things, like you said don't avoid an oncoming smart car by getting hit by a truck.
. If this one of your older accounts you might consider taking the cld just to keep it open. It won't drop off anytime in the near future but the clock starts ticking the moment the account is closed. The minimum may be ten years from now. Now keep in mind ten years is a long time you can clean up your credit and buy a home in that time ... hell maybe even two before the account drops off the report and your aaoa is lowered.
The immediate impact is the effect on your total credit limit. Which in your case is two options from the sound of it either take 500 cld or a total 1000 hit to your limit.
My advice would be to take the decrease and keep paying on time for a couple reasons. Show some success in the months to come and then send a gw letter requesting a deletion of the 90 day late. A 90 day late may have the account listed as a negative one for you aka a baddie and one less of those is never a bad thing. A hard pull by a current lender won't be the worst looking thing on a report for a future lender. Clean up your paying history by paying on time and you can ask for a CLI... something ya can't do if the account is closed. That gives you something to think about.
Oh yeah keep that balance lower man... that could be the reason for the inquiry that and the late payments. Just because someone gives you a 1000 dollar credit limit doesn't mean you should use almost 900 dollars of it. I also see that you went over the limit at one point. Hate to say it but your activity with their account may be the reason they want to see you overall credit use as a whole. Your utilization percentage has to be improved man. You want to get under 20%
