CHASE CLOSED ALL MY CC ACCOUNTS?!?!!?!

[Anonymous]

So right after I was approved for the Ritz Carlton card I opened the box to see my new card.  Six hours later all my chase cards on in my apple wallet were deactivated.  i called the number on the back of card to find that all my accounts were closed!!! **bleep** you approve me for a card and then you close it out after I activate the card? Where do they do that at? I called and spoke with a represintive and she said that the accounts were closed because I've opend 12 accounts within the last 12 months(alot I know) but I wouldn't have applied unless I knew I could pay down the balacnce and would have never applied for the Ritz if it was going to result in a closure.  Rep wasn't having it, now that i look back she was kinda rude. Anyways was told that I can call back within 6 MONTHS to see if they would reinstate the accounts. So HYATT, RITZ and CSP are out of commition untill further notice. WHat do I do to make sure that they aren't permantley closed. My scores are 700 across the board and I am under 30% utilization on all my cards.  I read on here that paying them off could result in permanent closure so I figured I'd divide the balance by 6 months and pay down on my balances that way.  Any advice or inpaticular succes stories would be greatly apprecitated!!!!

[kdm31091]

Unfortunately if they are closed it is permanent in Chase's eyes. All you can do is ask for a reopen (probably a hard pull) or just let it go and move on, take it as a lesson about opening too many accounts in a short period. Many have been there so don't be ashamed of it, just learn and move on.

Opening the new account likely triggered a review and Chase didn't like what they saw (12 accounts in 12 months, etc).

Sorry, OP. The good news is you have plenty of other cards.

[Anonymous]

Looks like we have a new twist to Chase's 5/24 rule.  Anyone who wants a Chase card might want to tread lightly for sure.

[Anonymous]

All the more reason to hate America's biggest bank. 

I think of all the accounts I've had between checking, savings, credit cards, etc., Chase is the most hated, followed by Barclays, and M&T (mostly just because they have high fees and less than average technological advancements). 

Chase closed by checking account out of the blue (only company to ever do such a thing to me), and then failed to open another for me about two years later when I applied. So what did I do? Turned around and closed out my credit card with them.

[austinguy907]

5/24 shouldn't even be a discussion around here.  I still don't understand why the hell anyone would want to lump several accounts under the same lender let alone Chase, Comenity, Synchrony, etc.  It just isn't a safe thing to do when you're experienced enough to know better.  Is it just all the free "gifts" luring everyone into making dumb decisions?

[Anonymous]

what pisses me off is that you take years to build up a decent score and then chase just closes the accounts out of now where. I mean I pay all my bills on time, pay more than the minium and this is the thanks I get.  It's like you're damned if you do and damned if you don't.  The CSP I manged to transfer to my fiance's Freedom. But those cards were my highest limits and CHase seems to have the best cards out there so that sucks. I mean you have a 5/24 rule why keep making things harder for people who want to do bussiness with you. Im gonna pay down the balances and just see what happens in 6 months. If they decide to keep them closed then I'll give them a piece of my mind. Was being nice since I wanted them to reopen the accounts at that time

[austinguy907]

Don't put all of your eggs in the same basket.

Everyone around here seems to open multiple accounts with x.y.z lender once they get a foot in the door instead of looking at different lenders for products that work well with what they're planning on using them for.  There's absolutely no reason to have 5 or 17 cards with a single lender unless you're a gambler that thinks you'll be fine.  Your risk of losing credit is increased when you have multiple lines with the same lender.  Now closing all of your accounts rather than reducing your exposure with a CLD is debatable but, then again Chase isn't known for being the nicest lender to deal with either.  Seeing the flury of activity on here lately brings back the 2008 issue but now it's more related to the CC industry.  They may be thinking that their portfolio of risk has grown exponentially since the recovery began taking hold on the industry and pulling back the balance sheet a bit to prevent a collapse even though they think they would get another bail out from the taxpayers.

[longtimelurker]

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@Anonymous wrote:

. I mean you have a 5/24 rule why keep making things harder for people who want to do bussiness with you

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?   It's all part of the same thing

1) People who open a lot of card accounts in a fairly short time are a risk/unprofitable to us.  So much so that we won't allow such people to get one of our cards (with a few exceptions)

And then

2) People who open more cards in a short period of time are even more a risk/unprofitable to us, so we take some form of AA to reduce our exposure.

[kdm31091]

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@austinguy907 wrote:

Don't put all of your eggs in the same basket.

Everyone around here seems to open multiple accounts with x.y.z lender once they get a foot in the door instead of looking at different lenders for products that work well with what they're planning on using them for.  There's absolutely no reason to have 5 or 17 cards with a single lender unless you're a gambler that thinks you'll be fine.  Your risk of losing credit is increased when you have multiple lines with the same lender.  Now closing all of your accounts rather than reducing your exposure with a CLD is debatable but, then again Chase isn't known for being the nicest lender to deal with either.  Seeing the flury of activity on here lately brings back the 2008 issue but now it's more related to the CC industry.  They may be thinking that their portfolio of risk has grown exponentially since the recovery began taking hold on the industry and pulling back the balance sheet a bit to prevent a collapse even though they think they would get another bail out from the taxpayers.

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I agree with this, and to expand on it, people just go after too much too quickly in general. Sorry but you don't really need 17 cards total much less from one lender. You're just creating massive exposure and making yourself stand out.

My advice for average Joe consumer is to get 3-4 cards from different banks, get them up to decent limits, pay in full every month, and just live your life. Chasing after every reward or bonus can definitely have consequences.

[Anonymous]

Wow... that's insane. I'm really sorry to see this happen to you. I'm surprised that it was Chase that did this. This is the type of behavior I would expect from Synchrony or Barclay's. 

I personally have nothing but great things to say about Chase. But I will def take your story and keep this in mind.