CLD on my Amex Clear Card

[Red1Blue]

I checked my Amex accounts and they reduced my Clear Card CL from $5k Cl to $1K Cl. This is my Oasis card converted to Clear and my Oasis is protected by law they can not reduce the Credit Limit. I talked to CR and they could not restore my original CL back. I am going to talk to my Atty on Monday and take Amex to Court. I am protected by the contract and they can not CLD my limit or close my account. All right Amex we will see you in the court.

[haulingthescoreup]

Well, I'm not sure how your Oasis --> Clear card has special protection that other CC's don't, but if it does, good luck!

[manyquestions]

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@haulingthescoreup wrote:
Well, I'm not sure how your Oasis --> Clear card has special protection that other CC's don't, but if it does, good luck!

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It used to be that you would get the Oasis Optima and no matter how bad your credit was (you could have 10 unpaid CO with other companies and a FICO of 350), they would not mess with you. In the past six months there have been reports of Oasis Optima closures after a six month or 12 month review.  I  was surprised by that because if that is possible it takes away one of the main reasons to pay off an AMEX charge off.  So what fine print is there in the recent Oasis Optima offers?  Is it different now? Does it say anything about six month reveiws?

And as far as the "Oasis Optima" name, I imagine that comes from what they called it at some point in time and the name has stuck on the internet forums, but I think AMEX's current terminology is "Recovery Card" or "Rebuilder Card" or something like that. 

Message Edited by manyquestions on 04-11-2009 08:40 AM

[Anonymous]

Yikes.  Sorry this happened.

I just reviewed all of the documentation I received when I went the Oasis route.   I was unable to find any references to account protection or guarantees, in terms of CLDs or closure.

There is reference to an initial approval guarantee if you meet the criteria -- 1) pay off the old account in full 2) no bankruptcies and 3) no other open Amex account.

Maybe you received a different deal than I did.    It's my understanding that yes, they guarantee to give you an Optima as part of the repayment, but that's all.  They can close it, or any other card whenever they like, for whatever reason.   You could have it one day, one week or one year, it's up to *them*.

I was politely reminded by the CS rep who converted me to Blue that because my account is no longer considered a "Recovery Product", it is subject to periodic increases, as well as decreases based on reviews of my credit profile.

I hope this all works out for you, Concord.   I'd hate to see you lose your personal Gold, and business Plum after so much hard work.   I think dealing with Amex is definitely akin to walking around landmines.    

Good luck and keep us posted. 

[Red1Blue]

When I was upset, I did ask CSR to close all 3 accounts. She said she can close only Gold /Clear. For Plum I have to talk to Biz accounts. I told her to leave them as they are for now and I'll talk to my Atty on Monday. At this point, I really dont care what Amex does because I do not revolve balance and I do PIF on all my account. I have other accounts and push comes to shove, I'll use my debit card with plenty of cash in my bank. I keep savings reserves of 40-50% month and plenty of money I can use with my debit card. Amex is the last thing I am going to let me bother. I still think it is a matter or principle that they should not CLD my account. Again what priciples does matter with Amex any way. There goes to sock drawer, a shining clear card, which will never see the light again.

[Anonymous]

AMEX is required to maintain an indefinite CL without review?  That seems unlikely or unenforceable.  But please let us know how this pans out.

I would consider the possible collateral damage of going to battle with them if you have other accounts.  There is no legal premise that a creditor must extend credit....only that they do not violate protected discrimination laws (age, sex, creed, color.....etc.)

If they decide they don't like you, who is to say they won't axe all of your accounts.  I would advice counting to 10,000, taking a deep breath and not making a decision solely on initial emotional responses.  Emotional decisions can often be regretted at a later date  (Dierks Bently song....."I know what I was feeling......but what was I thinking?"

Good luck

Message Edited by txjohn on 04-11-2009 09:07 AM

[Anonymous]

I was wondering what the legal protection the OP claims is?

Is it a specific agreement entered into by them and AMEX, or some other law we have not heard of?

My advice to the Op: if your finances are that good there are many institutions out there that would be happy to do business with them that have just as good programs. Alliant, PENFED etc.

Now not poking fun at the OP but I chuckle every time I hear someone say "I am calling my attorney."

Years ago I was a crew leader at Chipotle and had a customer tell me that (long story she was a scammer trying to get a refund on an imaginary meal she claimed to have eaten with her family the night before, she had done it at other stores)

I told her she was getting no money from me and she needed to leave. She said haughtily, "I'm calling my attorney" as she pulled out a cell phone.

I said, "Lady, if you have an attorney who is taking your specific calls at noon on a Sunday you are a better person than me, but since our attorneys don't work on weekends you have to wait til Monday to get ahold of ours. Please leave or I will have you arrested for tresspassing."

[Red1Blue]

More think about, I really dont care any more about Amex Cards or what Amex does. I am sock drwaing the Clear Card. I have other cards and with more than $20k CL on each card. More than all I maintain at least 40-50% of my income into savings. I have enough cash and no need to used borrowed money.

[jaxstraw]

Hey Concord,

Sorry this happened to you. All in all though I think you actually got off easy with AMEX.

They have been CLD'ing and closing accounts for more than six months now to even the best customers with perfect credit . Many of these customers PIF and run thousands through these accounts monthly. I'm sure you'vr read the many posts here and on the other sites I see you on.

While you make an excellant income and according to you PIF all the time, you also have had a veracious appetite for app'ing and opening new accts. from as many lenders as you could for months now. If I'm not mistaken your EX inquiries ranges well above 50. Correct me if I'm wrong.

I'm not digging into you or passing judgement. It is just a fact that you have most likely been just below their radar or moving up on their list, as they go through their customer base, for an AA for a while now. It was really only just a matter of time with AMEX.

Once again, I'm sorry for your misfortune but I'd monitor all my AMEX accts now closely, even biz, since you have clearly made their list.

[Red1Blue]

Thanks jaxstraw. I am putting all 3 Amex cards into my sock drawer. Clear / Gold Charge / Plum Charge. I have no desire to deal with them any more. If they are so afraid, why did they approve my Plum Charge and later CLD my clear. If their intention is to get away from Credit Cards let it be their reason. I am going to back to my trusted Nordstrom Visa and Citi MC. I have no desire to play the games with Amex. When I paid off my old debt with them for $11500 they gave me Optima with $5K CL. It is my understanding, I earned the $5K CL as the part of the settlement to pay off the old debt. All my 3 Amex Cards are going back to my Sock Drawer. Once the renewal for AF comes, I'll close those cards. Bye Bye Amex.