CLI DECREASE????

[KeithW]

I just logged into my Barclay card, which I had gotten when I purchased an iPad 3 years ago, and found that they had lowered my CL from $3000, down to $2600. Never a late payment with them, so I am somewhat surprised. I had carried a $2800 around Christmas, but paid it down to $2000 since then.

[Anonymous]

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@KeithW wrote:

I had carried a $2800 around Christmas, but paid it down to $2000 since then.

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that's why

[Anonymous]

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@KeithW wrote:

I just logged into my Barclay card, which I had gotten when I purchased an iPad 3 years ago, and found that they had lowered my CL from $3000, down to $2600. Never a late payment with them, so I am somewhat surprised. I had carried a $2800 around Christmas, but paid it down to $2000 since then.

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They decreased by $400?  How exactly does that help them - Barclays?  Sorry about the CLD.

[KeithW]

So your saying that they lowered my CL because I paid it down so quickly, or because I used a high utilization?

With the special no interest financing on Apple products, they seem to be encouraging people to put big purchases on the card, and pay them off slowly.

[Lyythine]

It sounds like they may be balance chasing OP - is there anything else going on that would scare them? sudden increase in overall util, etc:?

[Anonymous]

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@KeithW wrote:

So your saying that they lowered my CL because I paid it down so quickly, or because I used a high utilization?

With the special no interest financing on Apple products, they seem to be encouraging people to put big purchases on the card, and pay them off slowly.

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you actually barely paid it down, you are too close to the limit on that card. they are just bieng cautious, the same they always have been. utilizing a card's CL by over 50% is usually a bad sign. 

i don't intend to sound mean, but you asked the question, and that's the answer. 

[fury1995]

The OP didn't barely pay it down... the OP paid nearly 30% of the balance since December (less than two months). Barclay doesn't tend to balance chase like Chase or BOA, Barclay is a jealous animal. More likely the OP has recently obtained other lines and that is catching their attention. Maybe we can get the OP to shed some more light on what else may be happening?

[elim]

barclay is known to CLD with high balance.

this is from barclays site...

[KeithW]

We recently purchased a new car. Other than that, I can't really see anything that would bother them, other than a few credit pulls from our lending company in preparation of building a house.

[takeshi74]

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@KeithW wrote:

Never a late payment with them, so I am somewhat surprised.

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It's not just late payments that can lead to adverse action.  Any behavior deemed as risky such as high or increasing utilization, looking like you're actively seeking out new credit, etc can as well.

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@KeithW wrote:

I had carried a $2800 around Christmas, but paid it down to $2000 since then.

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$2,000/$3,000 is still 67% which is high.

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@Anonymous wrote:

They decreased by $400?  How exactly does that help them - Barclays?

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Balance chasing is always done to reduce risk.  It's not about the specific amount.  It's reduced exposure.

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@KeithW wrote:

With the special no interest financing on Apple products, they seem to be encouraging people to put big purchases on the card, and pay them off slowly.

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Utilization always matters, regardless of any special financing offers.  The offers are made to encourage spend but that doesn't mean that the creditors making the offers are going to ignore the standard risk factors.

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@fury1995 wrote:

The OP didn't barely pay it down... the OP paid nearly 30% of the balance since December 

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"Barely paid it down" wasn't the right choice of words.  Payment was significant but utilization started at 93% (maxed) and even with the reduction was still at 67% which was still high.  Other actions probably contributed as well.