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Regular Contributor
Nonaii
Posts: 246
Registered: ‎06-02-2008

Re: Chase closed my National Geographic card. Joy.

[ Edited ]

 


sungis wrote:

I think this has little, if at all, to do with your credit profile. The reason that card was canceled was most likely because Chase is closing out a few affiliation cards that it used to offer through First USA. Rumor is that Chase will no longer be offering the National Geographic card, and so your account had to be closed. One can suppose that Chase might have offered to issue another card instead, but I'm guessing that they were in the "portfolio adjustment" mode. It's kinda like when they got rid of all the WaMu accounts. They wanted to stop servicing those accounts, and so they decided on criteria, and all the accounts that met any one of those criteria were closed. And I suspect that the criteira aren't only about the account holder's credit profile. They are probably weighing the chances of default against the expected profitabiliy of keeping the account open. I think it's all **bleep**ty and ridiculous, but that's what Chase and AMEX are constantly doing. My suggestion is to boot them out, pay off debt, and get credit union cards, and when you are able, churn Chase/AMEX cards only for account opening bonus as much as you can.

 

Here's a little post about Chase ending some affilation programs: Link


 

Thanks, sungis.  I really needed to read that.  Makes me feel better.  Doesn't make me feel better about Chase, but makes me feel better about the closing.  I'm shaking my head.  I liked the National Geographic card.  I'm not liking how Chase is treating me.  The last time I had an affiliate card many many moons ago which was being discontinued through a different bank, I got a letter that it was being discontinued and an offer to apply for a different credit card.  The bank wasn't going to automatically switch me over to something else in this particular case (other banks have); but that's a heck of a lot better than receiving 'the letter: dear consumer you suck' only to find out this.  I'd rather receive a 'we are not longer offering this card, and have nothing else to offer you, thank you for having been a valued cardholder' -- that kind of letter, instead of what I did receive.

 

In other news, when I signed onto my Chase account this morning, I received this letter.  The misspelling of my own screenname here in copy/pasting it, is to give the flavor of the misspelling that greeted me when I pulled up their response.  I have no idea how Chase does these letters, whether they are pre-filled in, or are hand-written by associates, but this is the second time my name has been misspelled in regards to this account; NEVER like this.  Misspellings of names aren't really professional, but I've learned to swallow them.   Happens all the time.  This wasn't a misspelling, this was a completely different word, which I am hoping had to do with Chase outsourcing their online customer service reps to non-english speakers/writers, and not customer service rep intent.  Because right now, seeing that word, that wasn't what I needed to see right now.   I'm keeping everything, to send off to the appropriate complaint departments.  Maybe it was an honest mistake.  Maybe someone thought they'd have a little fun.  Either way, ....:

 

 

Date:04-27-2010 19:52:48
From:Credit Card Support
Subject:Account Inquiry
Message: 
Dear Nonass,

In order to better assist you, I have forwarded your
request to the appropriate department for review. You will
receive a response to your e-mail within seven days.

If you require immediate assistance, please contact
1-877-882-1890 and one of my colleagues will be able to
assist you.

Thank you,

---------   -----------
Email Customer Service Representative

1-800------------

Account is owned by Chase Bank USA, N.A. and may be
serviced by its affiliates.


**********************************************************
**********
DO YOU KNOW AT CHASE ONLINE YOU CAN ....
- Gain instant access to view and download your credit
card information.
- See and pay your bill online
- Transfer balances
- Change your address and much more....

**********************************************************
**********



 
 

04/29/2010 08:22 AM EDT
 
 
Valued Contributor
Jazzzy
Posts: 2,678
Registered: ‎07-29-2009

Re: Chase closed my National Geographic card. Joy.

[ Edited ]

Nonaii wrote:

 

Hello, Lynnette.  None of that advice helps with my fear of the 'use it or lose it' environment currently on the landscape. 

 

But it does help with ways of choosing paying down.  The interest rates are basically all the same, after promos and stuff, so it's a toss up.   If I'm not going to use any cards, in order to pay down the cards I do have, then I like the second method. Discover would be easy.  My authorized user doesn't pay anything on any cards they have access to.    They are a true authorized user, not a FICO authorized user.  I can pay off Discover immediately, but it is always going to report a balance because it's the card my authorized user uses for their automatic charges.  It didn't seem like such a big deal to not pay it off immediately if it was always going to report a balance... but after the Chase closings, I'm starting not to care.  It's the smallest.

 

Alliant is a personal card, that gets taken care of next.

 

Then Cap One Biz (and the automatic account closure apparently coming my way for paying it off, if some reports around the net are to be believed).

 


Hi Nonaii,

 

How I handle the use it or lose it thing is with automatic charges. I have two cards that are very seldom used...no rewards, no reason to use them. One of them is a Chase $15k limit VISA. I have a book club for $9.95 charged to it each month. That's all. Thus far, that has kept it open. The other is a Sears Citi MC. That one gets my $14 Netflix bill each month. I have 2 Discovers that get a little use with the 5% reward categories, and that's all they get used for. You certainly don't have to use each card each month. That's overkill...and it has to be exhausting.

 

It sounds like the debt snowball approach is a good one for you. Knock the little ones out first. You will feel good as you make progress up this list of balances. It will give you peace of mind in knowing that if something does get closed or the limit declined, you have the credit ability to replace those credit limits if you want to. We assumed our $15k Chase would be closed for nonuse. Last fall we went out and got a new Discover with a $13,140 limit and a new PenFed VISA with a $5k limit. We figured those limits would replace the $15k Chase we would likely be losing. We still have the Chase, but it may still be a matter of time.

 

The point is, as you work your way through those balances, you will be in a much stronger position to direct where you want your credit to go instead of your credit being directed by the credit card companies. Don't app for anything more, and build strength in what you have. That way, you'll be ready to handle what comes.

 

Regular Contributor
Nonaii
Posts: 246
Registered: ‎06-02-2008

Re: Chase closed my National Geographic card. Joy.

Hello, Lynnette.

 

Thank you for your response on how to handle usage on cards to show activity.  There really isn't much out there I'm interested in for a monthly fee, personal wise.  Netflix is a phenomenal service, but it's already taken care of in this household each month.  It sounds like the book club is treating you right with great deals for great books.  I wish there was a clearinghouse website, a legitimate one, listing a lot of monthly subscriptions depending on one's possible interests.  Or is there (anyone know)?

 

Right now, I have to calm down for a day or two.

 


LynetteM wrote:

 


Hi Nonaii,

 

How I handle the use it or lose it thing is with automatic charges. I have two cards that are very seldom used...no rewards, no reason to use them. One of them is a Chase $15k limit VISA. I have a book club for $9.95 charged to it each month. That's all. Thus far, that has kept it open. The other is a Sears Citi MC. That one gets my $14 Netflix bill each month. I have 2 Discovers that get a little use with the 5% reward categories, and that's all they get used for. You certainly don't have to use each card each month. That's overkill...and it has to be exhausting.

 

It sounds like the debt snowball approach is a good one for you. Knock the little ones out first. You will feel good as you make progress up this list of balances. It will give you peace of mind in knowing that if something does get closed or the limit declined, you have the credit ability to replace those credit limits if you want to. We assumed our $15k Chase would be closed for nonuse. Last fall we went out and got a new Discover with a $13,140 limit and a new PenFed VISA with a $5k limit. We figured those limits would replace the $15k Chase we would likely be losing. We still have the Chase, but it may still be a matter of time.

 

The point is, as you work your way through those balances, you will be in a much stronger position to direct where you want your credit to go instead of your credit being directed by the credit card companies. Don't app for anything more, and build strength in what you have. That way, you'll be ready to handle what comes.

 


Regular Contributor
Nonaii
Posts: 246
Registered: ‎06-02-2008

Re: Chase closed my National Geographic card. Joy.

update:  Chase's Portfolio Lending department Bank-of-America'd my Chase Freedom -- my third card, also a former First USA through my local bank --  after contacting them about my National Geographic, but didn't answer any of the questions I asked in the original letter regarding my National Geographic, instead repeating themselves.  I guess no one there gives their name -- but they do suffer the same inability to spell in a letter.  I had no idea Chase reps were required to hand write everything out.   I've redacted my name and my account numbers, and bolded the affected part.  Everything else -- misspelling and all, is the same.

 

It's like the rep, to be honest, took two different templates and cut and pasted them together.  I don't know what 'V$_EQUAL_CREDIT_OPP_ACT' is.

 

 

 

 

 

04/30/2010 03:34 PM EDT

Date:    05-03-2010 05:13:28
From:    Credit Card Support
Subject:    Re: Account Inquiry
Message:    
Dear Nonaii,

As your credit card company, we value your business. It
is important to us that we provide you with timely
information regarding your credit card account eding in
2xxx.


Thank you for your recent inquiry concerning your
above-noted credit card account. We regret that, at this
time, we are unable to reinstate your account based on the
following principal reason(s):

Balance owed on revolving accts too high.
Balance owed on revolving accts.
Sufficient credit available with us.

This decision was based in whole or in part on information
provided by the reporting agency noted below. Other than
providing information, this agency played no part in our
decision. If you have questions about our decision, we
suggest that you first obtain a copy of your credit report
from this reporting agency:

Experian: (888) 397-3742, P.O. Box 2002, Allen, TX 75013

On 04/30/2010, a letter was sent to you with more detailed
information regarding the specific reasons for our
decision to decrease the credit line on your account
ending in 6xxx.
Please allow 7-10 days to receive the
correspondence.

Under the Fair Credit Reporting Act, you have the right to
know the contents contained in your credit file. You can
receive a free copy of your credit bureau report from this
agency if you request the report within 60 days of the
date of your receipt of this letter. We encourage you to
obtain and review a copy of this report. If you find that
any information contained in the report you receive is
inaccurate or incomplete, you have the right to dispute
the matter with the reporting agency.

If a balance remains on your account, you will continue to
receive monthly billing statements. You may make at least
the minimum monthly payment until the balance is paid in
full or you may elect to pay the entire balance. Your
account will remain subject to the current terms and
conditions associated with the account.

If you have any other questions related to this notice,
please contact us at 800-219-0015 . For your convenience,
we are available Monday through Friday, between 8:00 a.m.
to 8:00 p.m., Eastern Time.

Sincerely,

Portfolio Lending

If your account currently has No Pre-Set Spending Limit,
your "Total Credit Limit" is the total amount of your
"Revolving Credit Amount." Revolving Credit Amount may
also be referred to as "credit access line."

EQUAL CREDIT OPPORTUNITY ACT NOTICE
The Federal Equal Credit Opportunity act prohibits
creditors from discriminating against credit applicants on
the basis of race, color, religion, national origin, sex,
marital status, age (provided that the applicant has the
capacity to enter into a binding contract); because all or
part of the applicant's income derives from any public
assistance program; or because the applicant has in good
faith exercised any right under the Consumer Credit
Protection Act. The Federal agency that administers
compliance with this law concerning this creditor is the
Office of the Comptroller of the Currency, Customer
Assistance Group, V$_EQUAL_CREDIT_OPP_ACT.

 

 

Valued Contributor
Jazzzy
Posts: 2,678
Registered: ‎07-29-2009

Re: Chase closed my National Geographic card. Joy.


Nonaii wrote:

update:  Chase's Portfolio Lending department Bank-of-America'd my Chase Freedom -- my third card, also a former First USA through my local bank --  after contacting them about my National Geographic, but didn't answer any of the questions I asked in the original letter regarding my National Geographic, instead repeating themselves.  I guess no one there gives their name -- but they do suffer the same inability to spell in a letter.  I had no idea Chase reps were required to hand write everything out.   I've redacted my name and my account numbers, and bolded the affected part.  Everything else -- misspelling and all, is the same.

  


Hi Nonaii...I'm confused (which often is my normal state of being)...

 

Does this mean they closed or lowered the credit limit on your Chase Freedom?

Moderator Emeritus
beamMEup
Posts: 4,473
Registered: ‎12-31-2008

Re: Chase closed my National Geographic card. Joy.

Hi Nonaii,

 

Hopefully you are paying attention to the important information they sent you (twice now, it seems) and which TrueCredit confirmed as well, which is:

 

"Balance owed on revolving accts too high."

 

As several posters on this thread clarified, the reason for your account changes, as confirmed by your creditor, was that you have a high level of utilization on other cards.  This is standard criteria for all of us and for all lenders. 

 

Your high balances are triggering  

FICO Code 10 "Proportion of balances to high credit on revolving accounts" 

& FICO Code 1:  "Current balances on accounts"

 

According to FICO, this issue shows poor credit management and poses a credit risk.  That means you are statistically a higher risk to your creditors.

As you reduce your balances, you can reduce your risk, its impact on your credit scores, and your creditors' AA in response to your high balances.

In your first post, you acknowledged that they gave you this information up front, when you said " According to them, it was because 'balance owed on revolving accts too high'  and 'balance too high compared to crdt limit' per Experian." 

 

Just remember that they are looking at all of your accounts, not just the account(s) you have with them. 

 

What kind of plan do you have to pay your balances down?  When you implement it, you will no longer put yourelf at risk for these types of issues.

 

I remember being a little shook up when I started to understand these types of things as well.  It's good to have these forums so we can learn and understand how FICO works - that's why we're all hanging out here - to learn.  Sometimes there's a little "ouch" involved.  But the more we understand, the smoother we keep things rolling in our individual credit worlds.

 

 Best wishes to you.

Just puttin' syrup on something, don't make it pancakes.
Regular Contributor
Nonaii
Posts: 246
Registered: ‎06-02-2008

Re: Chase closed my National Geographic card. Joy.

[ Edited ]

Lynette, yes, they credit limit decreased the Chase Freedom -- the card with the 5k credit limit and the near 500 balance (<10%), paid off in full, CLD'd as soon as the new statement hit, apparently.  I know paying off large amounts will lead to adverse action in this credit environment, but I wanted the amount paid off as it would be easy to do so.  I don't know if the pay off led to the CLD, if my interaction with the CSRs led to the CLD, if the CLD was already in the works because it's a former FIRST USA and the payoff/CSR review timing was coincidence, or what. 

 

beamMEup, all this means is that I'm going cash only.  I'm done.  Chase wins.  yes, I will worry more about paying off the balances I do have.  i won't worry about cards i have paid off, because i'm not going to use them.  as soon as all cards are paid off, the assorted card issuers can do whatever they want -- they're going to do it anyway beforehand.  whoever is left afterwards obviously hasn't minded me as a card member, and i'm not going to mind having them as my bank of choice.  what makes it easy is that I have crap for rewards on any of these cards.  what makes it hard is that i'd really rather not use a debit card for purchases in the meanwhile.

Valued Contributor
Jazzzy
Posts: 2,678
Registered: ‎07-29-2009

Re: Chase closed my National Geographic card. Joy.


Nonaii wrote:

Lynette, yes, they credit limit decreased the Chase Freedom -- the card with the 5k credit limit and the near 500 balance (<10%), paid off in full, CLD'd as soon as the new statement hit, apparently.  I know paying off large amounts will lead to adverse action in this credit environment, but I wanted the amount paid off as it would be easy to do so.  I don't know if the pay off led to the CLD, if my interaction with the CSRs led to the CLD, if the CLD was already in the works because it's a former FIRST USA and the payoff/CSR review timing was coincidence, or what. 

 


I'm sorry. I don't agree.

 

Paying off large amounts towards balances doesn't lead to adverse action. Owing the balances leads to the adverse actions.

 

The cc company didn't give you "paying off large balances" as their reasoning, did they? Didn't they say it was owing high balances and having high utilization?

 

I just don't want someone reading this and thinking that they shouldn't be paying off large balances if they can. They should pay those balances.

Moderator Emeritus
beamMEup
Posts: 4,473
Registered: ‎12-31-2008

Re: Chase closed my National Geographic card. Joy.


Nonaii wrote:

I'm going cash only. 


Hi Nonaii,

 

Cash only is an option that works well for some.  And if it keeps you sane, then it's a good choice.

 

Remember that exhibiting responsible use of credit will best affect your FICO score. 

 "Cash only" fails to do that - that is, cash only fails to exhibit responsible use of credit.

When you've had a chance to catch your breath, you can serve your FICO score best by using credit responsibly. 

That will provide you with the best possible financial opportunities moving forward.

Remember, though, that you're in the spot you're in because the high balances you were carrying exhibited less than responsible use of credit.  It's your behavior that your creditors were responding to.

 

Sometimes learning experiences are initially painful - but they help you in the long run.  We just have to be willng to learn. 

 

I wish you my very best.

 

 

Just puttin' syrup on something, don't make it pancakes.

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