QUESTION FOR THOSE WITH CANCELLED WAMU/CHASE?

[Anonymous]

What's the point of arguing about the so-called "reasons"? Chase is doing CLDs and closing accounts because they do not want to extend any additional credit to 3 million selected accounts. No action is going to result in Chase being forced to grant new credit. Furthermore, why would anyone who is targeted want to do any additional business with a bank who has resorted to these measures? It's like wanting to stay married to an evil spouse who has treated you horribly, just because you disagree with the reason they filed for divorce ...

[score_building]

---

@Anonymous wrote:
What's the point of arguing about the so-called "reasons"? Chase is doing CLDs and closing accounts because they do not want to extend any additional credit to 3 million selected accounts. No action is going to result in Chase being forced to grant new credit. Furthermore, why would anyone who is targeted want to do any additional business with a bank who has resorted to these measures? It's like wanting to stay married to an evil spouse who has treated you horribly, just because you disagree with the reason they filed for divorce ...

---

[Anonymous]

---

@Anonymous wrote:
What's the point of arguing about the so-called "reasons"? Chase is doing CLDs and closing accounts because they do not want to extend any additional credit to 3 million selected accounts. No action is going to result in Chase being forced to grant new credit. Furthermore, why would anyone who is targeted want to do any additional business with a bank who has resorted to these measures? It's like wanting to stay married to an evil spouse who has treated you horribly, just because you disagree with the reason they filed for divorce ...

---

Because under the FCOA they are required to give a reason. And they cannot withhold credit under the FCOA without a reason. They violated the law once they said they based their decision on a credit report they never even requested. In my case the two cards they canceled represented about 24% (and were amongst my lowest APR) of my total credit and knocked my credit rating down about 80 points.

[orl2185]

---

@Anonymous wrote:

---

@Anonymous wrote:
What's the point of arguing about the so-called "reasons"? Chase is doing CLDs and closing accounts because they do not want to extend any additional credit to 3 million selected accounts. No action is going to result in Chase being forced to grant new credit. Furthermore, why would anyone who is targeted want to do any additional business with a bank who has resorted to these measures? It's like wanting to stay married to an evil spouse who has treated you horribly, just because you disagree with the reason they filed for divorce ...

---

Because under the FCOA they are required to give a reason. And they cannot withhold credit under the FCOA without a reason. They violated the law once they said they based their decision on a credit report they never even requested. In my case the two cards they canceled represented about 24% (and were amongst my lowest APR) of my total credit and knocked my credit rating down about 80 points.

---

Ouch... I'm so sorry to hear that. Noticed they been softing all cb on me. just got bumped on my freedom when account renewed. This is from wamu opened in 06-06. Cl is now at 4.5k form 3.7k.

Not sure what to do with them now.

[Anonymous]

I have no wish to stay 'married' to Chase any more than I wished for a life with WAMU.  That's simply not the point.  My credit score is the point.

A lot of people here seem to underestimate the significance of a canceled card.

I just got my Chase-which-had-been-WAMU-which-had-been-Providian canceled on the 15th.  It has a balance of ZERO but a long record of moderate use, sometimes carrying a balance, and a CL of 3900.

I now have an altered debt-to-credit ratio with no good reason for it.  My credit is close to perfect, and if they had a reason to close it at some time, that time would not be now.  This is an old card for me and the closure by a merchant will negatively affect me at a time when I was making a huge effort to really be able to get the best rates on loans.  I have received nothing but punishment for working to improve my credit.

[Anonymous]

I feel the same way snowfarmer.. I wanted to cancel them after they raised me to 30% apr. but stuck with them for the sake of my credit score.. now they dump me for no good reason!

[Uborrow-Upay]

---

@Anonymous wrote:

They violated the law once they said they based their decision on a credit report they never even requested.

---

Welcome to the forum, TomKo!

Most creditors do a "soft pull" on your credit regularly.  You just won't see that soft inquiry on your report, one exception is the report from annualcreditreport.com, it shows soft hits.  There may be others, folks here will chime in with those.

As far as basing their decision on info in that report, the "info" could be anything, good, bad or indifferent...the CCCs get to change their terms "for any reason, at any time" or no reason at all.  That's just the way it is.

It's not you, per se.  It's the general paranoia at the banks these days.

[creditwherecreditisdue]

You will see your soft inquiries (account maintenance or promotional) on a traditional credit report pulled directly from one of the major CB's. annualcreditreport.com is a portal to those CB's that will allow you to pull your own CBR from each of the major CB's once per year at no charge. You will not get your soft inquiries on reports obrained from myFICO.com, truecredit.com or transunioncs.com.

[creditwherecreditisdue]

---

@Anonymous wrote:

The problem is that they never requested any information from Experian. I suspect that they are closing all these accounts without even requesting any information from Experian.

---

Are you sure? Have you checked your soft INQ? 

---

@Anonymous wrote:

One would think that their letter constitutes fraud as their decision was not even partially based on the credit report.

---

This is not a fraud. It may be a lie, but it is not a fraud. If you think your rights under the FCOA have been violated be sure not to opt out of the inevitable class action law suit. If you stay the course with the suit you will most likely be compensated $5 worth of coupons five years from now (after the lawyers get paid).

Bottom line is they can adjust your APR or cancel your account at any time for pretty much any reason. Best to just pick up the pieces and move on. The alternative is utter frustration.

[creditwherecreditisdue]

---

@Anonymous wrote:

A lot of people here seem to underestimate the significance of a canceled card.

---

They do? I am not aware of that. Some are in a better position to handle it that others, but no one doubts the impact of a canceled card.

---

@Anonymous wrote:
I just got my Chase-which-had-been-WAMU-which-had-been-Providian canceled on the 15th.  It has a balance of ZERO but a long record of moderate use, sometimes carrying a balance, and a CLC of 3900.

I now have an altered debt-to-credit ratio with no good reason for it.

---

Since your Chase balance was zero that would mean you were carrying balances elsewhere. How high was your utilization on your other accounts, both individually and in total?

---

@Anonymous wrote:
This is an old card for me and the closure by a merchant will negatively affect me at a time when I was making a huge effort to really be able to get the best rates on loans.  I have received nothing but punishment for working to improve my credit.

---

I can understand your frustration totally, however your efforts have not been in vain. They were necessary. And it remains necessary for each of us to strive to perfect our credit every day (if we want improving credit) in spite of the obstacles that are thrown in our way. A very challenging economic climate exists at present in the world at large. Everyone should anticipate being effected in some way. I know I have!