@sarge12 wrote:
@Anonymous wrote:
HI, Just got a letter from Chase that they are closing my card due ti in activity,
card has not been used for past 2 years and i have this card since 2007, my score is 803.
i,m going to give them a call to ask them keep it open,hope they do,in mean time it it right to apply for a new
card before i call them? i got pre qualified for chase unlimited freedom.
Thanks
Chase seems to be trying to limit exposure lately with closures, Capital One seems to be handing out CLD's lately also. The banking industry seems to be nervous for some reason...makes one wonder do they know something the general public does not yet know.
Maybe, or maybe not. I'll return to what I've previously said; there are some common, though by no means invariable or universal, threads in all these closures, CLD's and other AA's is that the account(s) being affected have (1) at least in the specific case of Comenity, been applied for via the Shopping Cart Trick to the effect that a large number of those cards have been obtained, much larger than issuers might consider normal in the usual course of business; and/or (2) have had comparatively rapid increases, often initiated by the accountholders themselves, via application for CLI's either online or by direct (phone) contact, to large - often very large - credit lines, again much larger than they might have become in the usual course of events, and often much larger CL's than makes sense for accountholders at their level of income; and/or (3) have not been actively used in a considerable period of time; and/or (4) have been regularly paid in full, either in single monthly payments or multiple payments occuring as often as weekly, and in some cases not allowing the interest that credit card issuers rely on to make their profits time to generate; and/or (5) appear to the issuer to have been obtained mainly for the sake of getting various rewards or other benefits rather than actually using the card over the long term; and/or (6) have been flagged by issuers for potential or actual questionable activity, going from discrepancies in recording profile information to possible outright fraud. Often more than one of those factors is present in an issuer's decision to execute an AA.
In fact, I'd go so far as to say that there may be some kind of crackdown going on - maybe coordinated, maybe not; after all, if we know all these maneuvers, so do the issuers, and they may quite possibly have had some pretty detailed private discussions among themselves about the problem - with various issuers trying to get control of various things like the SCT and "churning", which they may view as unfairly gaming the credit-issuing system. We do know that at least a couple of card issuers, for instance Amex, have publicly announced in the not-too-distant past that they're taking steps to rein in such activities.
@I don't know for a fact that the above is what's going on, but I think there's a fair bit of circumstantial evidence accumulating to support the supposition. P.S. @RockinRay: I'm aware that there's been a lot of talk lately about the Fed raising rates, and I think they did raise them a tad at their last meeting, but I don't think that'd be enough to excite such a...vigorous...response from issuers. After all, APR's are volatile by their nature; it's understood that they'll go up and down.
. These companies will stop at nothing to make sure that how when we use the bathroom somehow calculates and corelates to our creditworthiness