Re: What you should know about the Dodd-Frank Act
08-19-2010 02:31 PM
I believe that something should be included that would not allow banks to lower your credit limit if you have had no late payments. We have scores in the mid 700's but would like to achieve the 800 mark. No late payments, no derogs, just a high debt to credit limit ratio. Based on this, we have been making significant payments to our accounts to bring the balances down, but every time we do that, the lender lowers the credit limit, which keeps the ratio high. To make matters worse, I use one card solely for business purposes. The card has a $25K limit, and I typically run about $20K per month through it. When that card had a $30K limit, and I made a $10K payment on it, they immediately lowered my CL to $25K which caused a little grief for business travel. To make matters worse, this particular bank only allows 4 online payments a month, which means we have to craft payments to coincide with closing dates so as not to lose more credit limit. Almost a full time job!