topic Re: * First REAL Adverse Action - BofA SHUT DOWN ! in Credit Cards

* First REAL Adverse Action - BofA SHUT DOWN !

Anonymous — Tue, 03 May 2016 22:06:24 GMT

Let me begin by saying this is a hard thread to write -- and I want to preface this by saying that I am very sorry that I did not listen to some of you with the (albeit sometimes abrupt) sound advice you had to offer me during my app sprees. I do regret not listening to those who are far more seasoned than myself, and have backed off quite a bit in apping after my success with PenFed. THAT SAID, the only reason I'm posting this is because a fellow poster, CreditAddict, posted an almost IDENTICAL post a week ago, and I want this to be a data point and lesson for many others who exhibit simialr behavior.

My card with BofA was opened in November with a TU score of about 675-680, as the ALASKA AIR Card $2000 limit -- bumped to $5,000 after 2 months. In March, I wanted to see if I could get this card changed to CASH REWARDS, and was contacted by an Underwriter Superviosr who approved the change, which she stated at the time was "due to my excellent payment history with BofA, and credit report" .. odd looking back that 60 days later they nix me. The card did not change until 5/1, and on 5/2, I go to log in and get the dreaded message "You have no open accounts" ! I instantly knew after reading Creditaddict's post -- and low and behold, I call in, SAME EXACT REASON -- Too much available credit and inquiries. The analyst offered to put me in for a reopen, but stated it would be a HP -- I said no way. You're complaining about my INQs and you want to add another? Pound sand, lady. I must say the logic of these lenders makes very little sense to me, and seems very counterproductive, but I digress. I requested a Senior UW, who stated "You do have FANTASTIC payment history with us, and I see you always pay your account in full and your overall credit picture is very good (according to her SP score pulled - get this - 709), however due to the very large amount of available credit to you, the account was closed." I am waiting on a call from the Asst VP in UW, but not holding my breath and to be honest -- I'm not all that upset. I engaged in risky behavior, and now I see what can happen. I do not necessarily AGREE with the decision, but I do not work in risk based finances, so there's that.

Now, I will say that my overall UTIL (which she complimented too) is now at 7%-8% overall, my overall avaialble credit is about $120,000, & my balances TOTAL are just a tad under $8k after some paydowns. She also said that at any time after I "lessen my available credit to me" I can call her (gave direct # !!) and she will look at my account for a reinstatement given my history with them and credit being inherently good. She ALSO SAID -- and here is the real driving point for you app-spreeers - that what triggered my review was SUDDENLY charging & paying off my large balance! Normally on my BofA card, I dont charge a lot as it is -- because I was not getting the cash rewards yet -- but this past month I put a large charge on it of ~$4000 for tickets and hotel since my partner flies Alaska, and paid it off within billing cycle. BOOM. Account Review. She blatantly told me that is a red flag for BofA, and it sent my account for review. Nothing more; infact, she said that my UTIL is considered "excellent" ?

Here's one thing that really lights my fire though -- You can close my account on May 2 using a SP, but you want to ADD a HP the SAME DAY to reopen my account, and further damage my credit in the INQ Section at least ?? Absolutely ridciulous. Beyond, infact. So @ss backwards, but it is what it is. Even she said "I see where that can be odd to a consumer". She was actually quite nice, so I had a hard time really copping a 'tude with her which lets be honest, I can sometimes do

Now, With all that said, I am taking a long break from the forums after this post -- especially the APPROVALS section. It can be very educational and amazingly informative, but also destructive for certain personality types. I have ALLLLLLL the credit I need, and can truthfully say I'm done for a very long time (to note, I havent had an INQ in about a month as it is). I wish all of you the absolute best in your journey, and hope that someone can learn from this experience. It sure as heck is not the end of the world, I'm not the first to go through it and I will not be the last, and life sure goes on wtihout BofA in my wallet

Thank you all again! :-)

Re: * First REAL Adverse Action - BofA SHUT DOWN !

Anonymous — Tue, 03 May 2016 22:16:58 GMT

Sorry for you account closure. Appreciate your post and providing the information as to what caused the AA.

Re: * First REAL Adverse Action - BofA SHUT DOWN !

Anonymous — Tue, 03 May 2016 22:17:55 GMT

thank you Irish!

Re: * First REAL Adverse Action - BofA SHUT DOWN !

Discover2016 — Tue, 03 May 2016 22:20:04 GMT

Wow sorry to hear about the closure of your BofA card! It seems to me that BofA has a slightly lower threshold for AA compared to the other major banks.

Re: * First REAL Adverse Action - BofA SHUT DOWN !

Anonymous — Tue, 03 May 2016 22:21:10 GMT

Thanks Discover -- like i said, second post in a week with EXACT same reasoning -- similar ot the sweep of Discover a few weeks ago which my friend's account was yanked suddenly. Lenders are perhaps tightening up across the board

Re: * First REAL Adverse Action - BofA SHUT DOWN !

Anonymous — Tue, 03 May 2016 22:26:04 GMT

Sorry to hear.. Thanks for sharing and hang in there..

Re: * First REAL Adverse Action - BofA SHUT DOWN !

Anonymous — Tue, 03 May 2016 22:27:43 GMT

thank you Yes-its-Me!!!!! im fine

Re: * First REAL Adverse Action - BofA SHUT DOWN !

Gatito — Tue, 03 May 2016 22:34:04 GMT

WOW! Sorry for the acct closure but thanks for this informative post! This will really help myself and many others out.

Re: * First REAL Adverse Action - BofA SHUT DOWN !

kdm31091 — Tue, 03 May 2016 22:35:47 GMT

Thanks for posting as it serves as another reminder for people to limit exposure. Diversity is good, but it doesn't mean you need a million cards and limits you won't use. Best to keep things moderate.

Re: * First REAL Adverse Action - BofA SHUT DOWN !

CreditMagic7 — Wed, 04 May 2016 00:52:55 GMT

So let's try to make some more sense of this ok?

The account was roughly only 6 months history? And a charge of $4K was put on a $5K total limit in spite of the fact that it was PIF within that same billing period.

Dunno but maybe that most likely did rattle their cage.

It's been suggested here and there before to tread easy and light with them early on until establishing some pattern whatever that might be and a lot longer than 6 months?

Just trying to read deeper into them on this and thanks so much OP for taking the courage to share your experience on this with the forum that very well may save the bacon for others who might be in a rush with them.

Then again it very well could be systematic of something else altogether entirely different but still is a bummer..

Re: * First REAL Adverse Action - BofA SHUT DOWN !

Anonymous — Tue, 03 May 2016 22:40:25 GMT

@Anonymous wrote:
thank you Yes-its-Me!!!!! im fine

So BOA were stabbing you in the back [closing your accout] and at the same complimenting you on how good of a job you have done handling your credit? Talk about the irony of that... interesting..

You still have plenty of credit so it is a hard lesson learn..

Re: * First REAL Adverse Action - BofA SHUT DOWN !

Anonymous — Tue, 03 May 2016 22:38:13 GMT

thanks kdm -- should have heeded your words before but you live and you learn.

Im really glad this can help some people out

Re: * First REAL Adverse Action - BofA SHUT DOWN !

Anonymous — Tue, 03 May 2016 22:40:55 GMT

Yes its-Me: Yes i'm seeing a trend of lenders (BofA, Discover) having a mjaor issue with "AVAILABLE CREDIT" ... in other words, from their angle, if you have $120k in open credit to you, even with an income in 6 figures, you can charge that to the extent of $120k and just bolt if you so choose. So that much credit/money available to you poses them a risk. I can see all angles, really. Even with super low UTIL, it is a risk to have $120k in open lines.

Re: * First REAL Adverse Action - BofA SHUT DOWN !

kdm31091 — Tue, 03 May 2016 22:43:27 GMT

At some point lenders view open credit as being debt you can potentially rack up. This becomes more of an issue when you have inquiries piling up and new accounts, because it appears you are hungry and desperate for credit and may rack up far more than you can pay. The AA makes sense, as much as it can suck to have happen. Most general consumers have between one and three cards, so automatically you are standing out and it may not be in a good way.

Re: * First REAL Adverse Action - BofA SHUT DOWN !

Appleman — Tue, 03 May 2016 22:45:54 GMT

I am actually impressed with the custome service with BofA in this case. This appears to be an incident that was flagged by computer (looked like the bad kind of spend, I understand it was not). The UWs had very little they could do, but they did talk to you like a real person and did their best to explain the rationale (even though it is backward from our vantage point).

Thank you taking the time to share your unfortunate news, I personally will tread lightly with my app spree cards....

Re: * First REAL Adverse Action - BofA SHUT DOWN !

Anonymous — Tue, 03 May 2016 22:45:04 GMT

That does stink and shows us to be careful with our overall exposure with lenders. Like kdm said, keep it modest and to only what you need.

Re: * First REAL Adverse Action - BofA SHUT DOWN !

satasat360 — Tue, 03 May 2016 22:47:32 GMT

@Anonymous wrote:
Yes its-Me: Yes i'm seeing a trend of lenders (BofA, Discover) having a mjaor issue with "AVAILABLE CREDIT" ... in other words, from their angle, if you have $120k in open credit to you, even with an income in 6 figures, you can charge that to the extent of $120k and just bolt if you so choose. So that much credit/money available to you poses them a risk. I can see all angles, really. Even with super low UTIL, it is a risk to have $120k in open lines.

I'm sorry this has happened to you. But where do you see Discover is having major issue with available credit? I haven't seen that in the forums yet.

Re: * First REAL Adverse Action - BofA SHUT DOWN !

Anonymous — Tue, 03 May 2016 22:47:46 GMT

kdm is spot on -- thats exactly what she said.

And yes, the account was flagged by the computer but CLOSED by an analyst. That same analyst who closed it was a real b****, but her supervisor was amazingly kind. AND INFORMATIVE!!!! And I agree, I had it coming -- as many here probably do lol. I will update when the Asst VP calls me -- though at this point I am just gonna mosey on my way, garden forever lol and just live my life !!!!

Re: * First REAL Adverse Action - BofA SHUT DOWN !

Anonymous — Tue, 03 May 2016 22:48:49 GMT

satasat -- There were several posts last week or 2 about Discover closing accounts / CLDing for "too much available credit or new accounts" ... happened to my best friend last week too

Re: * First REAL Adverse Action - BofA SHUT DOWN !

Anonymous — Tue, 03 May 2016 22:49:14 GMT

@Anonymous wrote:
kdm is spot on -- thats exactly what she said.

And yes, the account was flagged by the computer but CLOSED by an analyst. That same analyst who closed it was a real b****, but her supervisor was amazingly kind. AND INFORMATIVE!!!! And I agree, I had it coming -- as many here probably do lol. I will update when the Asst VP calls me -- though at this point I am just gonna mosey on my way, garden forever lol and just live my life !!!!

Time to update that siggy and get it out of there.