topic Re: NASA fcu credit card closed without warning in Credit Cards

NASA fcu credit card closed without warning

Anonymous — Sun, 24 Jul 2016 21:45:27 GMT

Just got the notice in the mail. The card isn't a year old yet and they've decided to cancel it. It has a balance I've been religiously paying down and not using (that's what I'm supposed to do right?) I have no idea what to do. It's going to kill my credit as it was one of the two high limit cards I had. It hadn't even reached a year yet to pay out the balance rewards. I'm so bummed and confused. My credit is frozen and the reasons they gave were the same I'd had since they approved me. No new inquiries, my revolving did get high due to a home renovation disaster that I'm still paying off, but nothing else scary. What do I do about the remaining balance? It's too large to just pay off right away. I'm worried other creditors will follow their lead. (Discover already reduced my credit line by 800 bucks after I'd paid off a grand to them.)

Am I totally screwed now?

Re: NASA fcu credit card closed without warning

baller4life — Sun, 24 Jul 2016 22:19:49 GMT

Sorry to hear this happened to you. You are not alone. NASA is one of the few CUS that does this. Sp reports and close cards for various reasons. How high is your total util and individual util on the NASA cc?. You mention Discover reduced your limit. So I am suspecting your overall util is high?

As far as what to do now. Is your NASA balance purchases or a bt? By leaving the balance on a closed card, your individual util will skyrocket since you will show a balance on a card with $0 available credit.

Re: NASA fcu credit card closed without warning

Anonymous — Sun, 24 Jul 2016 22:23:50 GMT

Total util is higher than its been for a while, it's 43% last I checked. That card was a BT and purchases with a utilization near 80% after the BT. I'd been religiously paying it early and as much as I could. Discover reduced me after I used their BT offer and then Target doubled my credit limit in the same month. I'm so confused and really bummed. I was working really hard to pay everything down after this stupid home repair nightmare and I feel like I'm being penalized for it.

Re: NASA fcu credit card closed without warning

baller4life — Sun, 24 Jul 2016 22:32:32 GMT

@Anonymous wrote:
Total util is higher than its been for a while, it's 43% last I checked. That card was a BT and purchases with a utilization near 80% after the BT. I'd been religiously paying it early and as much as I could. Discover reduced me after I used their BT offer and then Target doubled my credit limit in the same month. I'm so confused and really bummed. I was working really hard to pay everything down after this stupid home repair nightmare and I feel like I'm being penalized for it.

I totally understand your frustration. What are your current FICO scores and are you a member of any CUs?

Re: NASA fcu credit card closed without warning

Anonymous — Sun, 24 Jul 2016 22:36:00 GMT

Credit is frozen, so best guess is the low 600s. Equifax won't pull on FICO and the other two are 633 due to two cards reporting a balance that were not before. (Didn't make the cut off time.) I have a dcu account for my car (unless they decide to sell that and not tell me) and that's about it.

Re: NASA fcu credit card closed without warning

baller4life — Sun, 24 Jul 2016 22:39:33 GMT

@Anonymous wrote:
Credit is frozen, so best guess is the low 600s. Equifax won't pull on FICO and the other two are 633 due to two cards reporting a balance that were not before. (Didn't make the cut off time.) I have a dcu account for my car (unless they decide to sell that and not tell me) and that's about it.

The reason I asked is because I was going to suggest a personal loan to pay off your cards and get those balances off your revolving accounts and onto an an installment loan. However, with your scores low 600s, a loan would be difficult. Could you do us a favor and list the cards you have now with balance/limit.

Re: NASA fcu credit card closed without warning

Anonymous — Sun, 24 Jul 2016 22:41:20 GMT

What kills me is I've been good! No new inquiries, working on balances as I can and no new derogatory reports. 100% on time payment history. One tax lien (paid in 2012) and one paid collection (portfolio) from July last year. Nothing else. Discover hasn't even reported yet.

Re: NASA fcu credit card closed without warning

Anonymous — Sun, 24 Jul 2016 22:45:03 GMT

So sorry this happened to you.

Re: NASA fcu credit card closed without warning

baller4life — Sun, 24 Jul 2016 22:46:44 GMT

Lenders nowadays have these algorithms in place to try and predict trouble. So no matter how well you feel like you are doing taking care of your accounts, they take AA in order to protect themselves. And in their eyes escalating util is a sign of trouble. Regardless of how well you pay it back. Been there. Done that. So, I know how you feel. It's extremely frustrating.

Re: NASA fcu credit card closed without warning

Anonymous — Sun, 24 Jul 2016 22:48:18 GMT

None of them are good.
Cap1- balance 17k, limit 20.5
Delta amx- balance 500, limit 2k
NASA- 11k, limit was 15k
Amx ED- balance 3k, limit 4 (BT and soon to have large payment)
Discover- 5.5, limit reduced to 6.1
Chase freedom- 900, limit is 1.5k
Barclay- 2, limit is 2.5 (also about to see a large payment)
Lowe's- 5.5, limit is 17k
Amazon- 2, limit is 6k
Boa- fluctuates btw 600 to 1200, limit is 2k

I've been focusing on paying down cap1, discover and nasa first but given how they've treated me, I'll probably focus elsewhere.

Definitely don't want to do a loan. I'll take my lumps but dammit, I really hate that I didn't get any warning or at least the chance to work with them to pay it off and then close it.

Re: NASA fcu credit card closed without warning

Anonymous — Sun, 24 Jul 2016 22:50:41 GMT

I'm sure. I understand the business side of it. But I hate they forgot there's a human behind there. What's funny is the elevated usage was only for a few months. I've kept everything else controlled until a large repair came through (on top of the renovation disaster). I've been working to reduce it and now I get stung.

Re: NASA fcu credit card closed without warning

Anonymous — Sun, 24 Jul 2016 23:07:32 GMT

48K in CC balances, am I correct?

Re: NASA fcu credit card closed without warning

baller4life — Sun, 24 Jul 2016 23:24:32 GMT

@Anonymous wrote:
None of them are good.
Cap1- balance 17k, limit 20.5
Delta amx- balance 500, limit 2k
NASA- 11k, limit was 15k
Amx ED- balance 3k, limit 4 (BT and soon to have large payment)
Discover- 5.5, limit reduced to 6.1
Chase freedom- 900, limit is 1.5k
Barclay- 2, limit is 2.5 (also about to see a large payment)
Lowe's- 5.5, limit is 17k
Amazon- 2, limit is 6k
Boa- fluctuates btw 600 to 1200, limit is 2k

I've been focusing on paying down cap1, discover and nasa first but given how they've treated me, I'll probably focus elsewhere.

Definitely don't want to do a loan. I'll take my lumps but dammit, I really hate that I didn't get any warning or at least the chance to work with them to pay it off and then close it.

Ok, given the fact that a personal loan is off the table, all you can do is focus on paying your balances down as fast as you can. Now there are two things to take into consideration, interest and individual util. You want to pay as little interest as possible. So whatever, is not on 0% promo or very low apr, you want to try to get those paid off relatively fast. Also, keep in mind that Fico dings you for individual util of 10%/30%/50%/70%/90%. So, after Amex and Barclays receives their large payment, your next high util cards are Cap One(83%), Discover (90%) and Chase (60%). Discover has already cld once. So, I would definitely try to get that card down ASAP. I know sometimes it cannot be helped. But, it's really best to keep individual util under 49% even with a bt(for maximum Fico scoring 30%). I learned that the hard way with Barclays.

Re: NASA fcu credit card closed without warning

Anonymous — Sun, 24 Jul 2016 23:15:12 GMT

Sadly, yes. I didn't add the cards that don't have balances. I'm at 52% utilization overall.

Re: NASA fcu credit card closed without warning

Anonymous — Sun, 24 Jul 2016 23:19:43 GMT

That's what I've been doing. Snowball method with undebt.it to help keep track. I was focusing on interest and usage percentages. I've been working on it for two months out of the four that it's been high. That's what has me shaking my head. It's literally been since March and now everyone has decided I'm the financial enemy. It's nuts.

Re: NASA fcu credit card closed without warning

Anonymous — Sun, 24 Jul 2016 23:21:02 GMT

Hey s**t happens. Any chance paying off NASA somehow now that it is closed and will be at 100% util?

Re: NASA fcu credit card closed without warning

baller4life — Sun, 24 Jul 2016 23:27:52 GMT

@Anonymous wrote:
That's what I've been doing. Snowball method with undebt.it to help keep track. I was focusing on interest and usage percentages. I've been working on it for two months out of the four that it's been high. That's what has me shaking my head. It's literally been since March and now everyone has decided I'm the financial enemy. It's nuts.

Well since you don't magically have a lump sum of cash to pay everything off at once. Just do the best you can and keep plugging away at it. We have had a few members that just continued to pay their NASA card off even after it was closed without any AA from other lenders. So, in your situation that is really all you can do. So sorry this happened to you.

Re: NASA fcu credit card closed without warning

Anonymous — Sun, 24 Jul 2016 23:35:21 GMT

Nope. Sadly I don't have a spare 11k hanging around. I wish I did!

Re: NASA fcu credit card closed without warning

Anonymous — Sun, 24 Jul 2016 23:36:36 GMT

As long as I keep paying, they won't come after me, right? I can only do so much with extra over the minimum but I really don't want to get thrown in collections.

Re: NASA fcu credit card closed without warning

baller4life — Sun, 24 Jul 2016 23:42:29 GMT

@Anonymous wrote:
As long as I keep paying, they won't come after me, right? I can only do so much with extra over the minimum but I really don't want to get thrown in collections.

Not as long as you keep paying on time they cannot report you to collections. You will continue to get monthly statements. Just pay as much as you possibly can. You will continue to show maxed until you pay them off.