topic Re: Amex cancelled my account in Credit Cards

Amex cancelled my account

Anonymous — Mon, 10 Apr 2017 22:46:11 GMT

Amex cancelled my account I had a Blue Cash card. I was over my CL but paid it in full after I received the letter that they were cancelling my account. How will this affect my credit score? And has anyone had an opportunity for reinstatement with them?

Re: Amex cancelled my account

Anonymous — Mon, 10 Apr 2017 23:18:16 GMT

Anything else going on in your credit files? Score drop, increase in utilization, late payment?

There must be a reason for the account closure.

Re: Amex cancelled my account

Anonymous — Tue, 11 Apr 2017 01:10:19 GMT

I received a letter stating decrease in my fico score. When I called they said for me to take my time, increase my score, and re-apply again within 3 months.

Re: Amex cancelled my account

DollyLama — Tue, 11 Apr 2017 01:38:55 GMT

Has your overall utilization outside of AMEX also gone up? Applied for new credit since your account open? I thought I read on here they will soft pull you every so often and don't like credit seeking inquires for pyramiding?

Re: Amex cancelled my account

Anonymous — Tue, 11 Apr 2017 02:40:51 GMT

@Anonymous wrote:
Amex cancelled my account I had a Blue Cash card. I was over my CL but paid it in full after I received the letter that they were cancelling my account. How will this affect my credit score? And has anyone had an opportunity for reinstatement with them?

In response to how it will affect your score, the only change to your score will be due to any change this creates in your UTI. Paying it off was a great move, since reporting $xx of 0 available would have KILLED your score.

But the + TL will continue to report for 10 years. There will probably be a closed by credit grantor note but that will only potentially affect a manual review, and there are still 1000 reasons it could have happened.

Re: Amex cancelled my account

AverageJoesCredit — Tue, 11 Apr 2017 02:58:18 GMT

Best thing is you paid off account so that leaves the door open with Amex. They probably just want you to work with whatever caused the closure.

Re: Amex cancelled my account

Anonymous — Tue, 11 Apr 2017 12:58:22 GMT

What was the CL? Just surprised they actually closed rather than reduced, unless the CL was already very low

Re: Amex cancelled my account

Anonymous — Tue, 11 Apr 2017 17:39:19 GMT

I had the Green Card 2 years ago, ran 3 late 3 payments and ended up having the account charged up. Fast forward to about 6 months ago I started receiving letters saying that I was eligble for reinstatement with with their rebuilder Optima card if I paid my bill in full, which I did. I think its locked into a SL of $600 for 12 months, but ill take it. Hope this helps.

Re: Amex cancelled my account

Anonymous — Tue, 11 Apr 2017 21:50:11 GMT

Amex gets spooked to easily. You went over the limit and they pulled the plug. I'm sure you can get back in with them in the future..

Re: Amex cancelled my account

wasCB14 — Tue, 11 Apr 2017 22:18:00 GMT

How far over what sort of limit?

Are we talking about a $30k balance on a $20k CL? Or $600 on a $500 CL?

Re: Amex cancelled my account

Anonymous — Wed, 12 Apr 2017 00:06:59 GMT

my CL was 3,000

@Anonymous wrote:
What was the CL? Just surprised they actually closed rather than reduced, unless the CL was already very low

Re: Amex cancelled my account

Anonymous — Wed, 12 Apr 2017 00:12:50 GMT

4,000 on a 3,000 CL, I paid it in full then saw the e-mail. They also made a comment about 3 return payments fees I had months ago!. But overall the bills have always been paid. I'm just hoping that in a few months they will reinstate itand I wish they gave a warning before they closed it instead of just randomly doing it.

Re: Amex cancelled my account

Anonymous — Wed, 12 Apr 2017 00:38:07 GMT

I am sorry to hear this my friend, I hope AmEx gives you an opportunity for reinstatement since it appears your account is in good standing and paid in full.

Re: Amex cancelled my account

wasCB14 — Wed, 12 Apr 2017 00:48:14 GMT

@Anonymous wrote:
4,000 on a 3,000 CL, I paid it in full then saw the e-mail. They also made a comment about 3 return payments fees I had months ago!. But overall the bills have always been paid. I'm just hoping that in a few months they will reinstate itand I wish they gave a warning before they closed it instead of just randomly doing it.

Going over the CL plus having three payments returned, all within a few months? I get that it's a major pain, but I can't say the account closure is a shock to me.

Warnings would be nice, but they aren't common in the CC world.

Re: Amex cancelled my account

Anonymous — Wed, 12 Apr 2017 00:50:53 GMT

IMHO one returned payment is probably enough for AA, but 3 shows very very high risk. Returned payments are probably one of the worst risk categories (other than missing a payment) -- going over credit limit is another high risk category. I am not surprised they closed the account -- keep this in mind going forward with future creditors!

Re: Amex cancelled my account

tcbofade — Wed, 12 Apr 2017 00:58:40 GMT

@Anonymous wrote:
4,000 on a 3,000 CL, I paid it in full then saw the e-mail. They also made a comment about 3 return payments fees I had months ago!. But overall the bills have always been paid. I'm just hoping that in a few months they will reinstate itand I wish they gave a warning before they closed it instead of just randomly doing it.

First, it is my goal to be friendly and helpful, not rude or unkind.

This was not random. $1,000 / 25% over your credit line and THREE returned payments caused the closing.

If you've already paid in full, (good for you!) there isn't much more that you can do except wait.

90 days? 180 days? I'm not sure how long you'll need to wait, but give it some time and reapply for a new Amex.

Good luck!

Re: Amex cancelled my account

Anonymous — Wed, 12 Apr 2017 01:57:25 GMT

@tcbofade wrote:

$1,000 / 25% over your credit line

It's worse than 25%... $1000 over on a $3000 is 33% over -- or 133% utilization.

Lots of folks get worried if a TL goes over 30% utilization in terms of AA from other prime banks. 133% = 400% more than 30% utilization. Major red flag for a prime bank like Amex who handles their own risk and long term collections.

Re: Amex cancelled my account

Anonymous — Wed, 12 Apr 2017 01:59:35 GMT

ninja'd lol

Re: Amex cancelled my account

Anonymous — Wed, 12 Apr 2017 02:20:58 GMT

Returned payments are no bueno, mi amigo. Manage your other tradelines well and Amex will let you back in

Re: Amex cancelled my account

Anonymous — Wed, 12 Apr 2017 03:37:26 GMT

To be fair, Amex could have declined the charges over the CL, so I wouldn't blame the OP for that so much. Three returned payments in addition though, I am surprised that they waited so long!

Amex can be very forgiving, or not. When they closed my card because they didn't like the spending pattern let's say, I was able to get a CLI on another Amex card straight away, a new Amex card the following month, and a new card of the same type as the closed one two months later. So make your record look as good as possible, and make sure no more returned payments, and you should be OK