topic Huntington CLD in Credit Cards

Huntington CLD

cship10 — Thu, 13 Jun 2019 21:04:19 GMT

I recently paid off a larg chunk of Credit Card debt to the tune of 25k which we incurred from our wedding last fall. Huntington never blinked an eye and I used a 0% BT promo they sent me to consolidate a few smaller balances and take advantage of 0%. My credit line was 18k on the card I did the BT to. This was back in november. Today, I recieved an email that they cut my line to 6000 with a balance of 5,000 after I made a 1,000 dollar payment. They didn't touch my other card that is at 18k and 0 balance.

What gives? I'm not over 29% on any single card and under 7% for my total utilization across the board. My scores have gone from low 700's when I got the card to around 750. Worried this will tank my scores showing such a high utilization and now worried they are going to Balance chase me.

Its confusing and makes no sense as my profile has improved with age since getting the card. They didn't blink at the 7k balance I had on the other card for 5 months and then paid it off to 0. I have limits in the mid 30's on several cards.

Did this happen to anyone else? I'm just going to pay the card off next month and sock drawer it or close it.

Re: Huntington CLD

Anonymous — Thu, 13 Jun 2019 21:13:15 GMT

The biggest reason usually is holding a high balance and making minimum payments for an extended period of time. Something in their creiteria must have flagged your account for a reduction. It's not relative to your CR from the #'s you're providing.

utilization may effect your scores short term but, as things are paid off the points come back just as quick as they left. If you don't want the skewed numbers then move the balance elsewhere.

Re: Huntington CLD

FinStar — Thu, 13 Jun 2019 21:37:26 GMT

Lenders constantly evaluate their risk models and algorithms so there's a great possibility that certain factors may have caught their attention and AA was the culprit for the CLD.

It's simply a business decision that simply limits their exposure OP. Not to be taken personally.

5/3, FNBO, SunTrust and a plethora of other regional banks have similar risk policies just like their larger counterparts.

So, while it can be a temporary sting or annoyance, you can always get things situated with your profile and see whether a CLI is in order ~6 months from now. It is my understanding their CLIs are still SP.

Re: Huntington CLD

gdale6 — Thu, 13 Jun 2019 22:07:08 GMT

First time I have heard of a Huntington Bank CLD but all will do it if they dont like something they see. Huntington exclusively uses EQ so check and see if something has happened on that report.

Re: Huntington CLD

SBR249 — Thu, 13 Jun 2019 22:47:00 GMT

It's also important to rememer that economic times do change. What may be acceptable risk to a lender during the boom years of a business cycle may not fly when things look shaky. My personal sense is that in the past year or so, lenders have become more and more conservative in terms of their risk tolerance and more aggressive in their risk mitigation measures. I guess given how long this current phase of expansion has gone on and recent volatility in the markets, lenders want to make sure they get ahead of the contraction and aren't caught out by flip side of the potential downturn.

Re: Huntington CLD

SouthJamaica — Thu, 13 Jun 2019 22:56:30 GMT

@cship10 wrote:
I recently paid off a larg chunk of Credit Card debt to the tune of 25k which we incurred from our wedding last fall. Huntington never blinked an eye and I used a 0% BT promo they sent me to consolidate a few smaller balances and take advantage of 0%. My credit line was 18k on the card I did the BT to. This was back in november. Today, I recieved an email that they cut my line to 6000 with a balance of 5,000 after I made a 1,000 dollar payment. They didn't touch my other card that is at 18k and 0 balance.

What gives? I'm not over 29% on any single card and under 7% for my total utilization across the board. My scores have gone from low 700's when I got the card to around 750. Worried this will tank my scores showing such a high utilization and now worried they are going to Balance chase me.

Its confusing and makes no sense as my profile has improved with age since getting the card. They didn't blink at the 7k balance I had on the other card for 5 months and then paid it off to 0. I have limits in the mid 30's on several cards.

Did this happen to anyone else? I'm just going to pay the card off next month and sock drawer it or close it.

To be honest, I've reread your post several times, and don't really understand what happened. Can you possibly rewrite this:

I understand that you have 2 credit card accounts with Huntington, but I don't understand what you did or didn't do with them.

I understand that the bank balance chased you on one of the accounts and not the other, but I don't understand what had happened with the accounts before that.

Re: Huntington CLD

FinStar — Thu, 13 Jun 2019 23:23:15 GMT

I'm assuming the $25K is related to a post (#48) that the OP made on 4/30 in the thread below:

https://ficoforums.myfico.com/t5/Credit-Card-Applications/BB-amp-T-pre-qualify/m-p/5594411

Re: Huntington CLD

dac1 — Fri, 14 Jun 2019 00:49:20 GMT

Huntington did the same thing to me today on my Voice World Mastercard. The credit line was reduced from $27,000 to $7,500. They email stated the decrease was a result of a general review of all Huntington credit card lines. I typically carry no balance on it.

Re: Huntington CLD

cship10 — Fri, 14 Jun 2019 01:21:08 GMT

Sorry if it was confusing. The card that is still at 18k was used monthly and carried a balance for around 11 months. My husband used it as I hardly ever used it and he charged it up to roughly 6-7k and we were making 1,000-2,000 dollar payments and charged back up to 6-7k every month (revolving balance usually stayed around 5-6k for reporting) until I completely paid it to 0 in April. The other card was not used much and I took advantage of a 0% offer they sent me in December and consolidated a few random balances to the card. I always paid between 300-400 a month on the card because I was in no rush to pay it off while taking advantage of the 0%.

I did see the other reply that this just happened to them today so it must be just happening in prep for what others said. I just thought it was strange they adjusted one credit line and not the one with a 0 balance.

Re: Huntington CLD

SouthJamaica — Fri, 14 Jun 2019 10:26:12 GMT

@cship10 wrote:
Sorry if it was confusing. The card that is still at 18k was used monthly and carried a balance for around 11 months. My husband used it as I hardly ever used it and he charged it up to roughly 6-7k and we were making 1,000-2,000 dollar payments and charged back up to 6-7k every month (revolving balance usually stayed around 5-6k for reporting) until I completely paid it to 0 in April. The other card was not used much and I took advantage of a 0% offer they sent me in December and consolidated a few random balances to the card. I always paid between 300-400 a month on the card because I was in no rush to pay it off while taking advantage of the 0%.

I did see the other reply that this just happened to them today so it must be just happening in prep for what others said. I just thought it was strange they adjusted one credit line and not the one with a 0 balance.

OK thanks.

So the card that was used heavily, and carried revolving balances continually for 11 months is the one that is still intact.

While the other one, which was used very lightly for balance transfers, and has been paying no interest or swipe fees, is the one that got CLD'd.

It seems obvious to me. One account is profitable to them. On the other one you're not letting them make a buck. So they lowered the limit.

Makes perfect sense. It's not just about risk, it's also about profitability. Carrying large unused limits costs them money, so why would they on an account that's not making them money?

Re: Huntington CLD

kdm31091 — Fri, 14 Jun 2019 12:07:17 GMT

@SBR249 wrote:
It's also important to rememer that economic times do change. What may be acceptable risk to a lender during the boom years of a business cycle may not fly when things look shaky. My personal sense is that in the past year or so, lenders have become more and more conservative in terms of their risk tolerance and more aggressive in their risk mitigation measures. I guess given how long this current phase of expansion has gone on and recent volatility in the markets, lenders want to make sure they get ahead of the contraction and aren't caught out by flip side of the potential downturn.

This. We are seeing more of it across the board. The reality is that large unused lines of credit are a) not profitable for the bank and b) can be seen as a potential risk for for the bank there's plenty of reason to cut the limits when things tighten up.

Re: Huntington CLD

Anonymous — Fri, 14 Jun 2019 15:23:54 GMT

@SBR249 wrote:
It's also important to rememer that economic times do change. What may be acceptable risk to a lender during the boom years of a business cycle may not fly when things look shaky. My personal sense is that in the past year or so, lenders have become more and more conservative in terms of their risk tolerance and more aggressive in their risk mitigation measures. I guess given how long this current phase of expansion has gone on and recent volatility in the markets, lenders want to make sure they get ahead of the contraction and aren't caught out by flip side of the potential downturn.

The sad truth is that in trying to get ahead of the contraction and anticipate the anticipated increased risk, when they get too aggressive in CLDs they can actually trigger the very contraction and increased risk that they tried to avoid. This happened to me in the ramp-up to 2008. I had several cards that had a balance, was current on all debts and all of a sudden all my cards started balance chasing. The CLDs jumped my UTIL from 8% to 90% literally overnight and my credit score tanked because of this (keep in mind - I had not taken on even $1 in additional debt and had not missed a payment to any creditor.) All of a sudden the CC companies started closing my accounts because of my decreased credit score and my access to credit completely dried up. I was forced to reduce the size of my business by 75%, lay off employees and make whatever cuts I could ASAP. Because my staff had been laid off and my access to credit cut off, I had to start cutting back my sales force because the remaining staff could not handle the volume the sales force was generating and I no longer had access to the credit line needed to ramp back up. The fixed expenses of the company eventually put the company out of business a year later, and the banks that triggered the downfall took a $100,000+ loss in the resulting bankruptcy.

All because of some algorithm in a bank's computer - not because of anything I or my company did. Had the banks not balance-chased, directly causing the increased utilization that tanked my credit score that led to the closing of all credit lines that led to the shrinking and ultimate closing of my business, several people would not have lost their jobs and my business would have continued and the banks would have gotten 100 cents on the dollar instead of 2 cents on the dollar. WTG, bankers.

Since then my credit scores have recovered and I keep no balance on any card. I literally pay them all off every Friday. I have scaled my business back to the point where I am the only person working in it, and I am not about to need to lay myself off. My business no longer relies on credit to smoothe out the cash flow bumps. I have one debt and that is my mortgage, and this time next year I won't even have that.

Re: Huntington CLD

CreditMagic7 — Fri, 14 Jun 2019 15:58:27 GMT

@dac1 wrote:
Huntington did the same thing to me today on my Voice World Mastercard. The credit line was reduced from $27,000 to $7,500. They email stated the decrease was a result of a general review of all Huntington credit card lines. I typically carry no balance on it.

Today one of my HNB cards 28K, was reduced to 9.5K. I also typically carry no balance on it.

Also received the same exact email.

Re: Huntington CLD

Save-n-Invest — Fri, 14 Jun 2019 16:38:02 GMT

My experience with Huntington is mixed. I don't have a cc with them. I have an account. I've moved a Roth due to other weirdness. The one thing that seemed the strangest to me was requiring a marriage certificate to redeem POD issues. I had my ID and the death certifcate. Manager insisted on a marriage cert. Made no sense. It was not payable on marriage. The marriage was out of state. I'net was the only way to get the document. The portal was down for two months. It took a little over three months to be able to do the transaction.

At that same visit I did the paperwork to transfer the Roth. I didn't want to be in a situation where funds were needed and some strange requirement fell from the sky.

No issues with the account that is there. I just wanted to reduce my exposure to weirdness.

Re: Huntington CLD

Anonymous — Fri, 14 Jun 2019 16:43:50 GMT

@Save-n-Invest wrote:
My experience with Huntington is mixed. I don't have a cc with them. I have an account. I've moved a Roth due to other weirdness. The one thing that seemed the strangest to me was requiring a marriage certificate to redeem POD issues. I had my ID and the death certifcate. Manager insisted on a marriage cert. Made no sense. It was not payable on marriage. The marriage was out of state. I'net was the only way to get the document. The portal was down for two months. It took a little over three months to be able to do the transaction.

At that same visit I did the paperwork to transfer the Roth. I didn't want to be in a situation where funds were needed and some strange requirement fell from the sky.

No issues with the account that is there. I just wanted to reduce my exposure to weirdness.

I guess that would rule out any possibility of having an account with them where a Common Law mariage exists.

Re: Huntington CLD

Save-n-Invest — Sat, 15 Jun 2019 17:12:05 GMT

@Anonymous wrote:
@Save-n-Invest wrote:
My experience with Huntington is mixed. I don't have a cc with them. I have an account. I've moved a Roth due to other weirdness. The one thing that seemed the strangest to me was requiring a marriage certificate to redeem POD issues. I had my ID and the death certifcate. Manager insisted on a marriage cert. Made no sense. It was not payable on marriage. The marriage was out of state. I'net was the only way to get the document. The portal was down for two months. It took a little over three months to be able to do the transaction.

At that same visit I did the paperwork to transfer the Roth. I didn't want to be in a situation where funds were needed and some strange requirement fell from the sky.

No issues with the account that is there. I just wanted to reduce my exposure to weirdness.
I guess that would rule out any possibility of having an account with them where a Common Law mariage exists.

The PODs were Treasury issues. I could have redeemed them elsewhere . The Roth was not a small account so I wanted to see how that weirdness would play out. I was convinced that Huntington could not be my primary bank. Huntington made a different significant mistake on an account I considerd to be important, to me anyway.

I have friends who do business with Huntington exclusively. They are very pleased.

Re: Huntington CLD

zerofire — Sat, 15 Jun 2019 21:14:18 GMT

Sometimes banks do stupid stuff. Nothing that can be done about it but clean up the mess.

Re: Huntington CLD

rockstar53 — Fri, 12 Jul 2019 00:15:27 GMT

Yep I just got the email this morning too.... World Voice MC reduced from 14k to 4,500, and PIF every month. The most charged in one month $2.5k since I have had the account for almost 2 years now.... questioning if I will keep in drawer and try to CLI in 6 mos