topic Re: Amex is closing inactive accounts in Credit Cards

Amex is closing inactive accounts

MyFault — Wed, 29 Jul 2020 02:14:38 GMT

Article here:

https://travelupdate.com/amex-card-application-restrictions-reconsideration/

Looks like Amex is going back to their old days of being more prestigious.

Don't let your accounts sit long with no use.. I usually put a few dollars on my sock drawer cards every 6 or 8 months, looks like I'll be using them every 3 months now, for the foreseeable future.

Re: Amex is closing inactive accounts

M_Smart007 — Wed, 29 Jul 2020 02:19:38 GMT

@MyFault, Thanks.

I got a couple Amex cards that have not seen daylight in a while.

Guess I will put a few $$$ onto the Starbucks Card via G-Pay

Re: Amex is closing inactive accounts

staticvoidmain — Wed, 29 Jul 2020 08:34:40 GMT

@MyFault wrote: looks like I'll be using them every 3 months now, for the foreseeable future.

I usually consider 3 months the stretchiest stretch. In these uncertain times, even 3 months can get risky. Who knows...

(Personally, I put spend on an SD card every other month — 2 months without a spend is a personal stretch.)

Re: Amex is closing inactive accounts

NRB525 — Wed, 29 Jul 2020 10:11:11 GMT

I would not characterize this as being more prestigious. Closing inactive credit lines is a risk management method.

The comments about AMEX positive view toward the expanded temporary bonus categories is interesting. I am pleasantly surprised by the volume of credits showing on my AMEX statements. I wonder how affordable those are, but will utilize them as available.

The drop in corporate T&E is expected. But the lack of alarm in the comments leads me to think consumer spend is a large share of AMEX volume now.

Re: Amex is closing inactive accounts

Anonymous — Wed, 29 Jul 2020 11:03:26 GMT

@staticvoidmain wrote:
@MyFault wrote: looks like I'll be using them every 3 months now, for the foreseeable future.
I usually consider 3 months the stretchiest stretch. In these uncertain times, even 3 months can get risky. Who knows...

(Personally, I put spend on an SD card every other month — 2 months without a spend is a personal stretch.)

I also generally rotate my spend onto cards every 2-3 months. Usually my TD card is the only one sock drawered, but my Amex use has declined some too as it just doesn't make as much sense. I'm trying to put spend on cards every other month since the pandemic started.

Amex has been good with giving some credits and things of that nature, but I'd still like to see them give bonus categories that are easy to use and require little thought like Chase has.

Re: Amex is closing inactive accounts

MyFault — Wed, 29 Jul 2020 17:41:40 GMT

@NRB525 wrote:
I would not characterize this as being more prestigious. Closing inactive credit lines is a risk management method.

I thought it was in the article i included, but it was another article that i cannot find now. Essentially said that Amex was looking to approve less customers moving forward as well. I'll try to find it, and post it.

Re: Amex is closing inactive accounts

simplynoir — Wed, 29 Jul 2020 18:34:31 GMT

@MyFault wrote:
@NRB525 wrote:
I would not characterize this as being more prestigious. Closing inactive credit lines is a risk management method.
I thought it was in the article i included, but it was another article that i cannot find now. Essentially said that Amex was looking to approve less customers moving forward as well. I'll try to find it, and post it.

But again that's not an attempt to regain their prestige but risk management. Growing concern once unemployment benefits run out there will be growing defaults so attempting to limit that by having stricter standards (less approvals) and retain their current customer base by introducing new benefits is their way of keeping things afloat especially with the travel/corporate sector not looking to recover anytime soon which is AMEX's bread and butter

Re: Amex is closing inactive accounts

FlaDude — Wed, 29 Jul 2020 18:58:19 GMT

I thought I had read on some thread here that Amex typically looked at usage in general and not on individual cards, I wonder if that still holds? If not, out of my 6 Amex cards, 2 haven't been used in a while. I got my ED card for BT purposes about a year and a half ago, and other than SUB requirements and the BT, have never used it. The BT was paid off about 6 months ago, so no activity of any kind for that long, and no charges for almost 1.5 years. I really have no use for it, although I'd rather not lose the 20k CL so I guess I'll have to remember to put something on it. I don't want to lose the DL card so I'll have to tickle that one too.

Re: Amex is closing inactive accounts

M_Smart007 — Wed, 29 Jul 2020 19:05:46 GMT

I wonder if Amex would close a AF card for Inactivity?

Re: Amex is closing inactive accounts

simplynoir — Wed, 29 Jul 2020 19:08:02 GMT

@FlaDude

No definitive way to know atm but my guess is with current environment it helps if your overall credit profile spends money. Makes the decision whether or not to perform a closure or at least a CLD more difficult at least

Re: Amex is closing inactive accounts

blindambition — Wed, 29 Jul 2020 19:23:03 GMT

@M_Smart007 wrote:

I wonder if Amex would close a AF card for Inactivity?

I'm gonna say no! My BCP is at $15700, Approx 250 a month spend. No CLD in this mess.

Back to the topic. Not hard to throw $5 at a card every 2-3 months. I shake my head when people are surprised when card shut down after 2 years. C'mon dude... Are you for real?? 😂

Re: Amex is closing inactive accounts

Anonymous — Wed, 29 Jul 2020 19:31:08 GMT

@FlaDude wrote:
I thought I had read on some thread here that Amex typically looked at usage in general and not on individual cards, I wonder if that still holds? If not, out of my 6 Amex cards, 2 haven't been used in a while. I got my ED card for BT purposes about a year and a half ago, and other than SUB requirements and the BT, have never used it. The BT was paid off about 6 months ago, so no activity of any kind for that long, and no charges for almost 1.5 years. I really have no use for it, although I'd rather not lose the 20k CL so I guess I'll have to remember to put something on it. I don't want to lose the DL card so I'll have to tickle that one too.

I recall reading that somewhere as well. That's why I haven't been too concerned about not putting much spend on my Hilton card, while my EveryDay card gets much more spend.

Re: Amex is closing inactive accounts

Anonymous — Wed, 29 Jul 2020 19:36:39 GMT

@MyFault wrote:
Article here:
https://travelupdate.com/amex-card-application-restrictions-reconsideration/

Looks like Amex is going back to their old days of being more prestigious.
Don't let your accounts sit long with no use.. I usually put a few dollars on my sock drawer cards every 6 or 8 months, looks like I'll be using them every 3 months now, for the foreseeable future.

More pretigious? They've got a long way to go. They let me open up three cards (one with a NPSL) with a 670! I hope they don't close my Platinum. I haven't swiped it in... 3 months? Other two have weekly swipes, at least.

Re: Amex is closing inactive accounts

Anonymous — Wed, 29 Jul 2020 21:25:41 GMT

Fortunately for me most of my Amex cards are daily drivers, between the BCP for grocery Gold for restaraunts nad having a plan it on my ED card I only haev to worry about the Delta Blue I dongraded from Gold a few months ago. Though I generally put a charge on it every 3-5 anyways with an ingame or app purcase. It's the BIZ cards that don't get as much use anymore so we'll see what happens.

Re: Amex is closing inactive accounts

K-in-Boston — Wed, 29 Jul 2020 21:39:08 GMT

The key phrase in the article is accounts, not cards. If you are spending money with Amex there's nothing there of concern if you have cards that are not getting spend. I haven't used my Blue card since 2016 (early 2016 at that); if they haven't closed it at this point I don't see it happening.

Re: Amex is closing inactive accounts

wasCB14 — Wed, 29 Jul 2020 22:01:08 GMT

@K-in-Boston wrote:
The key phrase in the article is accounts, not cards. If you are spending money with Amex there's nothing there of concern if you have cards that are not getting spend. I haven't used my Blue card since 2016 (early 2016 at that); if they haven't closed it at this point I don't see it happening.

I was thinking the same thing, given the phrase "inactive card members".

Re: Amex is closing inactive accounts

minski — Thu, 30 Jul 2020 00:25:11 GMT

@M_Smart007 wrote:

I wonder if Amex would close a AF card for Inactivity?

I was waiting for someone to ask this. I don't want them to close my Delta Platinum before I get a chance to use the companion voucher. 😅

I use my Starwood i.e. Marriott Bonvoy card more even for some Amazon items due to the remaining shopping benefits the card offers.

Re: Amex is closing inactive accounts

red259 — Thu, 30 Jul 2020 03:53:36 GMT

@MyFault wrote:
Article here:
https://travelupdate.com/amex-card-application-restrictions-reconsideration/

Looks like Amex is going back to their old days of being more prestigious.
Don't let your accounts sit long with no use.. I usually put a few dollars on my sock drawer cards every 6 or 8 months, looks like I'll be using them every 3 months now, for the foreseeable future.

I never had amex close any of my cards with them. I have some amex cards that I rarely use. However, I have other amex cards that I use daily. I would be suprised if they started closing the inactive cards based on this.

Re: Amex is closing inactive accounts

red259 — Thu, 30 Jul 2020 03:51:37 GMT

@M_Smart007 wrote:

I wonder if Amex would close a AF card for Inactivity?

I never had an AF card with any lender closed for inactivity. I'm not sure why a lender would make a bonehead decision like that. I mean people are paying to have the card and benefits. I have AF cards that I rarely put spend on because its a total waste to put spend on them. I pay the AF on those cards because of the perks of the cards. If a lender closed an AF card on me for inactivity after I paid for the AF then there are going to be word exchanged and maybe even a termination of the relationship with that lender. Any lender that I have where I am paying AFs I am usually spending on other cards with them as well.

Re: Amex is closing inactive accounts

OmarGB9 — Thu, 30 Jul 2020 06:21:59 GMT

I would expect that of any lender on any non-AF card. Especially in these uncertain times.