topic Re: Amex just cut my credit limit in Credit Cards

Amex just cut my credit limit

Tomatoshadow2 — Tue, 11 Aug 2020 17:47:28 GMT

Hey everyone,

Amex just cut my credit limit on my Blue Cash preferred, only use the card for about 165 each month. I do have a large balance on my Gold card, that is always pay Overtime though, never missed a Amex payment. Is this Adverise Action or do you think, just because I don't use the card a lot? Should I try to call to get it restored?

Re: Amex just cut my credit limit

GApeachy — Tue, 11 Aug 2020 17:53:40 GMT

Only one way to know for sure....call, try to get it restored.

Re: Amex just cut my credit limit

OmarGB9 — Tue, 11 Aug 2020 17:57:30 GMT

I feel like it's a combination of low usage plus constantly carrying balance on Gold plus current economic climate.

Re: Amex just cut my credit limit

blindambition — Tue, 11 Aug 2020 18:01:01 GMT

Sorry about your CLD OP! How large is the amount your carrying? How long have you carried?

I have a BCP, with $15700 limit. About $300 a month spend, and no decrease. Statement just closed.

You can try for reinstatement. Very possible if it isn't related to balance.

Re: Amex just cut my credit limit

HeavenOhio — Tue, 11 Aug 2020 18:06:42 GMT

AMEX has been restoring limits fairly easily if the reduction is related to low usage. If the reduction is related to high balances carried over time, they may offer to restore the limit if a customer pays a designated amount by a certain date.

Re: Amex just cut my credit limit

SecretAzure — Tue, 11 Aug 2020 18:12:57 GMT

@Tomatoshadow2 wrote:
Hey everyone,
Amex just cut my credit limit on my Blue Cash preferred, only use the card for about 165 each month. I do have a large balance on my Gold card, that is always pay Overtime though, never missed a Amex payment. Is this Adverise Action or do you think, just because I don't use the card a lot? Should I try to call to get it restored?

Do you have any other spend on this card? $165 at 6% might actually make Amex BlueCash Everyday more valuable in terms of Cashback to you. You may want to consider a PC, especially if they're lowering your limit on you.

Re: Amex just cut my credit limit

Tomatoshadow2 — Tue, 11 Aug 2020 18:25:59 GMT

So I just spoke with a rep it might be DTI ratio, which is still high for me, and I have mutiple balances on my other cards. I should of figured that right away, just didn't think about it, because DTI ratio has been high for a while, with zero adverse action from anyone. Payment history on every card I have is perfect. My Gold card just got the high balance this week, as I put a down payment for a new vehicles. All of what I put on the card is streaming, so it makes more sense then the normal Everyday for me. I was told, just have to upload tax return from last year, will get a response within ten days. Also, could always let Amex know when DTI decreases rep said and could go for a credit line increase. Gold card is totally unaffected even with a large balance he asured me, only adverse reaction was on the BCP. So, not too worried, just want the limit back, just to have it reduce DTI for now. Rep was really helpful and undertanding, even complimented my payment history with Amex. Also, I'm going to start using my Gold as daily driver, one of the lowest interest rates I have besides Discover.

Re: Amex just cut my credit limit

AverageJoesCredit — Tue, 11 Aug 2020 18:27:40 GMT

@Tomatoshadow2 wrote:
So I just spoke with a rep it might be DTI ratio, which is still high for me, and I have mutiple balances on my other cards. I should of figured that right away, just didn't think about it, because DTI ratio has been high for a while, with zero adverse action from anyone. Payment history on every card I have is perfect. My Gold card just got the high balance this week, as I put a down payment for a new vehicles. All of what I put on the card is streaming, so it makes more sense then the normal Everyday for me. I was told, just have to upload tax return from last year, will get a response within ten days. Also, could always let Amex know when DTI decreases rep said and could go for a credit line increase. Gold card is totally unaffected even with a large balance he asured me, only adverse reaction was on the BCP. So, not too worried, just want the limit back, just to have it reduce DTI for now. Rep was really helpful and undertanding, even complimented my payment history with Amex. Also, I'm going to start using my Gold as daily driver, one of the lowest interest rates I have besides Discover.

Looks like they want income verification so regardless what csr told you, it could affect all your accounts with Amex if it doesnt match up with what they have on file.

Re: Amex just cut my credit limit

Tomatoshadow2 — Tue, 11 Aug 2020 18:29:59 GMT

Which I don't mind at all, I have my tax return, and the income on there is the stated income to them, so should I still be worried?

Re: Amex just cut my credit limit

NRB525 — Tue, 11 Aug 2020 19:34:41 GMT

No reason to be worried when your tax return agrees as your income.

For reference can you list out your other cards and how much they are carrying for balances? Datapoints are of interest to the community.

The typical CLD I've heard of is Blue Cash, and also no usage, not the AF BCP regardless of usage. So this sounds to me like a FR, not a random AMEX limit cut.

Re: Amex just cut my credit limit

Tomatoshadow2 — Tue, 11 Aug 2020 19:43:08 GMT

@NRB525 Thanks, should I be concerd for my Gold Card under this Amex FR?

Re: Amex just cut my credit limit

NRB525 — Tue, 11 Aug 2020 20:02:58 GMT

@Tomatoshadow2 wrote:
@NRB525 Thanks, should I be concerd for my Gold Card under this Amex FR?

The thing about AA from a bank, none of us here can forecast what a bank will do or not do. Several of us have experienced AA. I had years of balance chasing from high balances, but no experience with AMEX at that time, no AMEX cards.

Best thing to do is respond with access to your tax statement, and explain your situation to them. Take the long term view. Even if they restrict a card temporarily, the card is still active, and with your reduction of other balances to reduce the risk AMEX feels it is taking on, then in the future the card will unrestrict. But again, that is speculation ( amateur ) whether AMEX will do anything further at all, which none of us can forecast.

Re: Amex just cut my credit limit

Tomatoshadow2 — Wed, 12 Aug 2020 01:48:45 GMT

Yes, I just uploaded the tax documets for Amex now. Does anyone know, for a FR for Amex, say for example if I lost the appeal and my card stays at $1K limit, can I ever apply for CLI in the future, when I reduce my DTI ratio?

Re: Amex just cut my credit limit

Tomatoshadow2 — Fri, 21 Aug 2020 20:24:35 GMT

Update: Got my limit restored everyone, I really love Amex.

Re: Amex just cut my credit limit

OmarGB9 — Fri, 21 Aug 2020 21:03:11 GMT

Congrats!

Re: Amex just cut my credit limit

Anonymous — Fri, 21 Aug 2020 21:05:43 GMT

@Tomatoshadow2 wrote:
Update: Got my limit restored everyone, I really love Amex.

Re my comment in another thread about "loyal customer", this is closer! Amex cut the limit, then after some effort by OP restored it, and gets a lot of love, even though it's back to the original position!

Re: Amex just cut my credit limit

wasCB14 — Fri, 21 Aug 2020 21:15:35 GMT

@Anonymous wrote:
@Tomatoshadow2 wrote:
Update: Got my limit restored everyone, I really love Amex.
Re my comment in another thread about "loyal customer", this is closer! Amex cut the limit, then after some effort by OP restored it, and gets a lot of love, even though it's back to the original position!

I agree it's odd...CLIs and cut/restored CLs can cause more excitement than good SLs that stay unchanged!

Re: Amex just cut my credit limit

Tomatoshadow2 — Fri, 21 Aug 2020 21:53:53 GMT

Haha I know I shouldn't be so happy about it being restored. I'm just glad it took very little effort on my part to get it restored.

Re: Amex just cut my credit limit

Remedios — Fri, 21 Aug 2020 22:20:06 GMT

@Anonymous wrote:
@Tomatoshadow2 wrote:
Update: Got my limit restored everyone, I really love Amex.
Re my comment in another thread about "loyal customer", this is closer! Amex cut the limit, then after some effort by OP restored it, and gets a lot of love, even though it's back to the original position!

Play nice, I'm patrolling

Re: Amex just cut my credit limit

NRB525 — Sat, 22 Aug 2020 04:52:31 GMT

@Anonymous wrote:
@Tomatoshadow2 wrote:
Update: Got my limit restored everyone, I really love Amex.
Re my comment in another thread about "loyal customer", this is closer! Amex cut the limit, then after some effort by OP restored it, and gets a lot of love, even though it's back to the original position!

The OP is a relatively new customer. By supplying the bank statements and passing the FR, the OP now has a more solid basis with AMEX. Some of us took a year or more to start building up that trust with AMEX. In a sense, OP has jumped the line. Longer term, I would expect OP to have no problems with AMEX, because of this clarification of the cardholders situation.

Congrats OP, well done!