topic Re: Accepting when cards will not grow in Credit Cards

Accepting when cards will not grow

pizza1 — Sun, 13 Feb 2022 02:31:07 GMT

So, I closed my BOFA cash rewards $800 CL, and my Amex Blue Cash $1K CL. These two lenders/cards have never grown since Ive had them like the others have. This is my second time around having cards again with them because years ago, I had cards and they would never budge on the SL, and I got upset and closed them.

This time my BOFA card Ive had now for 3 1/2 yrs, no CLI ever despite mulitple attempts. I also do not have any accounts with them, and dont plan on it, and they are known to be relationship heavy. Ive never burned them before either.

Amex this time around I tried for CLI at 91 days, denied, and again at 6 months, denied. Never burned either lender, (they were never IIB in my BK). These two lenders just wont budge with me. Im 9 years post DC now, so I think Ill just wait a another year or so, and then reapply to both of them with BK off reports and see if my SL would be any different.

So instead of just sitting here staying constantly upset with these low limit non-budging cards, I just decided to close them, and accept that these lenders just arent liking my profile/BK or both.

Re: Accepting when cards will not grow

FinStar — Sun, 13 Feb 2022 02:36:40 GMT

It be like that sometimes.

Accepting the fact that despite your best efforts to rekindle the old flames, do cartwheels, put on the best make up, wear the nice outfit and all, sometimes can be more exhausting than it needs to be, so parting ways is perfectly ok. Often times, some lender relationships just turn out that way.

Re: Accepting when cards will not grow

pizza1 — Sun, 13 Feb 2022 03:01:37 GMT

@FinStar , yep...and then when you dont want them or need them , they come courting you again! LOL...I just think I'll have better luck after my BK is off reports. It is what it is...

Re: Accepting when cards will not grow

805orbust — Sun, 13 Feb 2022 05:59:36 GMT

@pizza1 I am grappling with this myself. Closing anything with a limit under $10k... sure is hard to buckle down tho. They were all chosen carefully during my rebuild... time to chop tho.

Re: Accepting when cards will not grow

805orbust — Sun, 13 Feb 2022 06:23:35 GMT

Re: Accepting when cards will not grow

Anonymous — Sun, 13 Feb 2022 11:11:12 GMT

is there a reason you have to have these cards and also with big CLs? I felt the same way in the past to try to get the biggest credit lines, but now they sit there being unutilized haha

Re: Accepting when cards will not grow

AverageJoesCredit — Sun, 13 Feb 2022 14:08:13 GMT

My advice , which is average at best, based on my own experience, is be careful when deciding to close cards based on not growing criteria or its perceivement of such. I think it can go both ways.

I closed my only Chase card a few years back because i thought it would never grow. Not only did i get caught up in that feeling i closed it before a year and dont think ill ever be able to get another Chase card, not to mention 5/24. Still my biggest credit regert.

Now on the flip side i did the same for my first Penfed card . I was given $500 sl and i had to recon just to get a 1k increase a year later. Closed it c' la vie. Gave Penfed another shot and who would a thunk i now have $45 k in credit with them.

Lenders can change, our profiles change, sometimes its best to wait and see. Especially if its cards we arent using alot. There are lenders who wont change , ie Boa for me that no matter what im capped at 10k in credit ( recent approval proves this to me) so just think hard before actually closing them. Just my $0.02 .... at least i can afford that

Re: Accepting when cards will not grow

Anonymous — Sun, 13 Feb 2022 15:02:11 GMT

I've been somewhat mocking of the idea that cards need to grow to be useful, but I accept that there is a lower threshold for usefulness.

So a $500 CL unless you do a lot of recycling of the credit limit (paying several times a month) isn't going to get you lots of rewards and may well be more pain than it's worth.

In contrast, a Chase Freedom Flex, "stuck" at say $3000, even if the rest of your cards are $20+K..... You may feel insulted/not valued etc, by Chase, but with a $1,500 per QUARTER cap on the 5% categories, that limit is fine to get you max rewards. Yes, you may worry about utilization, but a) you really don't need to worry about scores all the time(!) and b) if/when that is an issue, you can pay early before statement if you really need to.

So I would much more concentrate on "Does this card, at this limit, still provide value?" before closing because of a failure to grow.

Re: Accepting when cards will not grow

Guyatthebeach — Sun, 13 Feb 2022 15:07:54 GMT

Pizza1,

I completely understand exactly where you are coming from. I have the same issue with Barclays and CapitalOne. My cards with them have had the same limits for years. Why haven't I closed them yet? The rewards on those cards are worth the bucketed CL's to me and I'm not closing a single card until my average age of account hits 5 years and my Fico score hits 800. Trust me they are making enough money on the swipe fees.

I understand that I'm ten years post bankruptcy and that the creditors that I burned chose to extend credit to me. I appreciate that , I just wish I could grow those accounts. When now I have not been able to get back into Chase or Bank of America. I'm not angry about it, I've moved on. I have enough credit cards as it is.

Just remember bucket cards are just building blocks to a stable financial background. Nothing more, nothing less. Don't worry about it, because you have recovered remarkably from your bankruptcy.

Guyatthebeach

Re: Accepting when cards will not grow

kudosalert — Sun, 13 Feb 2022 15:17:21 GMT

I have a Disco card that has been 1k for 3 years now. i put a few of my monthly subscriptions on it and pay it off every month. no CLI, no chocolates on anniversaries etc....just too lazy to close. it's kind of nice having 1 card for my monthly subs because then i can keep track of all of them separately from my normal charges.

Re: Accepting when cards will not grow

K-in-Boston — Sun, 13 Feb 2022 15:37:28 GMT

@pizza1 wrote:
So, I closed my BOFA cash rewards $800 CL, and my Amex Blue Cash $1K CL. These two lenders/cards have never grown since Ive had them like the others have. This is my second time around having cards again with them because years ago, I had cards and they would never budge on the SL, and I got upset and closed them.

This time my BOFA card Ive had now for 3 1/2 yrs, no CLI ever despite mulitple attempts. I also do not have any accounts with them, and dont plan on it, and they are known to be relationship heavy. Ive never burned them before either.

Amex this time around I tried for CLI at 91 days, denied, and again at 6 months, denied. Never burned either lender, (they were never IIB in my BK). These two lenders just wont budge with me. Im 9 years post DC now, so I think Ill just wait a another year or so, and then reapply to both of them with BK off reports and see if my SL would be any different.

So instead of just sitting here staying constantly upset with these low limit non-budging cards, I just decided to close them, and accept that these lenders just arent liking my profile/BK or both.

I can definitely understand the situation and your desire to close. Neither lender is exactly BK-friendly. The only thing I can really offer to anyone considering doing the same, especially if they are as close to having their BK off their reports as you are, is perhaps consider giving it a little additional time if the cards would be beneficial to you with larger lines. The likelihood of more credit extended once the BK is gone is good, and both lenders do allow easy reallocation of limits and SP CLI requests.

While I didn't have any rebuilding, I did almost make a similar decision with my Target card a while back. After 14 years and even having clean reports the entire time, my card was still stuck at $800 and I found it a bit insulting. Ultimately I decided the 5% off was still worth the headache of high utilization on the card and then the floodgates started to open on it in 2016.

I definitely think you will have a much better experience with Amex once it falls off, and hopefully the same with BOA.

Re: Accepting when cards will not grow

Anonymous — Sun, 13 Feb 2022 16:36:52 GMT

@Anonymous wrote:
I've been somewhat mocking of the idea that cards need to grow to be useful, but I accept that there is a lower threshold for usefulness.
So a $500 CL unless you do a lot of recycling of the credit limit (paying several times a month) isn't going to get you lots of rewards and may well be more pain than it's worth.

In contrast, a Chase Freedom Flex, "stuck" at say $3000, even if the rest of your cards are $20+K..... You may feel insulted/not valued etc, by Chase, but with a $1,500 per QUARTER cap on the 5% categories, that limit is fine to get you max rewards. Yes, you may worry about utilization, but a) you really don't need to worry about scores all the time(!) and b) if/when that is an issue, you can pay early before statement if you really need to.

So I would much more concentrate on "Does this card, at this limit, still provide value?" before closing because of a failure to grow.

Simple to understand and great advice!

Truth is good for the soul ... did the same thing ... closed a BOA Card (note before the BK over twenty years ago I had $57.5K on a Platinum Visa with them and burned them so it made sense to let it go).

Re: Accepting when cards will not grow

Flex1 — Tue, 15 Feb 2022 16:25:55 GMT

@805orbust wrote:
@pizza1 I am grappling with this myself. Closing anything with a limit under $10k... sure is hard to buckle down tho. They were all chosen carefully during my rebuild... time to chop tho.

I agree with this strategy. Closing anything under $10k. Otherwise, you'll be stuck with low limits. Just like with a job, you're stuck with a low paying job unless you let it go and go get higher paying job. Simple...

Re: Accepting when cards will not grow

Anonymous — Tue, 15 Feb 2022 17:20:25 GMT

@Flex1 wrote:
@805orbust wrote:
@pizza1 I am grappling with this myself. Closing anything with a limit under $10k... sure is hard to buckle down tho. They were all chosen carefully during my rebuild... time to chop tho.
I agree with this strategy. Closing anything under $10k. Otherwise, you'll be stuck with low limits. Just like with a job, you're stuck with a low paying job unless you let it go and go get higher paying job. Simple...

And (as my comments above!) I would disagree, and it's certainly not simple! Plenty of cards can give good value below $10K, and you need to take into account the value of each card, vs the IMO vague benefits of having higher limit cards in future, if and when that happens.

Many of us have several high limit cards , and then obtain new ones with much lower limits. We (or I at any rate!) don't immediately close those cards, if they have value. It's very different from having a single low paying job and negotiating pay for the next.

Re: Accepting when cards will not grow

MarkintheHV — Tue, 15 Feb 2022 20:12:18 GMT

I have the same situation with a 10 year old Cap 1, and a discover card. Cap 1 is my oldest, so we are kind of stuck with each other. Discover is on double secret probation with me, if it doesnt grow soon, I will be closing it.