topic What’s the problem AMEX? in Credit Cards

What’s the problem AMEX?

NAVYCHOP — Thu, 17 Aug 2023 03:58:03 GMT

I've had an AMEX charge.card for 36 years. About 7 yrs ago with high levels of utilization on other cards, AMEX gave me a preset spending limit of 10k. Month after month I have maxed out the limit and AMEX algorithims have never increased the limit. For the last six months I gave up and have limited my Platinum charge card to about $500 in spend a month. During this time AMEX has left me with a $40k limit on my Delta Reserve card. I have not applied for CLIs or new cards as I read on here that I can't obtain any new cards or CLIs with a preset spending limit on my Platinum card.

I have had less than 1 percent credit utilization and FICO scores over 800 for the last two years.

Now suddenly I receive an.email from AMEX tonight stating that I am pre approved for a Gold Card. What's going on? I just want them to give me back the NPSL on my Platinum after about 7 years. Why are they offering me a gold card I don't want or need? Over 35 years of card membership I have never screwed AMEX out of any money I owe.

Re: What’s the problem AMEX?

BigBS — Thu, 17 Aug 2023 13:23:55 GMT

Perhaps you should give them a call and talk with someone.

Re: What’s the problem AMEX?

JoeRockhead — Thu, 17 Aug 2023 13:54:01 GMT

I'm sure someone will be willing to correct me, but I've never heard of not being able to apply for additional Amex cards or CLIs when you have a CL placed on a platinum card. As far as them lifting the limit on your platinum, how many months did you spend up to the limit and PIF? If it was just two, or three months, it was most likely not enough activity to trip their algorithms into making a change or CLI. In contrast, the reduced spending patterns would only confirm (to them) that your activity doesn't warrant a change, or higher limit, or returned to NPSL status. As suggested I would contact Amex and speak to them about whats going on, raising your Platinum limit, or even about perhaps transferring some of your limit from the Delta Reserve if you prefer to use the Platinum.

Re: What’s the problem AMEX?

NAVYCHOP — Thu, 17 Aug 2023 16:39:44 GMT

For additional data points, I have PIF every statement since August 2020 when I paid off the balance of the POT account. Now I have a POT account with a credit limit much higher than the $10k preset spending limit and see a notation on my statement each month that I may not be able to use the full POT limit based on the lower pre set spending limit. I have had POT inactive for the last three years in any case.

When I had high balances back in about 2019, AMEX lowered my Bonvoy credit limit from $15,000 to 1,000 while I was carrying no balance. About three months ago I actually did try to increase my credit limit on that card as AMEX credit secure was showing a 823 credit score. AMEX sent me back a

letter stating that they do not grant credit limit increases on their credit cards to any card member who has a pre set spending limit on a charge card.

I have called AMEX customer service about every six months, they forward me to underwriting who basically says there is nothing they can do other than let the algorithms take their course.

I think the lesson is that anyone who receives a preset spending limit should try to fight it during the 30 day window that AMEX offers, as this can otherwise go on for years.

I have enough credit with Visas and Mastercards and the Delta Reserve Card that this does not affect me

more than being a nuisance. I'm just mystified AMEX would leave me with a $40k limit on their credit card but play hardball on their charge card for so long. Just ranting, so be it.

Re: What’s the problem AMEX?

JoeRockhead — Thu, 17 Aug 2023 16:53:45 GMT

Well the whole thing just sounds odd to me. Appreciate you sharing all the information. Your frustration is understandable

Re: What’s the problem AMEX?

Shooting-For-800 — Sat, 19 Aug 2023 02:31:35 GMT

What is your POT limit?

Re: What’s the problem AMEX?

NAVYCHOP — Sat, 19 Aug 2023 12:43:41 GMT

POT was originally $35k. When I used it for a period while I had high credit utilization on other cards, they lowered it to $18,300 and it is still there every month with a notation that I may not be able to use the full POT limit because of the card's lower spending limit, currently $10k. In any case I deactivated POT when I paid off the balance in summer 2020 and have PIF since then. Their AMEX online credit secure shows I have a FICO 8 of 804 which never seems to change month-to-month and a vantage score of 822 that flips around a couple points depending on whether my cards report a zero balance or a $95 balance in a given month.

Re: What’s the problem AMEX?

swankytiger — Sat, 19 Aug 2023 13:09:16 GMT

Why are you still worrying about AMEX at this point?

Why stay with a company that doesnt want your business and has basically made that clear?

With your profile, it doesnt look like you wouldnt take a big hit closing your AMEX cards.

If you truly want to have AMEX cards then maybe try again after AMEX's "lifetime" of 7 years without the card.

Re: What’s the problem AMEX?

Brian_Earl_Spilner — Sat, 19 Aug 2023 13:54:06 GMT

@JoeRockhead wrote:
I'm sure someone will be willing to correct me, but I've never heard of not being able to apply for additional Amex cards or CLIs when you have a CL placed on a platinum card. As far as them lifting the limit on your platinum, how many months did you spend up to the limit and PIF? If it was just two, or three months, it was most likely not enough activity to trip their algorithms into making a change or CLI. In contrast, the reduced spending patterns would only confirm (to them) that your activity doesn't warrant a change, or higher limit, or returned to NPSL status. As suggested I would contact Amex and speak to them about whats going on, raising your Platinum limit, or even about perhaps transferring some of your limit from the Delta Reserve if you prefer to use the Platinum.

A preset limit is AA from Amex. Something spooked their algorithms. Amex AA is kneejerk and blankets the entire account which is why new cards and CLI are off limits. I mean, if they're so concerned with your ability to pay a charge card, why would they give you more credit? They'll even take away your ability to refer people. That one I found offensive. Like, do they think I'm going to refer more people like me and they don't want that? There was a recent thread where someone couldn't get a CLI and I advised them it was due to the preset limit. The other day they reported the limit was removed and they were able to get a CLI on their Delta right after.

I have noticed recently that Amex has been releasing some features while keeping the preset limit in place. In my case, I can now refer people and I'm starting to see upgrade offers again rather than just upgrades with no sub. Maybe in OPs case, they're willing to give them a gold, but I'm willing to bet it will also end up with a preset limit if it doesn't have one from the getgo.

Re: What’s the problem AMEX?

NAVYCHOP — Sun, 20 Aug 2023 22:37:57 GMT

Maybe I'm starting to come out from the woods.. I still have a preset limit on my Platinum but I wanted a Hilton Aspire card to have the perpetual diamond status when I stay at Hilton. I was turned down a few months ago for a CLI request on my Delta card because I had a preset limit. I have been told you can't apply for new cards with a preset limit, but after receiving an invite for a pre-approved gold card I pulled the trigger and applied for the Hilton Aspire card. It was instantly approved with a meager $5k CL which I don't care about. My Hilton status was immediately upgraded to Diamond. It all came through despite the spending limit on the Platinum card.

Re: What’s the problem AMEX?

JoeRockhead — Sun, 20 Aug 2023 22:46:25 GMT

@NAVYCHOP wrote:
Maybe I'm starting to come out from the woods.. I still have a preset limit on my Platinum but I wanted a Hilton Aspire card to have the perpetual diamond status when I stay at Hilton. I was turned down a few months ago for a CLI request on my Delta card because I had a preset limit. I have been told you can't apply for new cards with a preset limit, but after receiving an invite for a pre-approved gold card I pulled the trigger and applied for the Hilton Aspire card. It was instantly approved with a meager $5k CL which I don't care about. My Hilton status was immediately upgraded to Diamond. It all came through despite the spending limit on the Platinum card.

Nice, congratulations on the upgrade and approval @NAVYCHOP

Re: What’s the problem AMEX?

NAVYCHOP — Mon, 28 Aug 2023 05:49:34 GMT

Just to close the loop on this, after about five years AMEX reinstated my NPSL with the current monthly statement that generated for my Platinum card. I did have a period of high utilization on other accounts and a period where I used the POT for a single period in my life when I felt it was better carrying balances before liquidating assets to bring myself back on a PIF basis.

For others in a similar situation here are some data points I experienced between 2018-2023:

--started with a 35k POT

--ran POT up from early to mid 2019 to about 15k balance with NPSL on account

-started in early 2020 to receive comment on statement that I had a "pre-set line" of $18,3k when my POT was ratcheted back to that limit

-then in mid-2020 I received the statement comment that I had a "pre set spending limit" of $18.3k (is preset spending limit the same as "preset line" and a change in terminology or more restrictive, no one at AMEX could tell me)

- a month later I paid the POT in full and made it inactive

-the following month after paying off POT I received a restrictive preset spending limit of $4k

-in late 2021 the preset spending limit increased to $7k

--in Jan 2023, preset limit went to $10k

-- after having a FICO 8 score over 800 for 8 months in 2023, the card returned to NPSL this August.

The whole time I had preset spending limits, I was charging about $120k annually and just had to pay down the balance multiple times per month.

interestingly, the whole time AMEX had low preset spending limits on my Platinum card, they never lowered my $40k limit on my DL Reserve card.

Re: What’s the problem AMEX?

direct007 — Mon, 18 Sep 2023 17:57:45 GMT

The more I read about Amex, the more I wonder why people even want to deal with them. It's the only card that basically feeds on people's egos that feel the need to want something that is supposedly exclusive, charges high fees for this "privilege" of carrying their card and gives their card members friction along the way.

I've never had any of this BS with any of my Visa or Mastercards, they are accepted at more places and I have more credit than I could ever use on my existing cards. Maybe if you are mega rich and need a card with a multimillion dollar credit limit, it could come in handy, but for the other 99% of the world, I see no redeeming factors.

Re: What’s the problem AMEX?

MudkipsRKooL — Mon, 18 Sep 2023 23:38:54 GMT

same could be said for mastercards 2-3 decades ago. Just a "flex" card. High fees, late fees. Non-activity fees, u name it lol. And AF for no reason at all except "clout".

Re: What’s the problem AMEX?

dms1979 — Tue, 19 Sep 2023 14:30:33 GMT

I have been getting amazing Plat offers lately, 100k and even a 125k offer. I cancelled it a few years back due to lack of travel and the benefits really going downhill.

I am on the cusp of deciding if I want to upgrade my Surpass to Aspire or just apply for the Aspire on top of the Surpass to get the bonus and benefits. One thing I do not like about the Aspire is losing the grocery spend points (6x on Surpass) which can be considerable. I have been using my Surpass exclusively for a few months and boosted my Hilton points considerably.

Re: What’s the problem AMEX?

swankytiger — Tue, 19 Sep 2023 18:41:10 GMT

@dms1979 Have you gotten the SUB for a standard HHonors card? The No AF card.

I think the standard advice for churning SUBs and Upgrade offers is to apply for each of the 3 cards to get the SUB's then once you have gotten them downgrade the surpass to the base card to get the upgrade offers.

For the grocery spend the base card is 5x vs the surpass' 6x, you dont need the extras the surpass has since the Aspire covers all of them. So you lose out on a bit of points but there isnt that much difference.

So apply for the Aspire and get the SUB, then apply for the base card and get the SUB, then downgrade the surpass to the base card and move the credit limit to the aspire or one of the base cards and close the other base card unless you want to hold for upgrade offers on both base cards. You would be at your 3 of 4-5 AMEX credit card limit in just hilton cards though.

My current move is going to be using the base card as my main spender for Groceries/Gas and then grab the Aspire for Dining/Hilton

Re: What’s the problem AMEX?

dms1979 — Tue, 19 Sep 2023 18:54:01 GMT

@swankytiger wrote:
@dms1979 Have you gotten the SUB for a standard HHonors card? The No AF card.
I think the standard advice for churning SUBs and Upgrade offers is to apply for each of the 3 cards to get the SUB's then once you have gotten them downgrade the surpass to the base card to get the upgrade offers.

For the grocery spend the base card is 5x vs the surpass' 6x, you dont need the extras the surpass has since the Aspire covers all of them. So you lose out on a bit of points but there isnt that much difference.

So apply for the Aspire and get the SUB, then apply for the base card and get the SUB, then downgrade the surpass to the base card and move the credit limit to the aspire or one of the base cards and close the other base card unless you want to hold for upgrade offers on both base cards. You would be at your 3 of 4-5 AMEX credit card limit in just hilton cards though.

My current move is going to be using the base card as my main spender for Groceries/Gas and then grab the Aspire for Dining/Hilton

Not a bad idea on that strategy. Hmmm, let me think about it. The main thing is what to do with the Surpass once I have the Aspire. The base Hilton might be the way to go

Get Aspire, land the bonus. Apply for base Hilton card, get that bonus, PC Surpass to that card or cancel the Surpass alltogether?

Re: What’s the problem AMEX?

swankytiger — Tue, 19 Sep 2023 19:52:32 GMT

@dms1979 wrote:
Not a bad idea on that strategy. Hmmm, let me think about it. The main thing is what to do with the Surpass once I have the Aspire. The base Hilton might be the way to go

Get Aspire, land the bonus. Apply for base Hilton card, get that bonus, PC Surpass to that card or cancel the Surpass alltogether?

@dms1979 you have it correct and your options once you get the sub for the base are basically PC the surpass to the base and hold it for an upgrade offer or move the credit limits between the other cards and close it. I would move the limits around and close it unless you want to do the whole hold multiple aspires for multiple free nights thing.