topic Re: AMEX Preset Spending Limit assigned - do you ever get out of the dungeon? in Credit Cards

AMEX Preset Spending Limit assigned - do you ever get out of the dungeon?

smcj — Wed, 06 Nov 2024 20:30:57 GMT

Over 18 months ago, AMEX put a preset spending limit of $1000 on my green card, and dropped the limit on two zero-balance credit cards to $1,000, all in under 24 hours. There was no specific negative history with AMEX -- no missed or late payments, ever. Presumably this was risk management kicking in, most likely in response to high utilization on the CR in general. No specific timing trigger other than the statement cycle date and whatever processes accompanied it.

Fast forward to 15 months later. High utilization -- across the board, not just with AMEX -- 100% gone and reporting to and reporting as such on all 3 major credit reports. No collections. No lates. No judgments. No negative anythings on any of the CRs, and the only loan balances reporting are mortgage, auto loan, and 2 credit cards with utilization at 48% and 25%, with all other cards at $0 balance and overall utilization (meaning across all cards put together) at 8%. Lowest of the 3 FICO scores: 784. With all that: denied for CLI on the two CCs due to the spending limit on the AMEX green, and the spending limit on the AMEX green is not changeable because... it's there.

Tried a couple of rounds of talking with AMEX by phone, including on what was at least hypothetically a reconsideration phone # I stumbled into, and got told two things consistently: (1) due to the spend limit imposed on the AMEX Green, nothing was movable until it was lifted. (2) There was/is no way to request any sort of review of the situation based on the full financial circumstances being different (and provably so). In fact, the CRs -- who took a lot of time trying to figure out who to talk to in-house -- were stymied by the fact that they couldn't even find someone to talk to in-house. The best they could come up with was that at "some point in the future" it *might* hit some automated review, and until then, don't submit any CLI or spending limit change requests (to avoid messing up whatever hypothetical clock).

It is now coming up on 18 months later.

My question is simple: Has anyone out there ever emerged from this? How did it work? Was it a random-automated "hey, you're out of the dungeon?" How long before the whatever-happened actually happened?

I have a few reasons for wanting to get this square, but biggest of all is that I use one of the cards exclusively for hotel bookings, and you can't do much hotel booking on a card with a $1000 limit (at least not without pushing payments through mid-cycle pretty quick while traveling).

Thanks for any data points.

Re: AMEX Preset Spending Limit assigned - do you ever get out of the dungeon?

sjt — Wed, 06 Nov 2024 20:40:04 GMT

I would speak with someone in the Account Services Department. You can get the direct line to call by requesting it on the online chat.

Re: AMEX Preset Spending Limit assigned - do you ever get out of the dungeon?

NoMoreE46 — Wed, 06 Nov 2024 22:43:21 GMT

Are you meaning the Pay Over Time feature?

@smcj wrote:
Over 18 months ago, AMEX put a preset spending limit of $1000 on my green card, and dropped the limit on two zero-balance credit cards to $1,000, all in under 24 hours. There was no specific negative history with AMEX -- no missed or late payments, ever. Presumably this was risk management kicking in, most likely in response to high utilization on the CR in general. No specific timing trigger other than the statement cycle date and whatever processes accompanied it.

Fast forward to 15 months later. High utilization -- across the board, not just with AMEX -- 100% gone and reporting to and reporting as such on all 3 major credit reports. No collections. No lates. No judgments. No negative anythings on any of the CRs, and the only loan balances reporting are mortgage, auto loan, and 2 credit cards with utilization at 48% and 25%, with all other cards at $0 balance and overall utilization (meaning across all cards put together) at 8%. Lowest of the 3 FICO scores: 784. With all that: denied for CLI on the two CCs due to the spending limit on the AMEX green, and the spending limit on the AMEX green is not changeable because... it's there.

Tried a couple of rounds of talking with AMEX by phone, including on what was at least hypothetically a reconsideration phone # I stumbled into, and got told two things consistently: (1) due to the spend limit imposed on the AMEX Green, nothing was movable until it was lifted. (2) There was/is no way to request any sort of review of the situation based on the full financial circumstances being different (and provably so). In fact, the CRs -- who took a lot of time trying to figure out who to talk to in-house -- were stymied by the fact that they couldn't even find someone to talk to in-house. The best they could come up with was that at "some point in the future" it *might* hit some automated review, and until then, don't submit any CLI or spending limit change requests (to avoid messing up whatever hypothetical clock).

It is now coming up on 18 months later.

My question is simple: Has anyone out there ever emerged from this? How did it work? Was it a random-automated "hey, you're out of the dungeon?" How long before the whatever-happened actually happened?

I have a few reasons for wanting to get this square, but biggest of all is that I use one of the cards exclusively for hotel bookings, and you can't do much hotel booking on a card with a $1000 limit (at least not without pushing payments through mid-cycle pretty quick while traveling).

Thanks for any data points.

Re: AMEX Preset Spending Limit assigned - do you ever get out of the dungeon?

GZG — Wed, 06 Nov 2024 22:49:45 GMT

@NoMoreE46 wrote:
Are you meaning the Pay Over Time feature?

no the preset spending limit is a form of Amex AA when they get spooked, they add hard limits to your charge cards and they can slash cc limits too

it's pretty black box tbh and while there are DPs of some working their way out, there's some just seemingly lost and they never get restored

Re: AMEX Preset Spending Limit assigned - do you ever get out of the dungeon?

smcj — Thu, 07 Nov 2024 00:04:13 GMT

@NoMoreE46 wrote:
Are you meaning the Pay Over Time feature?

No. Not Pay Over Time (I am familiar with that feature, so I do know what you're referencing). In fact, I made a point of making sure to turn off that feature of the card (not interested in using it, never have used it, also see threads/discussions about AMEX being twitchy about its use anyway).

Hard $1k limit imposed on the amount one could have on the card at any time, meaning if your balance was $0 and you wanted to charge $1000.01, that charge would not be authorized.

Here's the exact language from the communication where they advised of the limit:

"We're reaching out because we wanted to let you know as quickly as possible that after a recent review, we have assigned a Preset Spending Limit of $1000 to your account."

If one of these is imposed on your account, it will also show up in the main display of that account's information in the online banking portal (meaning web browser) and mobile app. In the online banking portal the unused portion of it sits just below the Total Balance and shows as "Available to spend". In the mobile app it shows, interestingly, as "Available Credit". So if you have a $0 balance, it shows $1000.

Before imposition of the spending limit, no such figure was displayed at all, if I recall correctly. Functionally, it acts just like a credit limit, without changing the fact that the entire balance is due each cycle.

Re: AMEX Preset Spending Limit assigned - do you ever get out of the dungeon?

NoMoreE46 — Thu, 07 Nov 2024 00:04:37 GMT

@GZG wrote:
@NoMoreE46 wrote:
Are you meaning the Pay Over Time feature?
no the preset spending limit is a form of Amex AA when they get spooked, they add hard limits to your charge cards and they can slash cc limits too

it's pretty black box tbh and while there are DPs of some working their way out, there's some just seemingly lost and they never get restored

Thanks @GZG, I was unaware of this.

Welcome to the forums @smcj. Any DPs to refute AMEX's handcuffing?

Re: AMEX Preset Spending Limit assigned - do you ever get out of the dungeon?

smcj — Thu, 07 Nov 2024 00:06:19 GMT

@GZG wrote:
@NoMoreE46 wrote:
Are you meaning the Pay Over Time feature?
no the preset spending limit is a form of Amex AA when they get spooked, they add hard limits to your charge cards and they can slash cc limits too

it's pretty black box tbh and while there are DPs of some working their way out, there's some just seemingly lost and they never get restored

Yep, @GZG's description is, end to end, an exact fit. Spooked, hard limit on charge card, cc limits slashed within 24 hours of the charge card limit imposition, and 18 months later, wicked black-boxy.

Re: AMEX Preset Spending Limit assigned - do you ever get out of the dungeon?

Anonymous — Thu, 07 Nov 2024 01:21:30 GMT

Obviously a little dangerous but have people said they want to close their cards in this status? On a good day, passing to retentions might clear things up. But, probably more likely, as they are marked as damaged goods, there may be a "do not retain" flag...

Re: AMEX Preset Spending Limit assigned - do you ever get out of the dungeon?

sjt — Thu, 07 Nov 2024 01:28:13 GMT

What is your FICO score that is listed on the Amex website?

Re: AMEX Preset Spending Limit assigned - do you ever get out of the dungeon?

FicoMike0 — Thu, 07 Nov 2024 01:50:49 GMT

What limits do you have on other cards? Much higher?

Maybe close the green card, that would get rid of the spending limit. Would save $150 to.

Re: AMEX Preset Spending Limit assigned - do you ever get out of the dungeon?

smcj — Thu, 07 Nov 2024 02:46:42 GMT

@sjt wrote:
What is your FICO score that is listed on the Amex website?

755, currently. Was actually just above 800 when I had the conversation back in June. If an 800 combined with utilization in the floor across all consumer tradelines wouldn't trigger some "positive review automation," I have no idea what would.

Re: AMEX Preset Spending Limit assigned - do you ever get out of the dungeon?

smcj — Thu, 07 Nov 2024 02:54:15 GMT

@FicoMike0 wrote:
What limits do you have on other cards? Much higher?
Maybe close the green card, that would get rid of the spending limit. Would save $150 to.

Much, much higher. Without getting into particulars, a 4-figure limit is not what I [usually] get awarded for new tradelines, nor has it been for... a long time.

Re closing, the challenges are twofold:

(1) I use the green card for specific needs where it is a really good fit (car rentals, using the premium rental insurance benefit, are a great example).

(2) The situation with the green card (according to the AMEX reps I talked to anyway -- they didn't really know what to do so this detail may be suspect) actually boat-anchors *all* my AMEX cards -- the two prior-mentioned CCs that were simul-cut to $1K limits, and I use one of those as mentioned above for hotel bookings (regular runs of travel, not occasional small-amount, and the big benefit is points accumulation). I can't even reallocate CL to the hotel-use card because *all* limit modification is dead frozen by whatever one calls this type of AA.

Fun stuff. I certainly could just close the cards up, but it is more to my benefit (by multiple criteria) to just work them as they are -- irritating as that is -- than it is benficial to close them. I would at least like to know for peace of mind, though, that I have done all I can to get out of the dungeon.

Re: AMEX Preset Spending Limit assigned - do you ever get out of the dungeon?

sjt — Thu, 07 Nov 2024 15:45:47 GMT

@smcj wrote:
@sjt wrote:
What is your FICO score that is listed on the Amex website?
755, currently. Was actually just above 800 when I had the conversation back in June. If an 800 combined with utilization in the floor across all consumer tradelines wouldn't trigger some "positive review automation," I have no idea what would.

When ever someone is assigned a pre-set spending limit on their Amex charge card, its periodically reviewed and get pre set spending limit gets lifted or gets an increase. In your situation, I think you fell through the cracks. Which is why I recommended you contact account services. The other option is to contact the Executive Office (EO) by emailing the Amex CEO. They are quick to respond.

Re: AMEX Preset Spending Limit assigned - do you ever get out of the dungeon?

smcj — Thu, 07 Nov 2024 16:27:20 GMT

@sjt wrote:
@smcj wrote:
@sjt wrote:
What is your FICO score that is listed on the Amex website?
755, currently. Was actually just above 800 when I had the conversation back in June. If an 800 combined with utilization in the floor across all consumer tradelines wouldn't trigger some "positive review automation," I have no idea what would.
When ever someone is assigned a pre-set spending limit on their Amex charge card, its periodically reviewed and get pre set spending limit gets lifted or gets an increase. In your situation, I think you fell through the cracks. Which is why I recommended you contact account services. The other option is to contact the Executive Office (EO) by emailing the Amex CEO. They are quick to respond.

Copy that -- and thank you. I tried to get the Account Services number through online chat and ran into the "tell me more so I can help you with that myself" thing -- didn't get the number. But I was thinking about Plan B (contacting the Executive Office) and that seems like a good plan as well.

Very, very, VERY much appreciated -- for both lines of guidance.

Re: AMEX Preset Spending Limit assigned - do you ever get out of the dungeon?

FicoMike0 — Thu, 07 Nov 2024 16:45:56 GMT

A puzzling situation. Good advice with who to contact.

My thought was, if the limit on green is the key, closing green might force a reset. You're not really getting the value for its af anyway. Then you cli the other cards. Even reapp the green later.

Re: AMEX Preset Spending Limit assigned - do you ever get out of the dungeon?

sjt — Thu, 07 Nov 2024 17:26:30 GMT

Keep us posted.

Re: AMEX Preset Spending Limit assigned - do you ever get out of the dungeon?

sjt — Thu, 07 Nov 2024 17:36:01 GMT

I found a direct line number. It might be outdated but worth a try:

Account Services: 800-230-1284

Reconsideration Line: 877-251-4528

Re: AMEX Preset Spending Limit assigned - do you ever get out of the dungeon?

NAVYCHOP — Thu, 07 Nov 2024 19:28:17 GMT

I went through this experience with a pre-set spending limit imposed on my Platinum Card because I had high credit utilization elsewhere. It took me about 36 months to have my card returned to NPSL.

Here is some information I learned from the experience:

(1). When they impose a preset spending limit, you have 30 days to work with them to dispute the decision. After that, they will simply tell you that the preset limit stands and will only be released by the computer system doing its algorithms over time.

(2). They initially set me at a $4k spending limit which I cycled theough three or four times a month and never had any problem. The immediate credit they grant for online payments did not make that experience too rough.

(3). Over time they increased my present spending limit from 4K to 7k then 10k and eventually returned it to NPSL after about 36 months, the last 12 of which I had a score over 800 again with virtually no credit utilization.

(4). When they eventually lifted the preset limit, they really lifted it and made it NPSL again. The month after they ended the 10k hard limit on my platinum account, I charged about $60k on the card and let the bill generate to have a new high limit for the card account. I had no trouble running up the card again.

(5). The month after that when paid off the $60k, I asked them to increase my Marriott card's limit which they had reduced to $1k. They gave me $12k in one swoop.

(6). Oddly the whole time I had a preset spending limit on my Platinum card, I had a $40k limit on my Delta Reserve card which AMEX never touched and reduced.

Re: AMEX Preset Spending Limit assigned - do you ever get out of the dungeon?

NAVYCHOP — Fri, 08 Nov 2024 02:27:50 GMT

PS. Having dealt with the hard limit for about three years, I would just ride it out with your card. If you have high FICO scores and low credit utilization, your card should eventually return to NPSL. I find the card useful because high balances that I pay in full do not affect my FICO score negatively which would happen if I made the same payments on a normal credit card that would report high credit utilization. I also find the Membership Rewards program useful even if it does not appear to be as rich as a 2 percent or 3 percent cash back card. I use the points to redeem in foreign carrier mileage programs for international business class tickets which provide a very attractive redemption value.

Re: AMEX Preset Spending Limit assigned - do you ever get out of the dungeon?

AnimatorProcrastinator — Fri, 08 Nov 2024 21:07:37 GMT

I was put in the dungeon on my gold card when I had my Blue Biz Cash maxed out $10k during covid. I think I also had a couple other non-amex cards with high util. Once I paid everything off I think it took them about a year to restore my No-Preset Spending Limit. I didn't ask as the limit they had set was $6,000 so I wasn't too concerned about it at the time.