topic Re: An Amex (et al.) purge? in Credit Cards

An Amex (et al.) purge?

quickstep_knoll — Tue, 29 Apr 2025 16:13:53 GMT

An unusual number of account closure reports seem to have popped up for Amex, as reported here, here, and here [all reddit]. There was also a report of a Chase closure, but not quite as suspiciously timed as these Amex reports. Is this common/does this happen periodically? In 20+ years, the only cards I ever had closed were from Comenity.

Re: An Amex (et al.) purge?

NoMoreE46 — Tue, 29 Apr 2025 17:20:50 GMT

@quickstep_knoll wrote:
An unusual number of account closure reports seem to have popped up for Amex, as reported here, here, and here [all reddit]. There was also a report of a Chase closure, but not quite as suspiciously timed as these Amex reports. Is this common/does this happen periodically? In 20+ years, the only cards I ever had closed were from Comenity.

I saw these as well but a handfew of closures vs millions of Amex account holders isnt anything.

Re: An Amex (et al.) purge?

Copenix — Tue, 29 Apr 2025 18:38:25 GMT

I read a few of those stories today as well. Seems like all (or most) I read was Plantinum cards being closed. Wonder if Amex is planning for an upcoming potential recession or something. Sounds a bit arbitrary?

Re: An Amex (et al.) purge?

dfwxjer — Tue, 29 Apr 2025 18:42:58 GMT

A few anecdotal pieces of evidence is hardly a pattern... especially when they originate from Reddit.

Re: An Amex (et al.) purge?

Patient957 — Wed, 30 Apr 2025 05:11:02 GMT

@quickstep_knoll wrote:
An unusual number of account closure reports seem to have popped up for Amex, as reported here, here, and here [all reddit]. There was also a report of a Chase closure, but not quite as suspiciously timed as these Amex reports. Is this common/does this happen periodically? In 20+ years, the only cards I ever had closed were from Comenity.

One of these had specifically to do with expats living in Mexico getting cards canceled. A specific situation that doesn't apply to most Amex holders.

Another was canceled due to "indica of misuse." This usually means manufactured spend, but can also be other forms of misuse. Amex is well known to cancel all accounts of members it suspects of misuse, especially manufactured spend. So this is absolutely nothing new and nothing average card holders need to worry about.

I suspect most manufactured spend types know who they are, are constantly looking over their sholders, and are never too surprised when Amex lowers the boom.

Re: An Amex (et al.) purge?

cabledude27 — Wed, 30 Apr 2025 16:58:21 GMT

What's considered manufactured spend?

Re: An Amex (et al.) purge?

salt_water_swimming — Wed, 30 Apr 2025 17:14:26 GMT

@cabledude27 wrote:
What's considered manufactured spend?

Methods vary constantly, as AmEx closes loopholes and MSers discover new ones . Discussing specific methods is against the forum rules but, speaking very vaguely:

* any method of using a credit card like debit/cash without it coding as a cash advance

* any transaction intended to simulate a regular purchase without actually purchasing something

Doing the above accidentally in large enough quantities that AmEx notices and shuts you down is difficult, so most of these folks knew it was coming

Re: An Amex (et al.) purge?

cabledude27 — Wed, 30 Apr 2025 17:13:47 GMT

ah got it, thanks!