AmEx CLD

[Save-n-Invest]

---

@Anonymous wrote:

---

@Save-n-Invest wrote:

Yes. We're low risk and low reward. It makes sense to have varied credit tiers in portfilio. 

The thing about Amex is why slash the limits knowing they will restore them? Talking to the gal who wanted to do a promo or a Cash Magnet card telling me it was a pc from Blue was a waste of time. Amex reps must have lots of pants on fire awards. The next person was the one who restored the credit limit after asking a few silly questions. What's the point? 

If the game is to annoy he borrower to the arms of another issuer they are doing very well with me. There are times I would use an Amex card if the company behaved as they did a few years ago. Now I hesitate and think do I really need this possible aggravation? I slide a different card from my wallet and do the purchase. I'm just not into stupidity.

---

Most people probably don't know they can be restored. And if they don't know and keep their card, that's less risk they have to deal with. They do risk cardholders closing their accounts but maybe they are willing to take the risk. 

---

Letters are mailed when there is AA taken. I have not received it yet. The last time Amex took AA on Blue I received the letter and phoned to learn why. They restored the limit immediately. I didn't ask for the restoration then or the other day. 

At the time I first received an AA letter I didn't know about this forum. That was one question posted by the person who first asked how we would prefer borrowers higher on this thread.

[Save-n-Invest]

---

@FinStar wrote:

---

@Save-n-Invest wrote:

Yes. We're low risk and low reward. It makes sense to have varied credit tiers in portfilio. 

The thing about Amex is why slash the limits knowing they will restore them? Talking to the gal who wanted to do a promo or a Cash Magnet card telling me it was a pc from Blue was a waste of time. Amex reps must have lots of pants on fire awards. The next person was the one who restored the credit limit after asking a few silly questions. What's the point? 

If the game is to annoy he borrower to the arms of another issuer they are doing very well with me. There are times I would use an Amex card if the company behaved as they did a few years ago. Now I hesitate and think do I really need this possible aggravation? I slide a different card from my wallet and do the purchase. I'm just not into stupidity.

---

Also, as a consumer, you have the option to exit the relationship which can save you from frustrations or any aggravation that does not align with your mindset or the way you would expect things to operate.  It would be a simple solution and you wouldn't need to entertain the idea of SD'ing the card(s).

The majority of individuals seem to have a good relationship with AmEx, but no lender will work 100% for everyone. 

---

I avoid using American Express for many purchases to avoid hassles. As for slashing the credit limit it's more of a curiosity to me. Never had any of this until I got BCE. My gut tells me American Express is not fond of the cash back market but does not want to concede it to competitors.

I am comparing the way American Express treated me pre-BCE and post BCE. Just curious about it. 

As to ending the relationship it would not surprise me if Amex does that eventually. 

[Anonymous]

---

@Save-n-Invest wrote:

---

@Anonymous wrote:

---

@Save-n-Invest wrote:

Yes. We're low risk and low reward. It makes sense to have varied credit tiers in portfilio. 

The thing about Amex is why slash the limits knowing they will restore them? Talking to the gal who wanted to do a promo or a Cash Magnet card telling me it was a pc from Blue was a waste of time. Amex reps must have lots of pants on fire awards. The next person was the one who restored the credit limit after asking a few silly questions. What's the point? 

If the game is to annoy he borrower to the arms of another issuer they are doing very well with me. There are times I would use an Amex card if the company behaved as they did a few years ago. Now I hesitate and think do I really need this possible aggravation? I slide a different card from my wallet and do the purchase. I'm just not into stupidity.

---

Most people probably don't know they can be restored. And if they don't know and keep their card, that's less risk they have to deal with. They do risk cardholders closing their accounts but maybe they are willing to take the risk. 

---

Letters are mailed when there is AA taken. I have not received it yet. The last time Amex took AA on Blue I received the letter and phoned to learn why. They restored the limit immediately. I didn't ask for the restoration then or the other day. 

At the time I first received an AA letter I didn't know about this forum. That was one question posted by the person who first asked how we would prefer borrowers higher on this thread.

---

Yeah, they'll try for the uneventful CLD. Works to their benefit if they can get you to take a CLD and you're OK with it.

[Brian_Earl_Spilner]

---

@pinkandgrey wrote:

Well it kind of makes sense. Why would they hand out a ton of credit to someone who doesn't use it? They could be allotting that to people who spend heavily on their Amex cards. Personally, I would just close a card that I wasn't using. The ONE exception would be if I absolutely needed the utilization padding at the moment. 

Sorry about the CLD though! 

---

Exactly. Credit lines aren't made of imaginary money, there's a finite amount to give out. If someone isn't using their limits, lenders will take them back and give them to someone else. They're being reinstated under the assumption that they'll be used. Because I'm sure nobody called up and said, "hey, you guys took away my utilization padding and I need it back to stay under 8.9% aggregate." I'm willing to bet almost everyone said they were planning to use it.

[Save-n-Invest]

---

@Brian_Earl_Spilner wrote:

---

@pinkandgrey wrote:

Well it kind of makes sense. Why would they hand out a ton of credit to someone who doesn't use it? They could be allotting that to people who spend heavily on their Amex cards. Personally, I would just close a card that I wasn't using. The ONE exception would be if I absolutely needed the utilization padding at the moment. 

Sorry about the CLD though! 

---

Exactly. Credit lines aren't made of imaginary money, there's a finite amount to give out. If someone isn't using their limits, lenders will take them back and give them to someone else. They're being reinstated under the assumption that they'll be used. Because I'm sure nobody called up and said, "hey, you guys took away my utilization padding and I need it back to stay under 8.9% aggregate." I'm willing to bet almost everyone said they were planning to use it.

---

I didn't either time.

[Meanmchine]

Congrats on the CLRestore

[Anonymous]

Amex has done that to me in the past. They basically said if I didn't use the limit they would reduce it. Amex like all issuers likes you to spend as long as its not out of control. 

An underwriter once told me, profitable customers either pay interest or they spend a lot. That's one reason I downsized on my cards. I was using quite a few here and there and wasn't enough to keep the high limits on any of them. Started concentrating on 3 cards and got the limits on those cards back up eventually. Sadly amex isn't one of them now since a few places I shop in locally won't accept amex so it sits in my sock drawer with a 500 limit. 

This isn't always the case but my opinion, if you don't use an amex card much there's a very good chance your limit will be cut. On their charge cards they will just stop approving bigger charges. On my gold card any charge over 500 got declined when I wasn't using it much. 

My advice is to use your card a lot within reason of what you can spend and the lines should stay intact. Amex likes big spenders from my experience. They see the market for smaller everyday type spenders but the credit lines reflect that. As the amex rep put it, we love our soccer mom clients but they won't have a huge credit limit. 

[AverageJoesCredit]

We love our high limit cards but if you aren't actually utilizing them , one should be content with a limit that allows you to continue purchasing as ones history suggests. One caveat is sometimes we dont know when we need to make a large purchase so i do understand wanting a little breathing room from normal spend. 

[Anonymous]

---

@AverageJoesCredit wrote:

We love our high limit cards but if you aren't actually utilizing them , one should be content with a limit that allows you to continue purchasing as ones history suggests. One caveat is sometimes we dont know when we need to make a large purchase so i do understand wanting a little breathing room from normal spend. 

---

That's one reason I put spend on all my cards every month. AA, even CLDs aren't something I want to see but if it happens it happens. I try to minimize as much change to my accounts as possible. 

[Save-n-Invest]

American Express is in interesting card issuer. I understand that it's their store and they make the rules. Card holders or potential card holders have two options. Take it or leave it. 

Five years ago I phoned all my card issuers to request that my existing rewards card be changed to a cash back card. All except one was very accomodating. The new cards with the old history and old date was in my mailbox in 3-4 days. 

When I phoned Amex the answer was no. MR cannot become cash back. OK? Again their store. I wanted to change Blue to BCE. No go. New application, hard inquiry and new date/history required. I wonder why? I accept it as you accept your crazy aunt but it's still curious. 

I would have been perfectly contented with the limit on Blue changed to BCE. I did a new app for BCE. Application was accepted and a 10k credit limit was given. Fine. Their store, their rules. 10k is very adequate. A few days later a mailing frorm Amex. Not a card. It was letter of AA on Blue. Credit limit slashed to approve BCE. That's duplicitous. The new amount of credit Amex extended was actually $3600.00 after slashing Blue. Why advise that 10k was approved? 

I phoned the number on the AA letter to cancel BCE. Don't send it. I'm good with Blue only. The rep immediately restored the limit on Blue and said BCE will arrive soon with 10k limit. Back to crazy aunt theory. 

Why be so rigid with the no MR to cash back? Blue has an older date and older history. BCE is more useful for me. What does Amex get from being so unaccomodating?  If I understand the information provided on this thread correctly Amex wants spend. That may be easier to accomplish if a cardholder could get the useful card without doing the Amex dance. 

I had no hassles with Amex until I got a cash back card. Amex did some slipping and sliding with the cash rewards too. I'm not going into that here. I've posted the issues elsewhere on the forum if anyone is interested.

What's the point of being so dogmatic for American Express? My overall credit limits would be lower. I'd be much happier with Amex. There would most likely be more spend on Amex. 

Diverting spend from other issuers who provide higher credit limits and abide by their own terms is not something I'm inclined to do. They treat me better and don't bug me. Just as  preemptive for the AF no AF card folks Amex was a bigger PIA when I had BCP. That's why I returned to BCE.

Any thoughts? Thanks!