Automatic CLD with Chase?

[yfan]

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@Kenny wrote:

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@mikelo22 wrote:

Just a recomendation for the future: When you are running a balance on a card, you should still pay more than the minimum payment. Just paying the minimum can raise red flags and cause CCC's to do crazy things like this. 

I currently have balances on my Citi DC, Amex BCE, and Discover. I'm taking advantage of the 0% intro. But I'm still paying $50+/month on each, which is well over the minimum payment.

I'm not the least bit surprised that Chase took AA. The 95% util coupled with minimum payments tripped a wire in their system. 

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This and no other. 

The fact that the OP invested the amount is not relevant in the slightest. Who cares if he did it or bought a ring? What's the point to that argument? Chase has no clue how he spent it and it's not our place to keep poking it - let it be.

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Is that meant to be a moderator comment?

But it is absolutely relevant. For one thing, the OP brought it up. For another, an investment in stocks is more liquid than a ring. Depending on the time elapsed, OP may not be able to return a ring to get the money back to pay down the balance, but they can always sell all or part of the shares of common stock to recover the money and put it towards paying down the balance.

There's also the fact that brokerage firms generally do not allow clients to buy stocks and mutual funds with a credit card (link). And OP's limits, while good, do not seem to be in an exclusive clientelle range for brokerage firms to make special exceptions.

[mohammadmoghimi]

I actually think that call was necessary at some point, probably not now. The last day was Nov 4. So I still have a few months to go. These days are not necessarily based on statement dates so you have to be careful.

[gdale6]

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@mohammadmoghimi wrote:

Thanks everyone. I knew I had to call but didn't know what to say. So far I got two good pieces of feedback (1) explain the situation (2) offer to make a payment

No one mentioned the fact that I called them yesterday about the last day of the 0% apr offer. I think that made a trigger to check my account.

What does AA stand for?

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AA is adverse action

http://ficoforums.myfico.com/t5/Rebuilding-Your-Credit/Guide-To-Common-Abbreviations/m-p/224988?jump...

[Anonymous]

AA=Adverse Action

[Anonymous]

One thing no one has mentioned is that more than likely when the OP pays down his CSP, they're likely to cut that limit as well.  That is unless he gets Chase to reverse their actions.

[IWOL]

OP, how long is the 0% interest for and how long have you been making minimum payment?

That alone probably caused the CLD. If your 0% interest is for say 15 months on 9K and min is probbaly like 3% at around $90.....after 15 months you would still owe around $7400 and the regular APR would kick in.

Are you carrying balances on other cards besides Chase?

[mikelo22]

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@Anonymous wrote:

One thing no one has mentioned is that more than likely when the OP pays down his CSP, they're likely to cut that limit as well.  That is unless he gets Chase to reverse their actions.

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Very good point! OP, more likely than not, Chase will probably balance chase your Sapphire (no pun intended). Balance chasing is essentially a scenario where the CCC lowers your CL as you pay down the balance.

To avoid this probability, I'd definitely give them a call and demonstrate a willingness to make additional payments to assure them you are not a danger.  Failure to do so could result in further CLD's.

[mohammadmoghimi]

I do have balances on other cards (mostly citi) but I always PIF.

[mohammadmoghimi]

Funnily enough, I recently received an auto CLI from another bank (bofa). Totally unwanted.

[Kenny]

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@yfan wrote:

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@Kenny wrote:

---

@mikelo22 wrote:

Just a recomendation for the future: When you are running a balance on a card, you should still pay more than the minimum payment. Just paying the minimum can raise red flags and cause CCC's to do crazy things like this. 

I currently have balances on my Citi DC, Amex BCE, and Discover. I'm taking advantage of the 0% intro. But I'm still paying $50+/month on each, which is well over the minimum payment.

I'm not the least bit surprised that Chase took AA. The 95% util coupled with minimum payments tripped a wire in their system. 

---

This and no other. 

The fact that the OP invested the amount is not relevant in the slightest. Who cares if he did it or bought a ring? What's the point to that argument? Chase has no clue how he spent it and it's not our place to keep poking it - let it be.

---

Is that meant to be a moderator comment?

But it is absolutely relevant. For one thing, the OP brought it up. For another, an investment in stocks is more liquid than a ring. Depending on the time elapsed, OP may not be able to return a ring to get the money back to pay down the balance, but they can always sell all or part of the shares of common stock to recover the money and put it towards paying down the balance.

There's also the fact that brokerage firms generally do not allow clients to buy stocks and mutual funds with a credit card (link). And OP's limits, while good, do not seem to be in an exclusive clientelle range for brokerage firms to make special exceptions.

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No, it's a person comment.