@theNavigator wrote:Here's the deal. They do have the right to throw their mess at consumers, but I also have the right to lay it out there and warn folks. Apparently they are notorious for this I am discovering right now as they just did it to a friend of mine as well in the last two weeks. They must pull this certain times of the year with tons of their borrowers.
They are a stingy and shady creditor. That screws with my overall credit portfolio and had I known they pull this I would not have ever gotten one of their cards to begin with. So fair enough, I am trying to save someone else the nonsense.
I beg to differ, this is NOT normally something that happens regularly. If it does you're correct there are more issues, I have never seen it and doubt I will again. I think they're just full of it..
I'd say on the balance, the big issuers are fickly and not for the feint of heart. Use them for rewards. Use a credit union for carrying balances.
@theNavigator wrote:Here's the deal. They do have the right to throw their mess at consumers, but I also have the right to lay it out there and warn folks. Apparently they are notorious for this I am discovering right now as they just did it to a friend of mine as well in the last two weeks. They must pull this certain times of the year with tons of their borrowers.
They are a stingy and shady creditor. That screws with my overall credit portfolio and had I known they pull this I would not have ever gotten one of their cards to begin with. So fair enough, I am trying to save someone else the nonsense.
I beg to differ, this is NOT normally something that happens regularly. If it does you're correct there are more issues, I have never seen it and doubt I will again. I think they're just full of it..
Honestly, you can replace AMEX with *insert any bank here that impacted someone personally like Sync, Commenity, etc* and you cover every financial institution. I don't understand the personal crusade at this point. Just close it, pay it off and be done with them. You did your duty warning people, go be happy with other banks while others enjoy AMEX
@theNavigator wrote:... I have studied credit for almost 20 years ... Never seen this ever before ...
I wish I had a dollar for every time I've seen it -- I could probably payoff your balance.
And I've only been "studying" a couple years. Chase and Citi did me that way back in the day. Set off a chain of events I was ill-equipped to handle, at the time. Live and learn, eh?
Hope it ends up okay for you.
@theNavigator wrote:American Express also just had my limit cut by 13k, down to just about where my balance is at, unreal. I am paying my small balance off and never doing business with them again. I advise people to be careful and steer clear of them they really aren't that special to be pulling this tbh.. Never had a company ever do this to me and I don't appreciate it.
Thanks for sharing your experience with us. It's good to know.
@SouthJamaica wrote:I disagree with advice you have been given that there's nothing wrong with closing an account with a balance.
IMHO there's something quite wrong with that.
Your credit limit will no longer be factored into your aggregate utilization computation, while your balance will be.
Given your clarification in the later posts, can we agree to a clearer answer here;
that closing a card is not the end of the world for individual utilization, and the typical impact for aggregate utilization is also a nothingburger?
@theNavigator wrote:Here's the deal. They do have the right to throw their mess at consumers, but I also have the right to lay it out there and warn folks. Apparently they are notorious for this I am discovering right now as they just did it to a friend of mine as well in the last two weeks. They must pull this certain times of the year with tons of their borrowers.
They are a stingy and shady creditor. That screws with my overall credit portfolio and had I known they pull this I would not have ever gotten one of their cards to begin with. So fair enough, I am trying to save someone else the nonsense.
I beg to differ, this is NOT normally something that happens regularly. If it does you're correct there are more issues, I have never seen it and doubt I will again. I think they're just full of it..
CLD are not random events. Every person has a different set of circumstances that lead to a CLD. In my case it was massive balances, but that's not every CLD situation. We often have to keep asking questions to get The Rest Of The Story, so I'll try again
How long was the AMEX card dormant before you started using it again a few months ago?
@theNavigator wrote:Here's the deal. They do have the right to throw their mess at consumers, but I also have the right to lay it out there and warn folks. Apparently they are notorious for this I am discovering right now as they just did it to a friend of mine as well in the last two weeks. They must pull this certain times of the year with tons of their borrowers.
They are a stingy and shady creditor. That screws with my overall credit portfolio and had I known they pull this I would not have ever gotten one of their cards to begin with. So fair enough, I am trying to save someone else the nonsense.
I beg to differ, this is NOT normally something that happens regularly. If it does you're correct there are more issues, I have never seen it and doubt I will again. I think they're just full of it..
First time I've seen Amex called stingy. 😂
I can understand why the OP and others get frustrated with this credit card companies. We’re led to believe that we’re entering a “partnership”, where they lend money, we promise to pay it back, and they profit off the back end.
But then when an issue arises, they refuse to divulge any useful information. Whether it’s balance-chasing, closing accounts, or something else, banks won’t even provide a justification for their actions. When the rules of the game are this obscure, its unsurprising that customers think their algorithms are faulty, or even rigged.
Not to mention that when a bank DOES choose to take action against you, it can leave you in a far worse credit position health-wise than before the relationship even began. For that to happen, and not even get a justification, is frustrating and a bit shady. Yes, of course, no one HAS to get credit cards if they don’t like the rules. But at the same time, as we all know, if you aren't using credit, you are losing money.
While I will neither justify nor condem balance chasing/CLDs, regardless of financial institution, it is a given such practices are common in the industry, and to me at least, is a simple justification for diversification of creditors. Over the years I don't think I've ever held more than two cards from any one financial institution at any one time.
Does this thread make me want an AMEX (say a Delta SkyMiles card) any less? Definitely not.
Does this thread justify my desire to keep my credit cards diversified? You bet'cha!
