COMENITY CAPITAL BANK (Overstock) Account Closed No Explanation 30k Limit

[djmax041]

Exactly! They didnt give any notification so theres no point of saying theres a 7 day reinstatement process

[CreditMagic7]

Even if OP was using it for high limit padding as plenty members do, you simply cannot leave card accounts especially at that level laying dormant for any length of time and not expect it to be on their list of closures, and without warning. Some lenders give a heads up then again there those who don't.

I think the days of SD cards in this current uncertain environment is  a thing of the past where lenders are now reigning those unused cards back into their available lendings books and auditing much more closer than ever before.

[djmax041]

I still have 120k in across other accounts. Other than Lowes Overstock was my only store cards. Other Cards are all bank credit cards. 

[sxa001]

Comenity is one of the banks that does send notices, I know they sent me one earlier this year with my Blue Nile card.  It is good to know that they don't for all cards and just a general reminder to make sure you get your swipes in if you want to keep the card open. 

[Anonymous]

Overstock just closed my account as well with no warning. I made a purchase the 2nd week of January, then 1/19/2021 account closed. My limit was $14,950, I have been a cardholder over 5 years, never missed a payment or carried a balance. I'm waiting to get the letter in the mail to give me an idea as to why as the CSR's I spoke with were not the brightest. I'm wondering if there's anything that can be done? I liked my Overstock card. My total utilization across all cards is 7% so I'm really confused. I did open a couple cards while Christmas shopping for the extra 30% savings. However, if that was the issue this would have happened at some point previously, no? This has never happened to me before and now I'm paranoid that Commenity will close my Victoria's Secret card too.

[barca]

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@Anonymous wrote:

Overstock just closed my account as well with no warning. I made a purchase the 2nd week of January, then 1/19/2021 account closed. My limit was $14,950, I have been a cardholder over 5 years, never missed a payment or carried a balance. I'm waiting to get the letter in the mail to give me an idea as to why as the CSR's I spoke with were not the brightest. I'm wondering if there's anything that can be done? I liked my Overstock card. My total utilization across all cards is 7% so I'm really confused. I did open a couple cards while Christmas shopping for the extra 30% savings. However, if that was the issue this would have happened at some point previously, no? This has never happened to me before and now I'm paranoid that Commenity will close my Victoria's Secret card too.

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Yea , watch out banks are coming after you guys that have insane amount of credit card.

the fact that OP has a card he did not use for 1 year most likely means he has a lot of CC and managing all those accounts was an issue.

the machine learning algorithm will probably scan accounts monthly or quarterly---

which is when he notices you opened multiple accounts in December and you probably already have many CC before then .and flags you.

i don't get it-- 

if you need to open new accounts, why don't you close some older ones.

'before it gets to the point you are trying to keep some cards alive by using it every six months 

moreover, you don't lose the age factor for the next 10 years

personally , I have a total of 3 CC, all in my wallet. How can I ever forget to use one .

[Remedios]

@barca  are you saying your needs are identical to everyone else's?

This is the second post today where you are questioning why some people have more than three cards, I'm not even going to mention previous ones. 

It's different for everyone, sometimes it's a want, and sometimes it's a need. 

Easy answer ( and a low hanging fruit) it's because when something like this happens, those with sufficient credit hardly feel it. They might lose some benefits, but overall credit remains in good shape.

While what you have in terms of credit is good enough for you, and you're happy,  that doesn't mean that it will work for everyone.  In your particular case, loss of BoA account would be a tragedy since that's the basket in which you've put majority of your eggs. 

No one is questioning your motives on why you only have three cards. There is no " I don't get this three card thing", so perhaps giving others same courtesy is in order.  

Instead of homogenizing the entire community, it would probably be more productive for you to gear that question towards an individual instead of "y'all" 

[barca]

@RemediosI never implied people should have 3 cards.

I am just trying to preach moderation.

I use to have about 15 cards before the financial crisis hit me in 2009/2010.

if you have 20 years credit history and have over 30 cards , perfectly fine.

but what should not be encouraged is someone having 4 year credit history and having 30 cards .

have you not noticed that most people that have their accounts closed is indirectly because they have large number of cards

[longtimelurker]

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@barca wrote:

@RemediosI never implied people should have 3 cards.

I am just trying to preach moderation.

I use to have about 15 cards before the financial crisis hit me in 2009/2010.

if you have 20 years credit history and have over 30 cards , perfectly fine.

but what should not be encouraged is someone having 4 year credit history and having 30 cards .

have you not noticed that most people that have their accounts closed is indirectly because they have large number of cards

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Moderation is a) subjective, and b) just your belief!

Some people have no problem working with 30 cards, regardless of length of credit history.   For some, where spending is in line with funds, putting all cards on auto-pay Full balance makes it very little work.    Yes, from time to time you may have cards close for inactivity if you don't deliberately put some spend, but with lots of cards that's not a big issue (and it's harder to believe that closing a rarely used card is a tragedy).

I agree some people here overdo it in that they cannot manage, but some people get into trouble with just one card, so it's an individual thing and "preaching moderation" isn't that useful.

[djmax041]

@barca I have about 14 ccs over the course of 7 yrs not alot. My credit is still great sitting at 826 821 and 830 across fico

I just dont close cards just cause. Its never a reason to close a card unless u dont want to pay the annual fee. Thats why I dont have cards with annual fees. It sucks, I was planning on using the week after they closed I didnt get notification or nothing. I simply went to login to overstock and couldnt use my card when it was time to purchase. The fact remains that they say they give you notification and they dont and also the 7 day reinstatement is simply not true. Its almost like the customer service reps dont know their own policy or they just want to get you off the phone. Nothing personally against them, but being told one thing and then hearing another is never good.