Chase Reported an Over the Limit to Experian

[Anonymous]

Hello, 

I have a Chase Sapphire Preferred with $5,000 spending limit. 

Today, I received an interest charge that drove my limit over by $15. 

It has now has become apparent that on the same day, they have reported this to Experian as "Bank/Credit Card Over Credit Limit"

I never received any sort of email or notice from Chase regarding this, only from my credit monitoring service. 

I immediately called the CSR and a paid a good amount on my credit card. I asked about the reporting and the lady said that that's between me and Experian. 

Is is there anything I can do at this point? How negatively will this impact me? I've had flawless credit from day 1, so this has me quite upset.

Thank you for reading!

[takeshi74]

Impact is all going to be from revolving utilization and the standard advice is do not exceed 30% though lower is generally better as long as you don't have all 0 balances reporting.

However, if this is a one-time thing it's no big deal.  Your scores will recover when your balances update on the next cycle.  Short term high utilization generally isn't an issue.  It's prolonged high utilization that can lead to AA.

If you've been carrying a balance and exceeded your limit then your credit isn't flawless.  Revolving utilization falls under Amounts Owed, the second biggest factor.

http://www.myfico.com/crediteducation/whatsinyourscore.aspx

If you've been carrying it for a while then, yes, you could be in trouble but it won't be just from going over the limit like this.  Keep in mind that not only does high utilization incur a hit but having a maxed (over 90%) card incurs an additional hit.

Regardless of which applies to you, all you can do is get that utilization down and back under 30% as quickly as you can and then paid off and always pay in full from them on.  You're not only going into debt and paying interest by carrying a balance but killing any rewards.  If you're going to carry a balance you should use a 0% offer or (if you have to) a low interest card versus a rewards card with a high interest rate like the CSP.  Even with the 0% offer you need to keep revolving utilization in mind.

[Anonymous]

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@Anonymous wrote:

Hello, 

I have a Chase Sapphire Preferred with $5,000 spending limit. 

Today, I received an interest charge that drove my limit over by $15. 

It has now has become apparent that on the same day, they have reported this to Experian as "Bank/Credit Card Over Credit Limit"

I never received any sort of email or notice from Chase regarding this, only from my credit monitoring service. 

I immediately called the CSR and a paid a good amount on my credit card. I asked about the reporting and the lady said that that's between me and Experian. 

Is is there anything I can do at this point? How negatively will this impact me? I've had flawless credit from day 1, so this has me quite upset.

Thank you for reading!

---

Welcome to MYFICO and thanks for sharing this as this is a very important data.  The CSP is marketed as a "Flexible Spending Account" so it is interesting to know you were $15 over and it reported as over the limit.

You have every right to be upset.  If you have the money, what I'd do in your shoes it pay the card off.  The reason why I say this is because if you pay it all off, Chase will immediately update all CRAs of a 0 balance repairing any damage done thus if any occured when the overage was reported.

Once the card is paid to 0 and updated, just coninue using and don't go over again.

[Anonymous]

Thanks for getting back to me!

As you said this is a "Flexible Spending Account" so I'm confused as well.

I can get the card paid off to about 30% remaining by the end of the month, but what options do I have at that point? Is this something that Chase will even consider removing based on the circumstances?

[Anonymous]

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@Anonymous wrote:

Thanks for getting back to me!

As you said this is a "Flexible Spending Account" so I'm confused as well.

I can get the card paid off to about 30% remaining by the end of the month, but what options do I have at that point? Is this something that Chase will even consider removing based on the circumstances?

---

It really is interesting they reported it $15 over and probably showing on your report as "maxed out then". If you pay it down to 30%, all you can do is wait for the next statement to cut to reflect your current usage.

At this point, calling Chase and asking them to update probably won't get you anywhere but you can certainly try. Your best bet is wait for the next statement to cut as the damage has already been done.

[Anonymous]

How many points did you lose?

[Anonymous]

interesting! 

[Anonymous]

So when you are charging things be wary of the interest and leave that amount available so you don't have to worry about overages

[Imperfectfuture]

Aviator/US Airways is same, flexible spending limit on report. This must be an Experian glitch. They do record the limit of the card. In my case, will never reach my limit, since I always pay new charges in full. Am carrying a 0% interest balance transfer, thus increasing my payment by the amount I wish to pay down. Carrying balance past due date on travel cards big no.

You could call experian, and ask why they reported over the limit with flexible spending account. Chase just reported the balance, they don't code. Now, if your report doesn't show flexible spending limit, then that is another thing.

[Imperfectfuture]

Quick follow up. Checked my reports, and only experian reports as normal revolving. The other two report as flexible spending. So I would call experian.