Chase = Use Convenience Check = Review and CL Decrease

[Anonymous]

Used a 3.99 for life of amount convenience check from Chase -- which they have been mailing me constantly. When the checks are presented to Chase by the bank on behalf of the person you wrote it to they THEN review your account and decide whether to cash it -- you cannot get an advance assurance of their acceptance.  So, you use the check for something time-sensitive, they decline your check and reduce your credit limit out of the blue when presented with it, and you are screwed.  So I call furious and they review and reinstate my credit lines etc. but tell me sorry, can't go back and fix the check.  They then say to try again in 11 days, but that use of the check will again result in another credit review.  So I will have 3 reviews and potentially 3 different results.  Gotta love it.  I actually am getting to the point where I love to read about bank credit card losses.  Is that wrong?

[Imhotrodcrazy]

Isn't it crazy.  I have one of my checking accts with Chase, but not for long.  I have had differences of opinion with them in the past.  I am in the process of changing over to a local credit union who are a lot easier to deal with, and they treat you like a human.  Good luck, I know its frustrating.  But I for one am not going along with the "banks" anymore. 

[Anonymous]

The banks are all running scared.  They plan on cutting another 2 trillion in credit lines in the near future. We all have to get used to not being able to use our accounts or fear a CLD.

I have had rate increases come in on many of my accounts.  I just plan on never carrying a balance so they can charge me whatever they want. I will not give them the opportunity to collect any interest from me.  If they decide to close my accounts, so be it.

[GregB]

Well, I'm going to "poke the lion with a stick and see what happens"

Last year Amex CLD my Bus Cred Line from $82K to $11K so I closed it. I pretended I didn't know they were killing the whole program on Jan 15 so got them to prorate a refund of the fee. They CLD my Optima card from $28K to $3K. I've been using it only for Costco. Typical monthly purchases is the $335 that I PIF each month. The payment hit today. I just did a single charge for $2100. 

Advanta RJ me last year so I stopped carrying a balance. PIF every month until March when I paid $2K short. They double cycle billed me on interest so I PIF the whole balance of $6900. Statement closes in a few days. Then I'm going to pay the same vendor the balance of the statement, $11,800 against a $12,500 limit.

Things may get interesting..............

[Anonymous]

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@Anonymous wrote:

The banks are all running scared.  They plan on cutting another 2 trillion in credit lines in the near future. We all have to get used to not being able to use our accounts or fear a CLD.

I have had rate increases come in on many of my accounts.  I just plan on never carrying a balance so they can charge me whatever they want. I will not give them the opportunity to collect any interest from me.  If they decide to close my accounts, so be it.

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Now here is a guy that's laying down the law.....draw that line in the sand big guy. NO MORE

Message Edited by 74king on 05-20-2009 01:07 PM

[Anonymous]

what criteria does Chase use to determine whether they will honor the convenience check you used? Has anybody heard of BOA using sleazy tactics like this in regards to the use of convenience checks?

[Anonymous]

Even WAMU didn't do that!!!!!  CAP 1 doesn't either.

[Anonymous]

In the current credit environment, I think I'd decline all convenience check offers. They seem to be AA bait.

[Watchmann]

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gettinby wrote:

Used a 3.99 for life of amount convenience check from Chase -- which they have been mailing me constantly. When the checks are presented to Chase by the bank on behalf of the person you wrote it to they THEN review your account and decide whether to cash it -- you cannot get an advance assurance of their acceptance.  So, you use the check for something time-sensitive, they decline your check and reduce your credit limit out of the blue when presented with it, and you are screwed.   

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I think you are wrong to assume ALL convenience checks are in limbo until Chase does a review of your account after you use one.  They may be extra cautious now, but normal procedure is the checks will be honored if your account is in good standing.  It sounds like Chase flagged your account for some reason.  I've used convenience checks on occasion (incl Chase) when the interest rate is low for an extended period of time and never had any problem.  Did Chase actually tell you that they review your account before deciding to honor it? 

[Itsmeagain]

Not sure about Chase but BoA told me the use of a convenience check is only tacit approval.  As you said, if your acct. is in good standing there will be no problem.  They don't pull a CR (not even a soft).  But if something looks suspicious, they can deny the payment.