Credit Limit Decrease - close accounts?

[taxi818]

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@NRB525 wrote:

Welcome to Chase! I had this set of experiences over the past several years, balance Chased down. (and Citi, and BofA)

With a 670 score and $175k in available credit, your CLD are not surprising from these cards. If you had BofA and Citi, they'd probably do the same thing with significant CL.

You closing the accounts won't affect the Chase Borg, so you really just need to look at each of the cards and see what they provide for you, whether you want to keep them open at the new limits. And, after PIF, see if they CLD again now that there is avalable credit. I've never had a CLD below the open amount, but I have had stepping CLD as I paid down balances.

And, again, with $175k in new credit, that cannot be overstated: Hopefully you apped for cards you really want. Because those are your new CCC if you close the Chase and Discover cards. And there's nothing wrong with that, not to be too repetitive, but you got a TON of new credit, even if you don't like the $7,500 limits. That's also still a substantial CC. How much do you actually need? Probably not $100k.

Good luck!

p.s. You didn't hear anything from CapOne? That is the ONE card I have that was pre-Financial Crisis at $10k, and is still at $10k today, I have NEVER had a CLD from CapOne. Ever, even though I maxed it out exactly like all the rest and all the rest did CLD. It's one of the reasons I like CapOne

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+1 ive been saying that all alone about cap one. they are good at certain things for sure. even made entire credit availble for cash advance. sorry op. but im sure that not a big deal with the amount you got. but i feel you for your family issues. sister and father. good luck.

[IWOL]

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@racer-x wrote:

Sooooo, I went from a single $500 Cap One Platinum credit card, to about 22 cards and total available credit of about $175K in about 2 yrs....Income $100k.

My daughters' lst year of college, more co-signed Sallie Mae loans, possible house purchase, a boat (oops), and some ill fated credit apps, and this and that....spooked Chase and Discover.  I got up to about 20% utilization overall.

Chase without warning, did this:

CSP - $15k to $4900 with a balance of $4500.

Freedon - $6k to $2800 with a balance of $2200.

Slate - $3200 to $1200 with a balance of $1100.

Discover IT - $12,9K to $4500 with a balance of $4200.

So after that, my utilization on those cards went to damn near 90%.

These cards have been PIF recently.

I'm tempted to close these accounts.  My average CL on my remaining cards is about $7500.  I feel these low limit CL's that I now have looks bad and I'm just kinda pissed about the situation.

Credit scores still in 670 range, and should go up quite a bit once these new balances hit the CR's.  I'm also putting about $10k more toward my cards in hopes of getting below 10% utilization.

To close or not to close?  My AAoA is already low, maybe 2 yrs.  They may close the accounts themselves, since they are PIF now.

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OP, was wondering for informational purposes, 20% overall util dosent seem that high. How long where you carrying a 20% util and where you making close to min payments for a while?

[racer-x]

Thanks for the well wishes with my family...Got dad accepted into nursing home today...move in tomorrow....sister double mastectomy Friday morning.  And I'm the only one capable of providing help.  I've learned alot about dying this week.  It's just as I thought though, it's not much fun. 

IWOL - My utilization doubled in a matter of a couple months.  Went from $18k in debt on CC's to $36k.  When I was at $18k, the balances were on 4 cards, the other 18 or so accts were $0.  And the utilization on those 4 cards were around 20-25% or whatever that works out to be on $15k CL's. 

I was pretty much making minimum payments for about 3 months. 

I started carrying balances on other cards as well.  Maybe as many 12 cards were reporting balances.  Like I ADMIT, I knew it was gonna be noticed and I knew the phone calls or CLD's were probably on their way, but I also knew it was a temporary situation.

I also had to take an early/extended layoff from work due to my family situation. 

Once the inevitable happens with my dad and I go back to work, all will be just fine.  Debt free by 2016, 0 INQ's, my 2013 Harley and truck will be paid off by then as well.

[racer-x]

Vegan - I think I'll wait a month before I call to recon anything once all the cards that I've paid down considerably report.  I'm quite certain my score will jump 30 pts or better.

[Lyythine]

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@Anonymous wrote:

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@racer-x wrote:
Happy - i didnt start the thread making uses or blaming the credit card vompanies for doing what they did. It was nice to see boa call me to inquire about the situation snd it would have been nice if chase and disc ectended the same courtesy.

Im not mad or salty, it doesnt affect my life in any way.

What they dont know is that i gave a very good size 401k that i vould easily take a loan from and have 0% utization in a couple days.

No worries of bk here, but if ciurse they dont know that.

Again, lets not lise track, the thread was about whether or not to close the accts. its not about me feeling like i was wronged.

Thanks for the input

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Sorry I misinterpreted your original question.  In my opinion, it's nice to have the total CL, especially with no AF cards.  If you're upset with the company, put it in the SD.  The company will pay to maintain the card (however little), and get nothing from it.  

Close the card if it has an annual fee.

Close the card if it's a "younger" account bringing down your AAoA.

Keep the card open otherwise IMO.

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Just for the record, closing a younger account will not in any way make your AAoA longer or have any better outcome than leaving it open.  The account still stays on your report for 10 years regardless if its closed or open.