Credit cards that never lower your limit?

[SunriseEarth]

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@kxkxkxx wrote:

Not sure if these exist, but are there credit cards that will give you a credit limit but never lower it for being responsible? 

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"Never say never", to quote the old saying.  Any lender could CLD at any time, so we can really only comment on trends we see on here.   You see "CLD" and "Sync" mentioned together far more frequently than "CLD" and "NFCU", certainly.

[Remedios]

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@Anonymous wrote:

Barclays! 

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Barclays is neurosis personified, and yet don't hear much about them doing these type of shanennigans lately.

I guess they shut down everyone already 

[Anonymous]

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@Remedios wrote:

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@Anonymous wrote:

Barclays! 

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Barclays is neurosis personified, and yet don't hear much about them doing these type of shanennigans lately.

I guess they shut down everyone already 

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Or they have nerfed the cards (e.g. Uber) so no-one really cares when they get a CLD!

[Anonymous]

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@SouthJamaica wrote:

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Which is one reason why I believe in (a) diversification and (b) credit unions.

I agree with @DebtStinks that credit unions are less likely to engage in the kind of dishonorable adverse actions in which banks engage.

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Diversification is certainly good.   I have a problem with "dishonorable" in this context though.   Straight business decision by a faceless corporation, honor hardly comes into it.

FWIW, credit unions certainly can decrease rates, but they may well do it less than some banks.  And they can do it without notice (from https://www.nafcu.org/compliance-blog/notifying-members-credit-card-limit-changes):

Generally, Regulation Z requires an advance change in terms notice when the credit union makes a "significant change" to the account terms. A significant change, as defined in the regulation, does not include decreasing the credit limit for a member. This might surprise many folks who think reducing a line of credit sounds like a pretty significant change in terms, but the rule's commentary explicitly excludes this.  Like most of Regulation Z, there is an exception to the exception… If the reduction in credit limit causes the member's credit balance to go over the member's newly reduced limit, the credit union must provide advance notice of the decrease before it can impose an over-the-limit fee or a penalty rate.

And of course CUs aren't pure paragons of virtue, they can nerf as well as the competition!

[Anonymous]

CUs are much less likely to slash limits, even on people who aren't great with credit. They are also far more likely to sue to get what they're owed, over amounts large and small, than a bank is and they are known to be ruthless in the pursuit of their money. 

[Anonymous]

I guess experiences with CUs can vary from person to person (or CU to CU). 

For me, the only CC that I've ever experienced AA on was my local CU card. 

[Remedios]

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@Anonymous wrote:

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@Remedios wrote:

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@Anonymous wrote:

Barclays! 

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Barclays is neurosis personified, and yet don't hear much about them doing these type of shanennigans lately.

I guess they shut down everyone already 

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Or they have nerfed the cards (e.g. Uber) so no-one really cares when they get a CLD!

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Every time you try to upstage me, a card gets closed, and five people get CLD! 

[AverageJoesCredit]

Closed ones

[Credit12Fico]

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@DebtStinks wrote:

I don't think there's a cut n dry answer to this. My opinion would be it's less likely that a local (smaller-ish) credit union would be less likely to lower your CL as a result of responsible usage. Keep in mind, though, that if a credit card issuer has a consumer that has a (for example) 10k credit line and has never used more than (example) 1k in the last 2-3 years, that means they have 9k+ of money "tied up" that could be used for lending to another consumer and actually earn them interest. 

Put yourself in their "shoes"...would you want 10k, 20k, 100k of your money "invested" earning a 0% return? I think not.

Anyway, just my 2 cents.

Best of luck!

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I don't think it's straight forward like this. You know how airlines oversell seats on an airplane? Or how banks promise to have your cash available when they couldn't possibly satisfy a total withdraw of balances for every single person with an account at a single branch? Or how brokers lend your stocks to others while you own them? Well it's very likely that these financial institutions apply some amount of undisclosed credit line sharing.  Not too much that they get caught out buy it, and have to borrow money from another institution but just enough that it's more profitable. They can get away with it, because much like the other examples, everyone doesn't max out their credit line or want to withdraw their balances or stocks at the same time.  If you can get this formula right, you can lend the same credit line to more than 1 customer in a sense, which has the potential to be more profitable.  If two people share a 10k credit line, and neither runs up more than a 10% utilization, it's more profitable for the bank. and when both happen to run up the credit line, there is "space" on someone else's unused credit line. Credit line isn't sitting in your garage, it's a pool of money the bank promises is available to you. They most likely have promised more credit line to customers than what they actually can fulfill if every single person maxed out.

So moral of that story is I don't see the issue of unused credit line on an account with a high credit score as the immediate reason for CLD. 

[TattnallTrio]

I went from a CH7 Discharge in 2017 to a 680 credit score down to a 520. 
I can tell you these cards haven't lowered my limit:

Blaze MC $1,000

Valero Gas Card $300

Indigo MC (No AF) $300

Credit One Amex $39'AF $500

Eastman Credit Union $1000 Visa

I had a few medical collections appear and I'm running high utilization on BJs MasterCard and QS Visa the cards above have been paid in full monthly and no AA. Then again, they are subprime cards.