HSBC credit line slashed for no reason!!!

[haulingthescoreup]

This is amazing!

Those of you who got hit, could you supply this info? at a start:

-- CL before and after
-- what is the name of the card (HSBC Platinum, Orchard something, Best Buy Reward Zone MC, etc)
-- have you carried high util on this card within the last 6 months
-- have you carried high util overall within the last 6 months
-- do you live in a high foreclosure area
-- do you have a mortgage with an iffy lender, like Countrywide
-- do you have a WaMu card (or former WaMu card) or cards from other banks that have been having adventures
-- any other factors that make you wonder

[Anonymous]

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@Anonymous wrote:

Survey,

Something stiking caught my attention...

How many people with HSBC cards that got CLD has a Wamu account?

I have one and the other lady said she had one too. Just trying to connect the dots...

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I doubt there is a connection.. unless it is re: how badly you got slashed.  I got CLD by $210.  I really do think that it was so low only because they could not do much more without taking me over the limit.  I had high utilization.

Disc was 2200 with a 1700+ balance... Just made $175.00 payment a couple of weeks ago... then the slash I noticed today when I went to pay the balance.  I will not be shocked if they now go back and cut my CL again.

MC has not been touched yet, but it is becuse they cant.. only had $36.00 available on it today... but I paid $1160 on it today PIF.  So. will be interesting to see what happens.

I do not have a WAMU account.... and my cards are through Direct Merchants.  I am wondering if I should go back and lower that payment on the MC.. and see if they then slash my limit... to about $200 above the CL.  I really think these companies decide to leave you a certain available line.. say $300 or $500... then just slash away.   It is why some of us get slashed by the hundreds.. while some of us get slashed by the thousands... 

Walmart slashed me too by 475.00.  I canot even log into my Paypal Buyers account.  I am thinking GEMB has probably closed it altogether.  Who knows!  

Message Edited by Changingmantra on 02-19-2009 05:42 PM

Message Edited by Changingmantra on 02-19-2009 05:47 PM

[Anonymous]

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@haulingthescoreup wrote:
This is amazing!

Those of you who got hit, could you supply this info? at a start:

-- CL before and after
-- what is the name of the card (HSBC Platinum, Orchard something, Best Buy Reward Zone MC, etc)
-- have you carried high util on this card within the last 6 months
-- have you carried high util overall within the last 6 months
-- do you live in a high foreclosure area
-- do you have a mortgage with an iffy lender, like Countrywide
-- do you have a WaMu card (or former WaMu card) or cards from other banks that have been having adventures
-- any other factors that make you wonder

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Yeah I fished for that information earlier too but doesn't seem to be any one thing that jumps out. For me as I said, I didn't get hit with a cut, YET at least. In fact I got a 1k CLI about 3 weeks ago. I use the card heavily as my primary card, its the HSBC Cash Back Platinum mastercard. I started from the getgo with 3500 and now up to 4500 limit. It was a 12 month 0% APR with promise to go to prime + 1 in 2/09 but on 2/16 when they changed the APR they hit me with 16.49% which annoyed me and I was going to say something but I don't think I want to poke around right this minute with all the cuts and all. I never had WaMu of any kind, strictly a BofA banking customer. I do however have deposit accounts with HSBC though. Can you figure anything?

[Anonymous]

 I do however have deposit accounts with HSBC though. Can you figure anything?

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Hmmmm... Wonder if there is a connection there. I had an online checking and savings account with them until I canceled the checking last month due to all the problems I kept having with them.  The savings probably has about $6.00 in it.  Who knows.. I figured I would never check /use that account again. Hey.. maybe just having an account with them makes a difference in how severely you got cut or whether you get cut at all.  Who knows!

Message Edited by Changingmantra on 02-19-2009 06:10 PM

[Anonymous]

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@Anonymous wrote:

Hmmmm... Wonder if there is a connection there. I had an online checking and savings account with them until I canceled the checking last week due to all the problems I kept having with them.  The savings probably has about $6.00 in it.  Who knows.. I figured I would never check /use that account again. Hey.. maybe just having an account with them makes a difference in how severely you got cut or whether you get cut at all.  Who knows!

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I figured that it might only after someone brought up WaMu. I only have it because of family and friends Asia and Europe and this allows me to get money to them alot easier than wires and international drafts and so on. I deposit and they use the ATM card to withdraw it or go to the branch and cash the check. They only recently opened in person branches in my area but I still don't use them, gotta love online access to everything.

[Anonymous]

My HSBC card is a GM Flex Card Mastercard.  Original credit limit from 4 years ago was $12,000 where it still sits today.  I just checked again and it has not been cut.  I do carry a balance on it a few times a year.  If you PIF every month they do not consider your card as profitable.  So I throw them a bone every now and then.

[Anonymous]

 

I got an alert that my balance was within 500 of my CL. Shocking, since I hadn't used it. Sign in to find my 5k CL on my Discover and 7500k CL Mastercard is now $300.

The worst part about is that I recieved a credit monitoring alert yesterday saying that my credit score has changed by 20 or more points. Upon checking these 2 CL decreases lowed my FICO Score from 742 mid to 703, a 39 point drop. I used these cards every couple of months as HSBC had cancelled my Visa about 12 months ago for inactivity of 6 months or more. I do have a WAMU account but fail to see the connection as they were bought by Chase. I have about 12 open account including my mortgage with GMAC and never go over 10% and always pay in full. Live in Wisconsin, no car payments and 5 years left on my mortgage. I have a feeling that they are positioning themselves so their books reflect a very high debt load for a government handout.

Message Edited by SupportOur2ndAmendment on 02-19-2009 10:28 PM

[Takunda1]

Victim here as well, after reading your posts, checked my HSBC Discover, CL slashed from $2300 to $.300, haven't used the card in the last 2 months. Utility is about 8% on all credit cards combined. I do not have a mortgage, I do not live in a high risk foreclosure area, West Plano, TX. I do have a wamu card with a $4000 CL. I have no clue as to wahts up with HSBC, but whatever software they are using is really messing up.

My question is so , how do these companies expect to make money, when they slash CL to a point where a Consumer cannot even use the card. don't these companies make money by charging merchants a percentage on the transaction fee? If they Cld everyone, how are they going to stay in business?

[Anonymous]

Got me also I had 3500cl with 275 bal. 500 dollar alert came now my cl is 580. I have never been late always pay 5x the min. I dont have a mortgage no WAMU nothing to warrant this. I will be paying it off tomorrow, but not closing it. I have no af so I guess I will charge $5 a month until they cancel it.

[emptypockets]

I saw this topic, and thought I was safe since I last logged into my HSBC Discover account last nite. Well I just checked, and my CL was CLD from 4200 to 1070 (wonder where they got that weird number from). I have been actively using this card, and some times carry a balance. I was using it probably once a month. Never late, always psy more than the minimum. Luckily, I just made a payment (yesterday, which is whay I logged into the account). Usually if I cahrage something big  (2k or so) I immediately pay 1k (or pay it doen to like 500)  because I am just trying to use the card to improve my credit. I like in Michigan (forclosure central) no recent baddies on my credit ( last late payment on anything was 4/02). I have 2 other HSBC cards with small limits, Orchard 600, and BBRZ 500. These have not been touched. I think this may have something to do with people making a lot of payments, and maybe they think you are paying it down so you can run it back up. The 1070 limit (now that I think about it) was the recently lowered amount of my cash advance limit. I have never used a cash advance on any of my CC's. But, I made 2 or three payments on this card this month, just paid 300 last nite, to get my total utilization on all cards to 6%. Luckil, this CLD only made my utilization go up to 7%. Has anyone had any success in getting them to raise the limit back to where it was> I guess this card is going in the sock drawer.