PayPal MC CLI Yesterday, Today Account Closed???

[CreditMagic7]

I dunno. If you are a retail credit card issuer and you want to address a projected or current shortfall in the bottom line, an accounting policy shift to shaving card clients IS one approach. On the other hand (and it's been mentioned Synchrony is doing well in the financials) you are a Retail Stores card issuer with an approaching series of Holiday Shopping just ahead with profit potential as a catalyst, seems to me it would make the most sense to wait until AFTER they've weighed the results of your guaranteed customer spend spree on those cards before pulling the proverbial rug out from under your clients. IF that is their preferred policy. 

This is one member who is far from expert on industry retail card managements but you can rest assured if your client's card is rendered recollected and the lines recalled, there is a whole host of the ordinary other COMPETING mainstream Banks more than willing to fill their coffers from the profits they stand to gain from these upcoming Holiday Seasonal bonanzas. 

In addition, let's also not lose sight of the "particular" retailer who stands to lose that customer's business PERHAPS if such and such card sports the name of same retailer. A customer, or flood of them, can just as easily entertain other businesses with other means such as aforementioned. By turning to competitors to conduct their spendings with.

[UncleB]

This is a place for us to share data points and compare notes - and at times commiserate and vent.  At the risk of raining on the parade (specifically, the last part I mentioned) I want to remind folks that just because there are a few reports of Synchrony closing all of someone's accounts doesn't mean the sky is falling.

I'm not going to unnecessarily call-out anybody, but in many of the cases we've read about it's not a complete surprise, or at least it shouldn't be.  If someone with semi-recent negative factors on their credit reports aggressively seeks out new credit and/or CLIs, it shouldn't be a surprise when adverse events happen - that's the nature of the beast, so to speak.  Same for those with strong scores (such as myself) who have accumulated a stack of cards - we're outliers from what is 'normal'.

Is it lousy?  Of course it is, no way around that.  Having been there myself years ago I know how it feels first-hand.  But it's not a "sky is falling" event that everyone in the community should be alarmed about.  I myself have four Synchrony accounts, and it's very possible that at some point they'll be closed as well.  If it happens it won't be a total shock, since while I have good scores I also have 25+ cards with generous credit lines which makes me an outlier, as many of us around here are.  Again, that's the nature of the beast.

Synchrony isn't any more or less "evil" than any other bank, their risk algorithm is just different from other banks, at least at the moment.  Months from now it might be some other bank that is closing accounts for reasons many of us will find absurd, yet the majority of the population would have no issue with.

[longtimelurker]

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@UncleB wrote:

Synchrony isn't any more or less "evil" than any other bank, their risk algorithm is just different from other banks, at least at the moment.  Months from now it might be some other bank that is closing accounts for reasons many of us will find absurd, yet the majority of the population would have no issue with.

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And it remains a universal truth (well, nearly) that no bank, no matter how "evil" is going to deliberately shut down lines of excellent risk-free customers.   They do it because of a perceived risk.   Now this could be based on bad data (from one of the "minor" CRAs for example) or the risk threshold could have been genuinely tripped (for that issuer) by something that perhaps the MyFico reporter is not aware is viewed as a problem (paying near minimums and "excessive" credit seeking are two obvious examples, but there are others we don't know).    And a very very very unlikely case that the person reporting here hasn't told all the details!

[Appleman]

I continue to use Synchrony credit a fair amount.

I use my Venmo card, Discount tire card, PayPal (2% and credit line), and my Amazon Sync card. In the last year, I have lost $50K in credit lines with them, Marvel (discontinued), and Lowe's (no use for 18+ months). But otherwise, they have not touched my cards....

[RootDet]

when were you suppose to be upgraded to the new card (I haven't got anything on my PP Extras mastercard).  If your in an "upgrade process" this might be normal. Sync is lame, dumb and stupid and cnanot simply "upgrade somebody". They close the old account, open account with a BRAND NEW opening date, new card #, yada yada. Hits you like a pile of rocks. 

I just wanted to throw that out there because you mentioned getting an upgrade. 

[FinStar]

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@RootDet wrote:

when were you suppose to be upgraded to the new card (I haven't got anything on my PP Extras mastercard).  If your in an "upgrade process" this might be normal. Sync is lame, dumb and stupid and cnanot simply "upgrade somebody". They close the old account, open account with a BRAND NEW opening date, new card #, yada yada. Hits you like a pile of rocks. 

I just wanted to throw that out there because you mentioned getting an upgrade. 

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@RootDet - when SYNCB upgrades a Visa Platinum to Visa Signature or Platinum MasterCard to World/World Elite, the account number doesn't change. If you read the OPs first post, they mentioned all SYNCB accounts were closed, not just PPMC. The only time SYNCB closes and changes the account number is when a store card is upgraded to V/MC.

[Remedios]

Another part that some of the members seem to conveniently skim over is that some of the risk factors for closures have been referenced many times (constant CLI seeking without enough use to justify it, competing at who's going to start most approval threads, using synchrony for utilization padding only, AZEO-because why look like you actually use credit etc). 

I'm not sure if this is the case of "Yeah whatever, that's not going to happen to me" but at some point we all need to decide if something is worth the risk or not.

If one wishes to do all the things they know might provoke AA from Synchrony,  there really shouldn't be "how dare they" threads (that wasn't the case with this thread, OP never said it). It's not like "Synchrony closed my account" threads are impossible to find. 

Do what you feel like doing and accept consequences. It's no different than any other event in life that will cause others to respond with "Told you so" 

[collics]

Wow. Sorry this happened @toi34 

This is why I'll never have another Sync account.

[FLLGuy]

Well, my take away from this topic is vowing "Thou shalt not make unto thee asking Sync for Lowe's CLI's any further".   They've denied my last 3 attempts over the last 5 months.   Sorry OP this happened - not cool.   But then again i read another thread under "Credit Card Approvals" where a member finally got CLI after years breaking through $9K upto $15K for PPMC.....

[NoMoreE46]

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@coldfusion wrote:

At least superficially at least to me the closures don't seem to be coming in waves, it feels that the rate of individual closure threads here has been fairly consistent. 

Right now anything that gets Synchrony's attention like CLIs on their cards (not just the PPMC) or carrying balances for a period of time does appear to put one at greater risk of closure.  

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I have the Synchrony issued Amazon Prime store card at typical ceiling of $10,000 as per my siggy.  However, not on my siggy is my AU on wife's Lowes card.

I was playing around her on Lowes card account profile- fat fingered something on the touch screen and unintentionally got us a CLI from $13000 to $35000.  

Typically, I would have posted this good news in the Approvals.  But reading a bunch of these Sync posts made me instantly panic.

I really enjoy the 5% on the Prime store card; I shop Amazon at least weekly.  We barely use the Lowes- maybe once every 26 weeks.  So I thought I may have angered the Synchrony diety then.  So far, no AA/CLDs when I goofed in May.  I did recently use the Lowes card to buy a wheeled dolly which in all fairness wasn't a needed purchase  but more so of a purchase to appease the Synchrony divinities.😓