Synchrony Bank CLOSED all of my accounts without warning!

[EmmaGolden]

 Are we in the same club, high risk that you won't pay?(According to Synchrony) They closed my Sam's card that I use & pay off monthly. They also closed my Amazon card that I no longer use. I was aggrevated yesterday, when I found out. Today, I couldn't care less but I am hopeful that it doesn't reflect poorly on my recent mortgage application. They haven't pulled my credit yet. 

I had this same issue years ago with Comenity Bank closing a card for no reason. I feel like Synchrony did me a favor, they denied the charge for an online pick up order. Now, I never have to be worried when I pay in store. I know my other cards don't just drop customers for no reason. So, be happy & thank them for the favor.

[Anonymous514]

I was one of them. My BP card, Lowes, PayPal, Old Navy and like two other I think were closed. You opening up 3 sync cards in such short time is a red flag just like when I opened up accounts in rapid succession. That's credit seeking and makes you look risky. I've gotten sync cards since that happened but now I don't ask for a cli everyday, I don't check the prequals daily either. I opened an Amazon card for the Sub when they had a good offer, and just recently the Sam's mastercard because of how often I shop there. And honestly those are the only sync cards I will open. Maybe care credit if I ever actually need to. Besides that I'm not giving sync a reason to cancel me again. So just learn from this.

[firemarshalljim]

Had the same thing happen to me. I had 13 cards closed on one day. Got the same runaround you apparently did. 

  I had recently applied for and approved for a $5700 eBay Master Cars, plus also had an increase in Lowe's, Care Credit and a couple of others. 

  I think what happened was I'd went over 50K Total Credit limit, although was only using about $2500 on 4 or 5 different cards. And for my credit score(690-700), $50K was the max they would allow.

 Just wish they would have lowered the limits on several of them instead of cancelling all of them.

I have no proof that the reason they cancelled was that I went over $50k, but it's the only thing that makes any sense. Was never late, always paid more than minimum, had low usage % on the their cards, low usage % on all cards, score was rising, no new negative remarks(collections). 

Hope this sheds some light for you. 

[toddc]

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@firemarshalljim wrote:

Had the same thing happen to me. I had 13 cards closed on one day. Got the same runaround you apparently did. 

  I had recently applied for and approved for a $5700 eBay Master Cars, plus also had an increase in Lowe's, Care Credit and a couple of others. 

  I think what happened was I'd went over 50K Total Credit limit, although was only using about $2500 on 4 or 5 different cards. And for my credit score(690-700), $50K was the max they would allow.

 Just wish they would have lowered the limits on several of them instead of cancelling all of them.

I have no proof that the reason they cancelled was that I went over $50k, but it's the only thing that makes any sense. Was never late, always paid more than minimum, had low usage % on the their cards, low usage % on all cards, score was rising, no new negative remarks(collections). 

Hope this sheds some light for you. 

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Same thing happened to me they just closed all my accounts and I was recently over 50k so that seems to be key.  Nothing changed never late not high usage on my accounts.  My credit score actually went up after they closed my accounts so I guess they did me a favor.  I will miss the lowes and sam's club cards however.  How long before they allowed you to reopen anything?

[firemarshalljim]

Not sure, haven't been able to reopen any yet. So far I've reapplied for PayPal Credit and Sams, neither were approved. But Sam's was within 6 months, PPC was over 6 months, but just paid off(I had made a $300+ charge couple of days prior to them cancelling, 6 months no interest).

So I'll wait a little longer and try again. My credit score actually dropped when this happened, I went from 7-8% usage to 15-16%. Also couple of them were the oldest one I had, so my average age of credit dropped. 

[SUPERSQUID]

[7774x]

"I avoid "store cards" like the plauge. I see them as (a word that some people would probably cry and moan about) cards.  IMHO, the only reason to have them is inability to get anything else, or to take advantage of some 0% offer out of convenience.  We don't have anything issued by a company like Synchrony"

Not true .. either not married or  have a wife that doesn't like the freebies , gifts from store cards...

[Remedios]

I think after some come to terms with a fact they will need a different source of utilization padding, better their lives will be 

Also, just because there is a card out there that's issued by Synchrony, it doesn't mean one must apply for it.

While I don't care for Synch at all, I can see why these closures happen. Synch gets a bad rep because compared to other lenders they issue insane variety of cards, but if any major lender issued as many card for various stores and/or cobranded cards, they would be behaving in a same manner.

Large unused lines, constant applications for additional cards, CLI requests while not using what one has, use of trended data etc - there isn't a lender who'd giggle with "They love us" 

[Selphactualized]

It is nobody's business if she has 1 card or 50 cards. If she is paying the on time never late then whether judgements from you, and worse why should they close the accounts, again if she was never late they have no business closing not 1, but definately not all her cards. Synchrony could easily have concluded that since she has paid on time for all of the cards then she must have the means to afford them and therefore not a high risk customer. I've never heard of a company to close an account in good standing. And why? Because they feel she has too many store cards? Please, payment history should reign here. The customer is not the problem so stop blaming them. The problem is co.pany policy shrouded in idiocy. Boycott synchrony bank.

[NoMoreE46]

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@Selphactualized wrote:

It is nobody's business if she has 1 card or 50 cards. If she is paying the on time never late then whether judgements from you, and worse why should they close the accounts, again if she was never late they have no business closing not 1, but definately not all her cards. Synchrony could easily have concluded that since she has paid on time for all of the cards then she must have the means to afford them and therefore not a high risk customer. I've never heard of a company to close an account in good standing. And why? Because they feel she has too many store cards? Please, payment history should reign here. The customer is not the problem so stop blaming them. The problem is co.pany policy shrouded in idiocy. Boycott synchrony bank.

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Welcome to MyFICO.

In the end, Synchrony determined this person was a credit risk - the reason being unknown even if OP had one or in this case 23 cards.  

And no,  the closure was not borne out by "feel"  as you stated.  There are risk models used.

23 is a lot from one issuer (most Americans have about four cards total.)