Synchrony Bank keeps cutting credit line.

[kayb]

Thank you everyone! Yes...I guess it doesn’t matter. Before this happened, I had all the good cards and couldn’t care less about Syncrony. Thank you all again!

[drboxing]

It’s happened to me was well, I only have 2 synchrony cards left, I’ll pay them off then good riddance. I had cards with very low or no balance that were canceled for no good reason

[Anonymous]

When Synchrony bank balance chase, they drive up your credit utilization when that is really not the case. Synchrony is keeping your credit utilization in the high 90's which drives your score DOWN.

Can anything be done? Other than telling stories. Is this a violation of the fair credit reporting act? Can this be reporting to the Consumer Financial Protection Bureau. I mean really, Congress did more for the rising price of cereal.

What action can be taken here?

[MyDataMyChoice]

Mortgage Lates (secured loans) effect your credit much more heavilly than a credit card late

Logic, Mortgage and Car loans are usually NECCESSARRY and should be paid FIRST before anything else.

If you have a 30 day late from a mortgage it will take much longer to rebuild than a 30 day from a credit card.   

I realize what is done is done... this is for anyone else reading.   Let your cards go late / charge off  default before you let your mortgage default.   

Now you can try goodwill / saturation / dispute / 609 etc...  Good Luck and I hope financially you will be better off

I suggest paying it all off, closing it (or close it now so it reports the higher line...) and continue paying it off.   

closed accounts are NOT 100% utilization.   They keep the credit limit and current balance in utilization reporting until the balance is paid to 0.

[Anonymous]

I had a different experience. I got the card to finance some dental work and 6 months in they increase my CL by $1,000. Not sure what will happen after I pay it off though because I don't intend to ever use it again.

[Remedios]

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@MyDataMyChoice wrote:

Mortgage Lates (secured loans) effect your credit much more heavilly than a credit card late

Logic, Mortgage and Car loans are usually NECCESSARRY and should be paid FIRST before anything else.

If you have a 30 day late from a mortgage it will take much longer to rebuild than a 30 day from a credit card.   

I realize what is done is done... this is for anyone else reading.   Let your cards go late / charge off  default before you let your mortgage default.   

Now you can try goodwill / saturation / dispute / 609 etc...  Good Luck and I hope financially you will be better off

I suggest paying it all off, closing it (or close it now so it reports the higher line...) and continue paying it off.   

closed accounts are NOT 100% utilization.   They keep the credit limit and current balance in utilization reporting until the balance is paid to 0.

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A late is a late. The source or the amount really does not matter. I am really curious , what are you basing your post on? 

[Brian_Earl_Spilner]

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@Anonymous wrote:

When Synchrony bank balance chase, they drive up your credit utilization when that is really not the case. Synchrony is keeping your credit utilization in the high 90's which drives your score DOWN.

Can anything be done? Other than telling stories. Is this a violation of the fair credit reporting act? Can this be reporting to the Consumer Financial Protection Bureau. I mean really, Congress did more for the rising price of cereal.

What action can be taken here?

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Yeah, doesnt seem fair. Even cap1 on the very rare case of balance chasing or shutting down a card will just restrict your usage while reporting the full limit until it's closed.

[ktl72455]

They did this with my husband for a few yrs so I stopped paying down chunks, they didnt close , I finally got his credit cleaned up and up in the 700's and tested with a 600.00 payment while others I PIF OR Paid to 50%  Long after them.  I was not going to hand them a chunk when I could pay it on one that wouldnt balance chase him!  I was shocked! They didnt balance chase! This is now 3months in a row I have dropped 600.00 a month and its still there and the only charge is his cell phone. And once it is low enough, it will never be used except the cell phone. It was same as you.. never late, not even a day. And the ones that were late never balance chased and he is getting CLI on. 

[Anonymous]

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@MyDataMyChoiceMortgage Lates (secured loans) effect your credit much more heavilly than a credit card late

closed accounts are NOT 100% utilization.   They keep the credit limit and current balance in utilization reporting until the balance is paid to 0.

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I've never heard of either of these things above.  A late account is a late account and to my knowledge the FICO algorithm doesn't view one type of account late any different than another.

It's also commonly discussed that a closed account with a balance is viewed as at 100% utilization by FICO.  The reason why is quite simple.  A closed account has no limit at all; It's closed.  It had a limit when it was open, but that credit limit of course goes to zero once it reports closed.  That being said, any non-zero balance whether it is a couple of dollars or thousands of dollars is going to be viewed as at 100% utilization because it's being drawn against a zero limit.

[Anonymous]

I am in a Law Firm with an attorney who also writes for this industry.   One area of expertise is Bankruptcy and Credit Law.

We have seen many, many Bankruptcy petitions filed (Creditor and Debtor).   

Chapter 7 is considered Bankruptcy.  Chapter 13 is Reorganization.   

All debtors are advised to list every Creditor owed.   If a Creditor has a Zero balance, like Amex is often used, this company does not need to be listed.  Nothing is at issue.

Someone with our office had to file Chapter 13, 100% paid back to ALL Creditors, for medical reasons.   All Creditors at issue were listed.

A Synchrony Bank account/Amazon was not listed since there was Nothing owed.    This week, we learned this account was Closed.  Completely Closed.  This credit history is excellent.   

We spoke to Synchrony Bank several times.  Synchrony states the reason for closure is:  Zero Balance at time of filing Bankruptcy.  What??!!?

This does NOT make sense.  We have never encountered this in a Bankruptcy filing.  Is this something on the horizon?  We usually see it first.

When Synchrony Bank was asked how they received notice, since there was no need to list in the petition, they reply was it was 'sent to them'.

What??!!?   

Who sent this personal information that was Not provided through the regular process.   What is going on.

We learned Creditors receive personal information for all consumers on a monthly basis!  It seems to be a subscription offered by each Credit Bureau to the financial industry.   

It used to be when one applied for credit, the finance company checked credit through the one of (or all) three credit bureaus.  This is how the finance company made its decision.

Now, a company one must use for business travel, expenses, etc., which is paid in full with eacy use, will close the account even in good standing.

This seems like such an invasion of privacy.

We are considering closing the Bankruptcy department.  Bankruptcy has been called  "A Fresh Start".  This is false.   This once was correct.  No longer.

We plan to include this topic in a future lecture.   Something is very wrong.