My credit limit has been gradually increased over the yea...

[Anonymous]

My credit limit has been gradually increased over the years on one of my Citicards (granted this was all before marriage and divorce) to $25,000 -- now my latest statement limit is been dropped to $500.  This card originally had about 3888.00 as recent as the previous statement, but I paid it off. 

I am almost sure that the limit was dropped $24,500 because of my soon to ex-husband's 3 or 4 30-day lates on his auto.  I know it is probably in the small print disclosures  but do I have any recourse??  We added the stipulation that both parties must refinance or payoff any jointly titled property but he's being even more difficult now (yes, you can read between the lines) but I know the what Citi did, will drop my numbers, even more...and no he does not care about his rating and he knows how important mine were and still are.

Is there any major down side to closing the card with such a small credit limit (when it use to be so big!) if they are unwilling to help out a loyal customer -  I've had the card since 1992 and just recently changed my name on the account back to my maiden name.  I know I shouldn't get emotional over this but it really angered me and, of course, it gave my soon to be ex another chance to stab me where it hurts!

[Anonymous]

Finally, its not unusual for a card to decrease your limits based on a review of your history adn your ex's late payments reflecting on your report are probably what did it.  Have  you called Citi and asked them to reconsider?  Explain the divorce and let them know that in the decree those were bils he was responsible for and you could not locate him to return the vehicle.  It may not work if you actually cosigned on the loans though.  As a co signer you are guaranteeing that if the other doesn't pay, you will not matter what the circumstances.  You could lways try telling themyou were unaware of the lates until the vehicle was so far behind you could not afford to pay it.  Or you could call the lender and ask in return for removing the negative remarks you would be willing to take over the payments at the current or a reduced amount. Make sure they understand that you have no idea where the car is.

My mom took a car from my brother and had it turned in, made an arrangement with the creditor to repay the amount of the loan after proceeds from the sale and never got a ding on her reports. You may have to repo the car yourself and then ask the lender if they would be willing to allow you to take over whats left after the sale and remove any negative marks.

BTW depending on when your card renews, if you take no further action don't be surprise it CITI closes the account.  They are real sticklers and a 500.00 is on their extrememly low side.  This often happens and then the next thing you know they decide not to renew.  Intstead of the new card on your expiration date you get a ltter stating they have decided not to renew you account and get a lovely 'Closed by creditor' notation on your file.

I wodl take care of this as soon as possible because thingsl ike this have a habit of having a domino effect on your creditors. No matter how disgusted you are with him, it is YOUR credit and you are the one who is being penalized because of it.

Message Edited by Brammy on 03-31-2007 08:41 AM