Revolving Credit account

Anonymous · ‎04-15-2008

I have a revolving credit account on which I had an initial Credit limit of $1700, of which I used 1200. I have paid on this account for the past 2 years and miss (was late) twice during that time due to overlooking the payment date. When I pulled my CR now CRL shows $300, which puts me over the limit in so far as the report shows (Bal is currently $450). When i called the financial institution to inquire about this I was told that they can reduce my CR at any time ( which is understandable, yet my CR does not reflect the initial CR of $1700) . The rep from the company told me that it was basically my problem not the company's and was of no help and quite rude. My question is if the CR is reduced below the amount origianally approved for shouldn't the intial CRL be on my report so as to not adversely affect my FICO?

Junejer · ‎04-15-2008

Hello Albit, welcome to the forums. Please read Credit Scoring 101 and other pertinent stickied threads at the top of the board.

Short answer is No. The CSR is correct, rude, but correct. They are reporting correctly, which means that your current uti is 150%.

Elan Visa Business Cash Preferred | $50K 3/2024

AmEx Business Blue Cash | $38.8K 12/2021

Chase Marriott Bonvoy Boundless | $18.5K 3/2024

Chase Southwest Performance Business | $17K 11/2022

Capital One Venture One Card | $5.1K (SD) 12/2007

Chase Ink Business Unlimited | $5K 12/2021

AmEx Blue Cash Preferred | apping Not sure when

Starting Score: 469
Current Score: 824
Goal Score: 850
Highest Scores: EQ 850 EX 849 TU 850
Take the myFICO Fitness Challenge

Anonymous · ‎04-15-2008

Hi, Albat, and welcome to the FICO Forums!

Sorry to hear you're having trouble with your issuer. Unfortunately, what the rep told you is correct. Also, your CR will only show the CL where it currently stands, not what it used to be.

What the CCC is doing is known as "chasing balances." They are not-so-subtly attempting to push you to pay off your card as soon as you can. This type of behavior is common among CC issuers when they are uncomfortable with the amount of time a cardholder is taking to pay off a balance, and it is their way of attempting to push you out the door.

Unfortunately, once you make the final payment and the card is PIF, you should probably expect that they will close the account. Many members here, when they have found themselves in that situation, have paid the CC off as soon as they could and then immediately closed it themselves, so that at the very least their reports would reflect "closed by consumer" rather than "closed by creditor."

Anonymous · ‎04-15-2008

Thanks for the info. it sucks but seems like they are shafting consumers in the process. Will take your advice p/o acct and close myself then never again deal with such swine.

Anonymous · ‎04-15-2008

Albat wrote:

Thanks for the info. it sucks but seems like they are shafting consumers in the process. Will take your advice p/o acct and close myself then never again deal with such swine.

I agree. It does stink.

To be clear, I didn't advise you to close your account. I only told you what others on this forum in your situation have done. Whether you close it or not is entirely up to you.

Good luck!