I financed this move & life relocation on a fistfull of creditcards.
With my great creditscore, most of them had a $10,000 limit.

Last week, when one of them reached $4,900, the credit company jerked the remaining $5,000 worth of credit off of the card, leaving it maxed out.
The reason?
"Excessive use in a short period of time".

Never missed a payment in 20 years, never late, always active.
Called them with that information, they cannot reverse it until the card gets close to paid off.
If the spending was done over a longer period, there would have been no problem.
But in these hard times, people are running up credit quickly to get by, can't make the payments, and then stiffing the creditcard company through bankrupsy.

We take a look at our creditscore after the card got tagged, yup, score dropped.

The very next day, another card snatched the remaining balance off our/their card, due to the falling creditscore caused by the removal of the ballance from the first card.
Check the credit score again after the second card got tagged.
Yup, dropped even more.

So the dommino effect has begun.
I fully anticipate every card doing it next week.

But it's a good thang.
They are protecting themselves, while also protecting me from getting too far over my head with money I don't have & never really owned anyway.
And to leave a sour taste in my mouth with how they work, that I won't forget.

Becouse in a few days i'm going to let them know that I will be paying them off and then all the companies that made me believe that I had access to more credit then I actually had (not that I needed it or was going to use it) are going to get told that their cards have been ripped up, and after I pay them off I am done with their services & they will no longer have access to all that juicy intrest I have been paying them all these years.
Only those cards that treated me above board will still recieve my business in the future.

But it's all good.
It's for the best.

Time too get real & live within my means.
It can be done.
And it will.

Get a job hippy.

quote Originally posted by Jake_Dragon: Get a job hippy.

Uh, stuff aint reached THAT extreme yet!

Nail on the head, my friend.
Nail on the head.

Just start talking about Dave Ramsey when you call to cancel them.

It's not just "in these hard times" Boondawg. People were doing it for years before the bottom fell out, that is running up big balances beyond what they could easily pay off, and as a result, banks got antsy once the bottom dropped and raised rates, cancelled accounts, cut limits to try to make up for those who couldn't pay back the balances. When I say "banks", it's not neccessarily a bank that has control either--could be another financial institution that actualy has your account--banks sell their paper all the time.

But I agree, it's both a crappy deal and a blessing of sorts---all at the same time. Doesn't seem fair to have the rug pulled after years of good credit history tho, especially since they authorized a higher availabilty on your limit to begin with, but there's lots about CC cards I don't know.

quote Originally posted by maryjane: It's not just "in these hard times" Boondawg. People were doing it for years before the bottom fell out, that is running up big balances beyond what they could easily pay off, and as a result, banks got antsy once the bottom dropped and raised rates, cancelled accounts, cut limits to try to make up for those who couldn't pay back the balances. When I say "banks", it's not neccessarily a bank that has control either--could be another financial institution that actualy has your account--banks sell their paper all the time. But I agree, it's both a crappy deal and a blessing of sorts---all at the same time. Doesn't seem fair to have the rug pulled after years of good credit history tho, especially since they authorized a higher availabilty on your limit to begin with, but there's lots about CC cards I don't know.

Yeah, the bank sold my paper.
I don't think it is fair in the sense that they manufactued the decline of my score.

But as you have said before (I think it was you), what IS that score really?
THEY are the ones who invented it, for their OWN benifit.

Gold buried in the back yard has it's OWN kind of score..........

quote Originally posted by Boondawg: Gold buried in the back yard has it's OWN kind of score..........

Hopefully, it'll be you scoring, not your neighbor's dog.

quote Originally posted by Boondawg: Yeah, the bank sold my paper. I don't think it is fair in the sense that they manufactued the decline of my score. But as you have said before (I think it was you), what IS that score really? THEY are the ones who invented it, for their OWN benifit. Gold buried in the back yard has it's OWN kind of score..........

You started the decline of your score by racking up the charges. The more of your available credit you use, the lower your score.
Do that in a short period of time, and yes, it will raise a red flag. Of course it still sucks how they yanked your credit and dropped your score even farther. But then you are exactly what they're trying to protect themselves against - someone who's unemployed living off their credit card until it's maxxed out and they can't repay. You may intend to get a job and pay it off, but they don't know that.

There's a site called Credit Karma that will give you your FICO score for free. (really free - not a sign up for something "free" with strings attached)
It will also do an analysis of your score and tell you what factors weigh on your score and areas you can concentrate on to raise it.

I do think it's pretty raw that they decided you were worth a certain credit line, then yanked it without warning. Even if they had just cause, it still stinks.
I make more money now than I ever have before, and I've had a couple of my credit limits arbitrarily reduced as well - and that's without carrying much of a balance. It's happening to everyone.

quote Originally posted by Boondawg: Yeah, the bank sold my paper. I don't think it is fair in the sense that they manufactued the decline of my score. But as you have said before (I think it was you), what IS that score really? THEY are the ones who invented it, for their OWN benifit. Gold buried in the back yard has it's OWN kind of score..........

Nope--wasn't me. I have never paid any attention at all to credit scores, and know absolutely nothing about em, other than the fact that they exist------Unless. it was in reference to sub prime loan applications being "tweaked" in order to make an applicant have a better score than they actually had, but that would have been the extent of my input on the subject.

quote Originally posted by Boondawg: ...Becouse in a few days i'm going to let them know that I will be paying them off and then all the companies that made me believe that I had access to more credit then I actually had (not that I needed it or was going to use it) are going to get told that their cards have been ripped up, and after I pay them off I am done with their services & they will no longer have access to all that juicy intrest I have been paying them all these years. Only those cards that treated me above board will still recieve my business in the future. ...

That's all well and good, but don't close the accounts. It'll be like shooting your credit score in the neck.
Just don't use them. Or use them like twice a year to keep the accounts "alive".

Bastages.

quote Originally posted by ls3mach: Just start talking about Dave Ramsey when you call to cancel them.

That is funny. Just listen to what Dave Ramsey has to say about credit card companies. Bottom line this credit yank was not to help you in any way. They are out for blood and money...if you are ever even a day late on those cards that yanked their credit back, your interest rate will skyrocket since it is now close to it's limit, also since they yanked the remaining credit leaving you $200 wiggle room you are now more likely yo go over your limit causing possibly months of over the limit fees. So Booney stick it to em and keep those payments up. Credit card companies are scum bottom line. Thanks to Dave Ramsey I have none, my only debt is now my student loans, and I pay cash for everything.

Be VERY careful Boonie.
With a $4900 balance on a $5000 limit, you could very easily go over that limit when your monthly interest hits.
Also check to see what triggers their "default" interest rate. If one card charges it, others may follow suit.

If you can, I'd throw a couple hundred against anything that close to the limit to make sure you have some breathing room.

quote Originally posted by maryjane: It's not just "in these hard times" Boondawg. People were doing it for years before the bottom fell out, that is running up big balances beyond what they could easily pay off, and as a result, banks got antsy once the bottom dropped and raised rates, cancelled accounts, cut limits to try to make up for those who couldn't pay back the balances. When I say "banks", it's not neccessarily a bank that has control either--could be another financial institution that actualy has your account--banks sell their paper all the time. But I agree, it's both a crappy deal and a blessing of sorts---all at the same time. Doesn't seem fair to have the rug pulled after years of good credit history tho, especially since they authorized a higher availabilty on your limit to begin with, but there's lots about CC cards I don't know.

They are lying cheating bas****s that will do anything to milk you dry.. What else do you need to know about them?

quote Originally posted by Formula88: If you can, I'd throw a couple hundred against anything that close to the limit to make sure you have some breathing room.

Yeah, I just did that today.
Didn't owe a payment, but like you said, it's aweful suspious that they took me right to the edge.
Sent them $200 each, just as a buffer.
Locked the cards away.

Thanx.

[This message has been edited by Boondawg (edited 09-12-2010).]

We had many with a high limit and about half of them were maxed. Finally got rid of them and all I have is my Visa that has a $500 limit. Just enough to buy car parts with and be able to pay off faster .

quote Originally posted by kyunderdawg: We had many with a high limit and about half of them were maxed. Finally got rid of them and all I have is my Visa that has a $500 limit. Just enough to buy car parts with and be able to pay off faster .

Can I borrow that card?

Ron

quote Originally posted by Boondawg: It can be done. I have done it before. And it will be done again.

I have no doubt. I think you were done a favor.

quote Originally posted by User00013170: They are lying cheating bas****s that will do anything to milk you dry.. What else do you need to know about them?

You mean other than them giving you money that you ask them to?

It's a two way street. Sure, they make it easy at first, but YOU are the one who uses the card. No credit card racks itself up. Now, changing the terms along the way is sleazy - I'll grant you that, but don't forget that they fronted the money you put on your card to begin with. It might seem free to you when you buy that big screen TV until the bill comes, but the credit card company has already paid for it. Now they're hoping you're going to pay them back.

quote Originally posted by Formula88: You mean other than them giving you money that you ask them to? It's a two way street. Sure, they make it easy at first, but YOU are the one who uses the card. No credit card racks itself up. Now, changing the terms along the way is sleazy - I'll grant you that, but don't forget that they fronted the money you put on your card to begin with. It might seem free to you when you buy that big screen TV until the bill comes, but the credit card company has already paid for it. Now they're hoping you're going to pay them back.

I have no problem with them providing a service that is well documented and not subject to change. And i'm not so stupid not to realize they get their 'take'. Personally i don't use them as "revolving credit" sources, and more for purchase protection or convenience so i don't have to carry cash around. ( however other members of my household do )

Their practice of the raising of rates ( often to unreasonable amounts ) on *existing* balances, hidden fees, etc that i disagree with.

If it was all done above board and 'fair' then id be cool with them making a buck.

A few years back, the bank tried to talk me into a credit card and I told them, "I would never use it". I use only a debt card and if I can't afford it, I don't buy it. They finally convinced me that it would be useful in an emergency, so I relented. A couple of years later, they canceled it! When I called them to ask, “Why?”, they told me, “You never use it!”.
Go figure

quote Originally posted by User00013170: I have no problem with them providing a service that is well documented and not subject to change. And i'm not so stupid not to realize they get their 'take'. Personally i don't use them as "revolving credit" sources, and more for purchase protection or convenience so i don't have to carry cash around. ( however other members of my household do ) Their practice of the raising of rates ( often to unreasonable amounts ) on *existing* balances, hidden fees, etc that i disagree with. If it was all done above board and 'fair' then id be cool with them making a buck.

Get out your electron microscope and read the fine print. I believe you will find, that you agreed to all their terms at the outset , and those 'terms' allow them to do this.


I think they suck, but the ones I've read before I tossed the thing in the garbage told me up front that they could change their rates and limits depending if anything changed in my financials--including (but not limited to) how much I charged and my ability to repay.

[This message has been edited by maryjane (edited 09-12-2010).]

The best thing is when you don't have ANYTHING on your credit cards at all... and then the banks freak out that you're not using them so they just SEND you upgraded cards in the mail, without asking, to replace them with the words "Platinum" and "Exclusive" written all over them. I usually take them cause they have higher limits, better interest rates, but I still don't use them.

This guy from Chase has been calling me off and on trying to find out why I'm not using my Chase card.

------------------
Todd,
2008 Jeep Patriot Limited 4x2
2002 Ford Explorer Sport 2dr 4x2
2002 Ford Crown Victoria LX
1987 Pontiac Fiero SE / V6
1973 Volkswagen Type-2 Transporter

Back in 1972 I was a loan officer with the Bank of Nova Scotia here in Canada. At the time we were rolling out Chargex. The first bank credit card in Canada. As a loan officer, I joined my felllows in criticizing the new credit card for being too easy credit, and prophesied that many people would get in over their heads. Of course we were right.

Essentially, if you can't pay off a credit card every month, you put yourself in danger. Too many Americans and Canadians put themselves at risk using a credit card in stead of a line of credit, or (perish the thought) saving up money to buy something they currently can't afford.

I really feel for Boondawg. He is a casualty in all this. The banks and credit card companies have a come-on that says they have easy money to indulge whatever you want. They really don't. They have expensive money and a harsh hook at the end of it.

Boony is just one of a great many people who are currently experiencing the same thing. It is a tragedy IMHO and I sincerely hope Boondawg can get out from under it sooner than later.

Good luck Boony

Arn

quote Originally posted by Arns85GT: I really feel for Boondawg. He is a casualty in all this.

Don't worry Arn.
I went in with both eyes wide open, and not only was I aware that this could happen, but expected it (well, not this exactly, but something).
I'll dig myself out.
I always do.

quote Originally posted by User00013170: I have had 2 cards yanked beacuse i only used them 2x a year and paid the balance off right away. I had one terminated, beacuse i hadn't bought anything in ( get this ) 3 whole months.. and it even still had a small balance.

I had a CITI MasterCard that I used like a debit card for several years, always paying it off in full each month. In effect, they floated me an indefinite interest free loan.

Yea, I was dumped too. I think there's a pattern here.

quote Originally posted by Boondawg: But it's a good thang. They are protecting themselves

Wait...... are you telling me...........

credit cards are SENTIENT!?

You are right boonie, overall it is a good thing.
Just don't miss any pmts or anything, the interest rate jumping across the board will hurt more.

quote Originally posted by Formula88: . . . but YOU are the one who uses the card. No credit card racks itself up.

Oh, sure blame the victim!

The goal should be to multiply the money you do have by making it work for you. By spending borrowed money, you are effectively in a loosing battle and the creditors always win. I have yet to understand why people go shopping for material objects with money they don't have, can they not see that they are effectively volunteering to become a slave? Granted lots of people have pulled themselves out of the hole but with great difficulty and sacrifices, it would have been much easier if they did not dig the hole in the first place.

I feel much better paying cash for something I saved for, it's a done deal,it's mine. Now I am able to continue saving all the money that would have only been used to pay interest for years. If you ask me, using credit is just plain stupid for unnecessary BS. I understand sometimes there is an emergency and in that case maybe it's OK if there are no other options. But to spend unwisely with borrowed money is just not prudent and it's hard for me to feel sorry for someone who is in the hole because they dug the hole themselves.

My advice is to become debt free, life is allot more relaxed and stress free when the slave masters have no control over you. Good luck.

Bank Of America=BOA=a scaly, slithering, coldblooded, belly-crawling, forked tongued reptile that slowly crushes the life out of you, then swallows you whole.

i have 1 credit card with a $25,000 limit. i have no debt except the monthly charge ($21.95) for my ISP, which i pay off every month in full.

this month i was surprised to see a $1.50 fee of some sort or other. i'm considering canceling my account and sending them the card, cut up into little bits. scum.

quote Originally posted by Shananigans: The goal should be to multiply the money you do have by making it work for you. By spending borrowed money, you are effectively in a loosing battle and the creditors always win. I have yet to understand why people go shopping for material objects with money they don't have, can they not see that they are effectively volunteering to become a slave? Granted lots of people have pulled themselves out of the hole but with great difficulty and sacrifices, it would have been much easier if they did not dig the hole in the first place. I feel much better paying cash for something I saved for, it's a done deal,it's mine. Now I am able to continue saving all the money that would have only been used to pay interest for years. If you ask me, using credit is just plain stupid for unnecessary BS. I understand sometimes there is an emergency and in that case maybe it's OK if there are no other options. But to spend unwisely with borrowed money is just not prudent and it's hard for me to feel sorry for someone who is in the hole because they dug the hole themselves. My advice is to become debt free, life is allot more relaxed and stress free when the slave masters have no control over you. Good luck.

Sometimes, stuff happens. Tho I agree with ya on all ponts, and hate debt with a passion, I think if a person just HAS to have one, keep a single CC, and use it for only one type of purchase just to keep it active. Such as fuel purchases--and nothing else. nothing, btw, means nothing--till a true emergency comes along and you have an out--then pay off the emergency purchase from the card balance asap, and go back to just using it for fuel again..

[This message has been edited by maryjane (edited 09-14-2010).]

Raydar's got it right. If you close the accounts, your credit will bottom out. Your score is based upon the percentage of credit you use of your available credit. Each card should be used twice a year, even for just a burger and fries, then paid in full when the statement arrives. You'll soon see your score go back into the 800's