Credit Cards Lowering Limits

Discussion in 'Economics' started by logikos, Feb 26, 2010.

  1. logikos


    In the last week two credit card companies notified me that they are lowering limits on my cards. The last one I used a convenience check to make a business purchase, and a credit card rep actually called me up asking me what it was for! I refused to tell him.. I told him it was none of his business.. he responded that he needed to know so he could approve it. I responded that I have paid the bills on time since I got the card, so I don't see a problem with actually utilizing my credit.

    Are they being more careful now, or is this indicative of something else going on with the banks that we don't know about yet?
  2. buylo


    Yes.......across the board. Credit card companies are slashing limits and tightening standards. Always pay my Citi card off every month since inception. Slashed my limit by 85%....never ever late with them, and never came close to my limit.
  3. citi raised limit on one of my cards a couple of weeks back. i never asked for it BTW.
  4. They have a name for customers like you... "Deadbeat"..
  5. From what, to what? I could understand maybe from 2k to 2500 something like that.

    I know of know one in my family or in business who has had there limit raised, everyone has had them slashed. My mother had a B of A card for over twenty years, she had a 30k limit she makes well over 250k and has never been late. They cut it to 8k and raised the rate from 8.54% to 24.00%

    Some people had the limit cut to just above the balance. These banks are still in trouble even after all the accounting gimmicks and goverment support.

    The trick in banking is to always act like everything is just fine, one wiff of trouble and the deposits come flying out. The public could shut these banks day at any moment, IT'S CALLED A RUN. they need us more than we need them, most people just don't give it much thought.
  6. Watch out for new personal guarantee language on your business account cards.
  7. buylo


    Wow.......who sh!t in your Cheerios, @$$hole?

    Far from it. I pay it off every month in full. Didnt even know I had that high of a baller limit.
  8. Dang, man! Take a pill.

    That's REALLY what they call someone like you (and me)... the only money they make off of us is the fee they charge the merchant... hardly worth the CC company's bother.
  9. Why would that be new? Haven't credit cards always been "full recourse"?
  10. jnorty


    I had 16 credit cards with 410k of limits in 2008. built them up over a decade or more. in the past 6 months due to non use i've lost 130k of the limits. multiply this by 50 mil people and the economy will lose at least $3 tril of purchasing power
    #10     Feb 26, 2010