How to Blow Your Credit Limit -- Without Spending

[Toby]

Banks are between a rock and a hard place. They have to reduce their obligation (amount of credit they've extended, used or not)

Some of them aren't being very consumer friendly in how they're dealing with that problem.

[tony404]

this is going to be a real catch 22. they are cutting back on open credit of people that pay their bills. so then they have less open credit so their credit to debit ratio starts to go in to the toilet and it hurts their credit score. Which then effects their ability to get credit.

[Hell Puppy]

So far only thing I've personally seen is a couple of long dormant cards cancelled due to non-use (we're talking haven't been used in at least 3 years, maybe longer). That makes sense to me as you reduce your exposure in the overall portfolio and get rid of an account that is making no money other than Amex I wont have a credit card that has a yearly fee.

I still have enormous lines of credit and available credit on my cards. But then I have 20 years of solid credit history, a house that's nearly paid for, strong credit rating, and I pay my bills and generally use credit correctly.

What you're seeing is the banks are now doing what they should've done all along. Before the pop there was so much money on the market that people were looking to put it in play and make those good returns and they were barely even checking peoples credit or ability to pay.

Now we're slowly adjusting back to where we should be.

[miz_wright]

Originally Posted by Hell Puppy

I still have enormous lines of credit and available credit on my cards. But then I have 20 years of solid credit history, a house that's nearly paid for, strong credit rating, and I pay my bills and generally use credit correctly.
.

I've always had an excellent credit rating, kept my revolving credit in line with my income, and also own a house. That hasn't stopped my rates and limits from being massively affected by this, to the point where I am almost unable to pay the few cards I still have balances on because my rates have gone up so drastically (in some cases 20+ percentage points) and the limits slashed below the balances I haven't added to in a year.

[tony404]

Originally Posted by LizAEBN

I've always had an excellent credit rating, kept my revolving credit in line with my income, and also own a house. That hasn't stopped my rates and limits from being massively affected by this, to the point where I am almost unable to pay the few cards I still have balances on because my rates have gone up so drastically (in some cases 20+ percentage points) and the limits slashed below the balances I haven't added to in a year.

i would call your senator and congress man and let them know.chances are they are taking gov money.

[Hell Puppy]

Originally Posted by LizAEBN

I've always had an excellent credit rating, kept my revolving credit in line with my income, and also own a house. That hasn't stopped my rates and limits from being massively affected by this, to the point where I am almost unable to pay the few cards I still have balances on because my rates have gone up so drastically (in some cases 20+ percentage points) and the limits slashed below the balances I haven't added to in a year.

You need a bail out!

Nah, seriously, that smells like they're trying to milk those with existing balances but a good payment history.

Annoying as hell because those of us who pay our bills are catching the fall out from those who either do not or over extended themselves.

As I said, I've always paid my mortgage, house is almost paid off, and I've always lived well within my means instead of scaling my lifestyle up with my income. Dont I feel like a fucking idiot now....I could've had a bail out!!!!

[miz_wright]

Originally Posted by Hell Puppy

As I said, I've always paid my mortgage, house is almost paid off, and I've always lived well within my means instead of scaling my lifestyle up with my income. Dont I feel like a fucking idiot now....I could've had a bail out!!!!

I do feel, to a certain extent, that those of us who've made efforts to be responsible without money and income are being penalised in the current climate.

[tony404]

Originally Posted by Hell Puppy

You need a bail out!

Nah, seriously, that smells like they're trying to milk those with existing balances but a good payment history.

Annoying as hell because those of us who pay our bills are catching the fall out from those who either do not or over extended themselves.

As I said, I've always paid my mortgage, house is almost paid off, and I've always lived well within my means instead of scaling my lifestyle up with my income. Dont I feel like a fucking idiot now....I could've had a bail out!!!!

I dont think its those who dont pay their bills that causing them to piss on those who pay. The thing is they have about year before the new rules go into effect. like they cant do cute things like give you a rate of 5% once you got a nice large balance. They raise it to 24% on the outstanding balance. The new rule says you can change any rate but not on the outstanding balance. And a few other rules that wont let them fuck people as hard. They are preparing for that.