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Bart
Joined: 17 Feb 2009
Bart's page
Posts: 3
150 Magic Points
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Subject: BOA Scam?
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Tue Feb 17, 2009 6:57 pm
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| I recently got laid off. I called BOA and asked if they would lower my interest rate in general or for a few months. They said they had a program that may help and redirected me. After talking to a rep for a while sharing my income and expense information they said they would cut the rate to 5% but would have to close my account. When I declined, they said they were going to lower credit limit anyway. I stated that I had not yet missed any payments and had a good record but they replied that they had to protect the bank's interest. Is there anything I can do to keep them from lowering my credit line? If not, how much of a hit is it on my credit score? |
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goodnatured
Joined: 03 Nov 2007
goodnatured's page
Posts: 3927
10 Magic Points
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Wed Feb 18, 2009 4:00 am
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That is sad that you try to be up front about everything and they would react like this. Unfortunately there is probably nothing you can do about it, this is a common practice for credit card companies, they mess with credit lines, intrest rates, pretty much do what they want to do. Check the small print that came with your account, bet it is in there in some language. Look you will find that they can pretty much lower, raise and do what they feel is in their best intrest.
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Goodnatured,
http://cashinpocket.synthasite.com/
for all the ways I make $$ online
http://www.crazymonkeygold.com/members/register.php?ref=fedupinpa |
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Mary
Joined: 06 Jul 2006
Mary's page
Posts: 686
17396 Magic Points
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Wed Feb 18, 2009 12:25 pm
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Lowering your credit limit will not lower your credit score much as compared to closing the card. You have taken a good decision by not closing down the card and accept a new card with low interest rate. This is because, closing of old cards would have erased your credit history which you have built on the card for long. Now since credit history contributes over 35% in your score, your score would have fallen by at least 50 points if the card was closed. Now, if you the credit limit has been lowered, the debt to credit ratio will increase, which can again be brought down easily if you pay off the outstanding debt.
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Where there's a will, there's a way !! |
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scott
Joined: 28 Jun 2006
scott's page
Posts: 446
10878 Magic Points
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Wed Feb 18, 2009 12:35 pm
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Hi Bart
Most of the credit card companies are now lowering the credit limit to prevent risk after the sub-prime crisis. Now judging you current income, they must have come to the conclusion that they need to lower your credit limit. However as Mary said, this will not affect much in your credit score if you do not have much outstanding debt on your credit card. If you have some, try and bring the amount of utilized credit to 30% of your credit limit.
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SCOTT
Use your credit account responsibly and enjoy a debt free life. |
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Matty
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Subject: PhrqfeFrGbzApa
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Wed Jul 06, 2011 12:35 pm
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| What a great resrouce this text is. |
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Ellie
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Subject: xzeSPLADklkXJ
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Sat Jul 09, 2011 4:38 am
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| Tip top stuff. I'll epxcet more now. |
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Mattingly
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Subject: BKJlNBDlcRGbHrcr
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Wed Dec 14, 2011 9:21 pm
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| Oh yeah, fbaouuls stuff there you! |
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