American Express recently reduced my credit line from $28,000 to $800, citing a "public record" that I had an outstanding judgment against me. This judgment is paid, but Amex said they couldn't see that from the info they had. When I looked at the report that came free from Experian with this adverse action taken, it said it was a "potentially negative" item, but it did say it was a "paid civil judgment." It was only a few thousand as a result of a dispute between me and former landlord. I was so frustrated with Amex, I cancelled the card. Now I'm wondering if they weren't violating some sort of federal law? Either them or Experian, who may have given too little information. What on earth can I do? That was the bulk of my available unused credit that is now vanished.
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Welcome to the forum brian,
First off I would like to say that I am sorry this happened to you, this action of taking off potential open may have also lowered your score too right? Have you check this part out yet?
Experian should have given them more information, however they may still have lowered your credit line because of the judgement, paid or not, credit card companies constantly monitor and adjust credit limits and rates according to ones credit activity, it is what they call for their protection.
Seems silly because they will sometimes up the rate on the card charging the consumer more, I don't understand how they make these decisions. Lowering someones credit or raising their rates only put them in a worse situation.
I wish you luck with this, hang around I am sure that someone with a different point of view or more information will be along soon.
I think you could have sent a certified copy of the Experian report to Amex saying that the judgment is paid. Moreover, you should not have taken the quick decision of canceling your card as this will definitely hurt your credit score.