How do you repair credit after they close your accounts?!

Submitted by mizzdragonfly on Fri, 03/13/2009 - 01:17
Forums

Bank of America closed my account after I called them and asked them for options IF I happened to be laid off of my job. I am very hurt because I did what the news told me to do and asked them for help - had I not called my credit would have been left alone. I have NEVER made a late payment to these people!
I am upset because this is an installment loan that I opened to reduce my credit card debt and rebuild my credit (I was forced to deed in lieu my property in Miami). Is there a way I can dispute this so I will not waste 8 years of my money and life?

Till date the credit card companies used to offer cards and credit limits based on the credit score of the customers. But since past does not always reflect the future, a person with good score may become delinquent if he cannot afford to repay back what he spent on cards. Therefore, the credit card companies has recently started to offer credit limits based on the income of the customer. Now since you told them the possibility of losing your job, the credit card company closed down your account to avoid the risk that they have to bear if your job is actually lost and you cannot afford to pay them back what you are currently spending on the card.

Fri, 03/13/2009 - 05:39 Permalink

I don't think that they will reopen your card. Your credit score will drop further as a result of the loss in credit history, you have already build on the credit card. However, I think that you should make timely payments on the installments so that you can again build up a good credit history. However, if the account is shown as "closed" in your report, request the bureaus to change the status to "closed by grantor".

Fri, 03/13/2009 - 05:50 Permalink

I still need to know what to do to show I am a victim of bank "assumptions." Remember - I have NEVER made a late payment.

Sun, 03/15/2009 - 14:26 Permalink
VAL (not verified)

Sorry to say there is not much you can do. PAY THEM OFF ASAP. It will hurt your FICO they may actually tell you it doesn't but trust me it does. If you can try to go to a Federal credit union they are alot better and will treat you better. But if anything stay away from these big banks, I had a really hard time dealing with the fact that they were shutting cards down without telling people and sometimes they tell you they are going to help you with your APR but they only shut your card down. And report it as the credit card company closing the account which WILL impact your FICO. AND PLEASE do not listen to these people that tell you to call to get a lower rate, it gives the banks an chance to pull your credit and re-calculate your debt to income ratio and they can either cut your line down or close out the account. Think about the people who are telling you this and how much they make and also they may not have any debt.

Fri, 12/04/2009 - 04:06 Permalink
scarsz (not verified)

I went to use my CU account and was unable to do so because they said they closed the account. I had at least $600 in the account and haven't overdrawn my account in a least a year. I had been using the account regularly and made sure I had a least $300 in the account. 3 Years ago I had to file for bankruptcy. The CU was aware of that and did not close my account at that time. Any thought why the CU would suddenly close my account. They told me I need to withdraw all my funds, just over $600.

Tue, 06/22/2010 - 00:21 Permalink

Scarz, have you asked the credit union why they want you to remove your funds? I know banks and credit card companies are being very careful these days with the economy the way it is as of late. Even people who had great credit and no late payments found companies closing their accounts. I would aske the credit union directly why they are going this route.

Tue, 06/22/2010 - 02:53 Permalink
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Jim Scot (not verified)

If you have any lines of credit with high balances on them paying them down to atleast 30% or below of your available limit will increase your credit score quickly.
If you have any really past due or charged off accounts you could request a pay for delete to have them completely removed from your credit score.
You can also send debt validation letters to any Collection Agencies who are reporting on your credit report with the hopes that they will not be able to produce your original agreement binding you to the debt they claim you owe.
Any additional information about what is on your credit reports would also be very helpful.

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Wed, 10/30/2019 - 22:20 Permalink
Jim Scot (not verified)

If you have any lines of credit with high balances on them paying them down to atleast 30% or below of your available limit will increase your credit score quickly.
If you have any really past due or charged off accounts you could request a pay for delete to have them completely removed from your credit score.
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Any additional information about what is on your credit reports would also be very helpful.

Good luck.
_________________

Jim Scot

gretchennycole@gmail.com

9842268349 contact for help

Wed, 10/30/2019 - 22:20 Permalink