Disney Visa...infuriating

[tinkpower]

So we have a disney visa card and we are planning an upcoming trip. I decided to take cash we have saved for the trip and apply it to our balance and then use the card to pay the balance to get the reward points. This terrible decision cost us our trip. They applied the Thousands of dollars to our balance and then reduced our credit limit by that much, effectively taking our vacation money. I called after receiving the letter and they sited diffrent reasons depending on who I talk to. one said it's because we hadn't used the card much and then did, another said it's because the high payment triggered a review and the other sited to much revolving debt. We have never missed a payment on this card or any other. Apparently this is common practice for chase and it's there preogative but I'm just devestated and so very angry. We really needed this vacation to look forward to.

 

[CampbellzSoup]

Open another credit card?

 

[Happyinwonerland]

How long until your vacation? Any chance you can maybe take a smaller vacation and save up enough to take a trip between now and then?

 

[fbb]

I'm confused by your post. I don't understand what happened.

 

[TwoMisfits]

So, you had cash and a Disney Visa card which was carrying a moderate balance that you were paying monthly. You took your cash and paid down your balance significantly so you could add the significant vacation cost (hotel/ticket/etc) back on the card to get you close to your same carrying balance and to get the extra rewards. When you did both, the CC company saw you as a higher risk and decreased your credit limit, right? CC companies do occasionally adjust limits when cards come under review (either over time or when concerning transactions happen). I've had it happen for non-use of a card and I've never carried a balance on any card or been late on any payment. I'm sorry it happened to you now.

 

[GrnMtnMan]

I'm confused by your post. I don't understand what happened.

Me too.

 

[CookieandOatmeal]

Why didn't you charge the trip first then apply the money to the balance? If you carried a balance already on the card, any money you paid towards the card will be applied to it automatically.

 

[canadiandisneymommy]

Sorry to hear that happened to you but thanks for sharing.

 

[Mickeyluver37]

We didn't have a trip involved, but the same thing happened to us with that card- years ago. We had been carrying a balance, paid it off, and they immediately lowered the credit limit.

 

[hoffman1]

We had a similar thing happen to us. We charged a previous vacation. Paid the card in full (in anticipation of our using it on our upcoming cruise) and they lowered our credit limit significantly. It was quite frustrating. They said they would review it again in 6 months for an increase. We have since used it and paid it in full but have seen no change in credit limit after a year. I would not think we were a high credit risk since we continue to pay it in full.
Although, I am sure we are not considered "good customers" either since we are not making them any money on interest!

 

[Pesky]

Yeah, they all do that. I've had that happen to me with another card as well. Basically if you aren't earning them money, they don't want you getting free rewards. It's their card, their terms, and unfortunately their prerogative. Sorry to hear it had such a negative impact on your vacation!

 

[figment41]

FYI. This also can be a huge hit on your credit score because it lowers your available credit.

 

[tesslor]

They did the same thing to me. I just applied for another disney card from. It was approved with an even higher credit limit than the original. Go figure.

 

[JohnDaleswife]

I carry a balance of around 3-4 grand a month here lately, well at least 2 grand for the past few years and always pay the statement balance off every single month, not having to pay any interest. Worried this might happen to us.

 

[NCRedding]

This is a very common ploy used by Chase. Be careful if you have more than one Chase card, because they will then use the reduction on one card to justify a reduction on any other cards you have with them. They've done it to us 3 times: once on my credit card, and twice on my husband's. The second time on my husband's happened when we were on vacation, and we had placed his card on file with Disney. I wondered why we didn't get a final bill on the door at check out, called guest services who said they would email it to us, and then about 3 weeks later sent a bill for the remainder of the charges we had made because Chase reduced our limit from $10,000 down to $200 over what we had on the card, so we went from a 20% usage of the card to about 95% usage. We received the letter that they were going to be doing this four weeks after they did it.

 

[kymom99]

I would cancel the cards and refuse to do any business with them. They are still making money from the merchant fees from people's transactions whether they carry a balance or not.

 

[FairestOfThemAll37]

I carry a balance of around 3-4 grand a month here lately, well at least 2 grand for the past few years and always pay the statement balance off every single month, not having to pay any interest. Worried this might happen to us.

If you pay your card off in full every month then you are not really "carrying a balance."

While it's technically carrying a balance for the month, in credit card speak it generally refers to multi-billing cycle balance on which one pays interest.

 

[JenB1104]

I charge about 3000.00 each month and pay in full (charge everything - groceries etc.) and I only have noticed that they continue to increase my credit limit. Wonder what triggers them to lower it? Could it be affected by other credit usage? This is really the only one I use and don't have balances on any other cards.

 

[Shelly F - Ohio]

Credit card companies will review your card and rerun a credit check on you to determine weather to increase/decrease you credit based on the score they obtain. Your car/home insurance companies do it yearly as well to determine if they should increase your rates. So it could be that your debt to income ratio was a red flag

 

[MichelleVW]

Sorry, I love my Chase. They don't make any money on me on interest...usually charge 3000-5000 a month and pay it off and they have only upped my credit.