Our Sears Credit Card Was Dropped

[bicker]

I wonder to what extent banks are proactively checking accounts to see if cardholders are getting overextended, and in response to that seeking "reason" to withdraw the cards.

 

[Becky2005]

Basically credit cards can do whatever they want whenever they want to do it.
Yes, there are laws but if you actually read ALL the fine print it boils down to a simply, they can do whatever they want, whenever they want to do it for whatever reason they feel like it. They may or may not have to give you a warning but they can still do it.
We found out our Sears card was closed when we wanted to get a new Dishwasher, we hadn't used it in a while (although I think less than 3 years) but it was closed. We had gone the same amount of time not using it previously and it stayed open. It is what it is, so we just bought it from someone else and didn't bother re-instating it. Not worth the hassle when Sears no longer only takes their own card.

 

[DebbieB]

I had my wallet stolen about a year ago. I had a Sears MasterCard at home, so I thought I would use it until my other cards were replaced. When I tried to use it, it was closed! I probably had not used it for a year.

 

[arminnie]

What money would they spend? They don't send out statements if you have a zero balance. Doesn't cost anything to you actually use it.

I get statements every month with a zero balance - not from all the banks but from a lot.

I worked for Visa International for over 15 years. I literally had at least 20 Visa cards. When taking a customer out for dinner it was much better to pull out their card than a competitor's. Plus a lot of companies consolidated. I must have had at least 10 Chase cards. I closed a ton of them a few years ago.

Plus they do mail out those change of terms stuff. I must have 6 BofA cards which I have NEVER used. I've banked with BofA for decades and keep a lot of money in my checking account. Why put it in savings when I get 11 cents a month in interest. Somehow they have issued me two AmEX cards which I would NEVER use (the evil empire).

 

[TheBigBadWolf]

We closed our Sears card at the first of the year when they tried to charge us a $30 membership fee to keep their card. I was really surprised to get that charge on my bill. We used the card occasionally but always paid it in full each month. I guess they didn't like us not carrying a balance and were going to charge us $30 each year to keep the card. Am I the only person here who Sears tried to charge to keep their card? I'm not paying anyone a membership fee to use their credit card!

Another gripe about Sears! Yesterday I tried to buy a high wheel Craftsman push trimmer. The closest Sears store had two outside, marked down from $400 to $300 (none at three other stores they called). I didn't want to buy a trimmer that was sitting outside in the weather (I keep mine in the garage so it'll always start when I need it). I wanted a new one in the box or inside the store. Low and behold, the two trimmers outside were USED. They'd been returned, and repaired, then set outside with the lawn mowers for sale. It was just by accident that I noticed they were used before I bought one. Who'd think to check the little hanging tag with the inconspicuously checked "used" box? The salesman never mentioned they were used. He actually went to a different computer from where I was standing so he could look them up, no doubt so I wouldn't notice they'd been returned. I had no idea Sears sold USED mowers/trimmers at their retail stores. I came home and ordered a brand new one online for $315, marked down from $400. Now I am kind of regretting it since I am angry they were so deceptive. Craftsman used to mean a quality product. Not so much any more.

 

[MIGrandma]

We closed our Sears card at the first of the year when they tried to charge us a $30 membership fee to keep their card. I was really surprised to get that charge on my bill. We used the card occasionally but always paid it in full each month. I guess they didn't like us not carrying a balance and were going to charge us $30 each year to keep the card. Am I the only person here who Sears tried to charge to keep their card? I'm not paying anyone a membership fee to use their credit card!/QUOTE]

They never even gave us that option, just closed with absolutely no notice.

 

[bicker]

If I remember correctly, in at least one case, the warning we received was on the zero-balance bill. It wasn't anything that grabbed us and shook us and made sure that we saw it. It was, like many disclosures, only evident if we read practically everything that the bank sent us.

 

[arminnie]

I've bought countless Sears appliances over the past few decades (moved a lot). I will never buy another one. I bought a refrigerator in Jan with a major rebate. I put everything in online - and got denied for the rebate. They said they had to wait 30 days to make sure it was not returned - and then said 30 days was too late to get the rebate (filed the day I bought it).

I'm renovating yet another home right now and bought my refrig, stove, microwave, dishwasher, washer and drier from another store. I'm so done with Sears.

They also ruined Lands End after they bought it. Zipper broke on a piece of luggage about 6 month after I bought it. Their response "Too bad, we don't do repairs anymore," And no they wouldn't take it back.

 

[kwelch10377]

Not really a Sears fan, but Sears and other retailers that have their own credit card have no say it what the bank chooses to do with the accounts. Last year the bank that my company uses decided to close over 10,000 accounts because of their credit rating. Their standing with our card was not taken into consideration. We as the retailer had NO say in the accounts that they choose to close and as a results we lost a lot of customers.

I know this issue is a little different since the account was inactive, but the general rules are the same. The bank can do whatever they want with the card without the retailers approval.

 

[LOVETHATMOUSE]

I understand that, but inactivity for 4 or 5 months? That seems a little extreme doesn't it?

That's what I thought - when I questioned that it did seem extreme, all she said was that was their policy..if a card is not used, the account is closed.

 

[LOVETHATMOUSE]

That does seem awfully quick and I wonder if they were culling accounts and that's why yours was closed so soon? The OP didn't use her card for three years so her case doesn't surprise me.

what is culling accounts?

 

[tvguy]

Just because they aren't doing it to your card doesn't mean they haven't done it to other people.

True. But I bet lack of activity isn't the only reason these accounts get closed.

 

[Ephany]

They did this to us a year or so ago. We hadn't used it in 6 months or so; if they sent a notice I missed it. The funny thing is that I still get at least 2-3 mailings a month regarding promotions on that card. DH and I spent a lot of money at Sears buying appliances and lawn tools over the past 15 years, no more.

 

[tvguy]

They did this to us a year or so ago. We hadn't used it in 6 months or so; if they sent a notice I missed it. The funny thing is that I still get at least 2-3 mailings a month regarding promotions on that card. DH and I spent a lot of money at Sears buying appliances and lawn tools over the past 15 years, no more.

My wife felt that way almost 30 years ago when we got married (even though her dad thought Sears was the only store on the planet).
We've been forced to shop at Sears for appliances because they are the only retailer that actually has them in stock. We just bought a refrigerator, and Best Buy and Lowes said it would take 2 weeks to get one in stock, Sears not only had it in stock, and delivered the next day, but their price was lower.

 

[laurie31]

what is culling accounts?

Weeding out the undesirable ones.

 

[mom2boys]

That happened to us too. We only use it when we purchase appliances. When we bought our washer, I told the sales associate what happened. It took less than 5 minutes for her to reopen our account.
The closure did not affect our credit rating.

 

[C.Ann]

I understand that, but inactivity for 4 or 5 months? That seems a little extreme doesn't it?

They did this to us a year or so ago. We hadn't used it in 6 months or so; if they sent a notice I missed it. The funny thing is that I still get at least 2-3 mailings a month regarding promotions on that card. DH and I spent a lot of money at Sears buying appliances and lawn tools over the past 15 years, no more.

If you wander over to the BB every now and then you will see that this is happening more and more frequently - and not just with "store-specific" credit cards..

It's a sign of the times.. They are not happy with some of the new laws that don't allow them to stoop to the level of threatening to break your knee caps if you don't play "their" way, so they're cutting off their noses to spite their faces by dumping customers that don't charge on a very, very regular basis - or worse yet, the "dead beats" that pay in full each month..

I wouldn't expect this situation to get better - unless they can find some loop holes somewhere - such as this concept they have been talking about whereas they can charge interest immediately (at the time of the purchase) so they will be able to make money off of those responsible cc holders that they so nicely label "dead beats"..

 

[tar heel]

I bought a clothes dryer last week and discovered that my Home Depot card was closed. It was annoying b/c I had planned to do 6 months same as cash and really didn't have time to go to other stores. They offered to let me apply for a new one and I declined.

I complained at the customer service desk and also called their service line to ask why I wasn't notified that my account had been closed. They said it was their policy NOT to notify people. I think that is totally goofy.

I have a Sears card that hasn't been used in at least three years. I periodically get balance transfer offers and just yesterday I got a "notice of new terms" that was about late fees and stuff like that. I assume that it's still open, but I don't really know. I've had it at least 25 years.

When the credit mess first hit, Sears sent me a letter that said they were reducing my credit line b/c it appeared to be larger than I needed. They reduced it by $800, from $15,000 to $14,200.