Upset with Amex and warning

[DISdreamin']

I had one of my accounts (actually my oldest one still open) closed on me a month or so ago due to inactivity. I called and was able to get it reinstated just so I didn't lost that credit history and have it affect my credit scrore. The irony of doing that is that I'm now considering closing the majority of our credit card accounts! I may keep one open for convenience when traveling and renting cars (I do NOT like using any card tied to our bank account despite it carrying the Visa or MC logo and having "coverage" for losses) but I want to close down all but one.

Thus far we haven't seen them cutting credit limits, but I figure it's just a matter of time! There is no WAY we could handle using all the credit we have available to us and still stay afloat financially. What were they thinking extending that much credit anyways?!?

As far as terms for our accounts go, I have to admit that I couldn't tell you what they are for a single card, other than being aware of our Disney Visa offering 6 months interest-free for Disney vacations. The only thing I have ever paid attention to was whether a grace period existed for new purchases, so that as long as they were PIF by the statement due date there would be no finance charges incurred.

Anyways, good luck to all running into problems with their credit card issuers changing terms and lowering limits. It has to be incredibly frustrating to have your limit lowered significantly with no warning.

 

[SanFranciscan]

What is happening to credit card consumers is never anything personal. You're not a person anyway to the banks. You are just a number, your Social Security Number.

Banks actually see customers who pay off their cards in a timely manner as deadbeats. Remember credit cards are cash cows due to the interest. Customers who always pay in full but late enough to owe interest are the banks' "angel customers." Those who use their cards to get cash back or frequent flyer miles or whatever else that costs the banks money without paying interest on their debts are what the banks consider "demon customers."

Allegedly 10% of customers are responsible for well over half of a company's profits. Customers who complain too much or return what the company considers too much merchandise aren't missed if they carry out their threat to never do business with that company ever again. You will get a letter of apology if it will pacify you out of contacting a lawyer, but customers who don't spend money in a predictable manner cost the company money. Even the letter you may think came from some executive was a form letter with a rubber-stamped signature written by someone in the typing pool.

Nothing any of you are experiencing with your credit cards has anything to do with you in the banks' eyes. You are not you when they make decisions about you or your creditworthiness. You are just the number that everybody demands to know why insisting that it is your responsibility to protect that number from fraud.