IS IT STILL "JUST BUSINESS"

[GEORGE]

Card Actions Tue, Dec 23, 2008 By Jennifer Dewalt, CardTrak.com

In the wake of the credit crunch issuers have taken a proactive stance to mitigate risk with higher interest rates, lower credit limits and closing inactive accounts. An informal online CardTrak.com poll this month found that more than 53% of cardholders report their interest rates have increased this year, while 37% say their credit limit has been lowered. Surprisingly, nearly 29% report that their credit limit has been increased. About 23% report having a credit card account closed; 26% say that some fees have been raised and 16% indicate new fees have been added this year. Nearly 13% report changes in the rewards program attached to a payment card. The CardTrak homepage poll drew about 1,000 responses during the December period. Also, this week Bankrate released the findings of a national poll which found that 40% of consumers say they would not be upset if their credit lines disappeared. In fact, of the respondents who have credit cards, nearly one-third say they will probably charge less in 2009. A much smaller group (only 5%) responded that they would be devastated with the loss of access to their credit cards.

 

Have any of these actions been taken by your credit card provider this year?

 

* Credit Card Account Closed (22.5%)

* Credit Limit Lowered (36.9%)

* Credit Limit Increased (28.7%)

* Interest Rate Increased (53.5%)

* Interest Rate Lowered (12.8%)

* Some Fees Raised (26.1%)

* Some Fees Reduced (2.6%)

* New Fees Added (16.1%)

* Rewards Program Changed (12.9%)

* Other Changes Raising Costs (9.1%)

 

Source: CardTrak.com

 

http://www.cardtrak.com/news/2008/12/23/card_actions

Edited December 25, 2008 by GEORGE

[Nikki Nue]

Yes.

[GEORGE]

In my case I did nothing WRONG...why diss me???

[cocomad]

In my case I did nothing WRONG...why diss me???

GEORGE, are you sure you did not close the accounts?

[Nikki Nue]

Lots of folks do nothing wrong and still have this happen. It just happens. It is time to move on.

[Krynn]

Why would it be anything but business?

 

It isn't like some executives have taken over who please themselves in off-hours by scanning through accounts which they hope to sabotage. It is all business. Unfortunately, business on this scale is handled by computers first, and humans second, and that leaves considerable room for error. Heck, there's going to be room for error no matter how things are done when it comes to risk assessment.

 

Mistakes are made, and sometimes good customers are cut, but it isn't anything personal. They want to make money.

 

I think some of us are seeing it a little worse than others because we tend to have a large number of cards, very high credit limits, and comparatively low utilization*. That was fine years ago, but around now, that probably seems like a whole lot of risk to some card issuers.

 

Edit: *Month-to-month utilization, e.g. charging $400 a month to a $25,000 card.

Edited December 25, 2008 by Krynn

[GEORGE]

Why would it be anything but business?

 

It isn't like some executives have taken over who please themselves in off-hours by scanning through accounts which they hope to sabotage. It is all business. Unfortunately, business on this scale is handled by computers first, and humans second, and that leaves considerable room for error. Heck, there's going to be room for error no matter how things are done when it comes to risk assessment.

 

Mistakes are made, and sometimes good customers are cut, but it isn't anything personal. They want to make money.

 

I think some of us are seeing it a little worse than others because we tend to have a large number of cards, very high credit limits, and comparatively low utilization*. That was fine years ago, but around now, that probably seems like a whole lot of risk to some card issuers.

 

Edit: *Month-to-month utilization, e.g. charging $400 a month to a $25,000 card.

You get NERVOUS if I charged $25,000 every month on that card (even if I PIF)

 

Why are you still MAD when I only charged $1,000--->$2,500/month on that card??? (10% rule)

 

"RISK flowersESSMENT"

Edited December 25, 2008 by GEORGE

[DiamondGurl]

In my case I did nothing WRONG...why diss me???

 

You might need some professional help to cope with this.

[sohowcome]

Only one account has CLD me so far, no rate jakes on my others.

[azntg]

Merry Christmas George!

[GEORGE]

Merry Christmas George!

Thank you............

[Krynn]

You get NERVOUS if I charged $25,000 every month on that card (even if I PIF)

 

Why are you still MAD when I only charged $1,000--->$2,500/month on that card??? (10% rule)

 

"RISK flowersESSMENT"

You forget that people here don't follow the rules, or fall into any standard categories. Normal folks usually only accumulate large amounts of credit if they actually plan to use it, or if they're planning to use it poorly. People here accumulate large amounts of credit so they can utilize 10% of their card even on rough months. They're going to plan against the normal habits, not around folks here at CB or people with our habits.

 

Merry Christmas as well! I hope you've had a good day, GEORGE.

[Uncle Leo]

It'll fall on deaf ears as far as George goes, but it isn't about what you did, it's about what they think you might do.

[GEORGE]

I don't have financial problems...BUT SINCE YOU HAVE FINANCIAL PROBLEMS...I MUST SUFFER

[Mark LA]

Merry Christmas George!!!!!!!!!!!!!!!!!!!!!!!!!!!!

[GEORGE]

Merry Christmas George!!!!!!!!!!!!!!!!!!!!!!!!!!!!

I am so crying...

 

I miss my 70 degree CA CHRISTMAS

 

37 degrees here

 

STINKIN' SNOW FRIDAY

Edited December 26, 2008 by GEORGE

[Jen23514]

I don't have financial problems...BUT SINCE YOU HAVE FINANCIAL PROBLEMS...I MUST SUFFER

 

it's all about risk modeling.

[CIO]

Merry Christmas George!!!!!!!!!!!!!!!!!!!!!!!!!!!!

I am so crying...

 

I miss my 70 degree CA CHRISTMAS

 

37 degrees here

 

STINKIN' SNOW FRIDAY

 

 

George, it's in the 50s, cool and rainy down here in So Cal today and this evening. You'd have to go to Houston to get some good weather today.

[hlburi]

In my case I did nothing WRONG...why diss me???

 

You might need some professional help to cope with this.

 

 

[radi8]

I don't have financial problems...BUT SINCE YOU HAVE FINANCIAL PROBLEMS...I MUST SUFFER

 

it's all about risk modeling.

 

Yep. I paid more for car insurance as a 20 y/o male because other males got into accidents. Now in my mid-40's, I pay more for life and health insurance despite being quite healthy- because others in my age group are not.

You can't take this stuff personally, it's not personal. They don't know you or I from Adam as individuals, they only know what their exposure is related to the general groups we fall into.

 

This limit chopping is just a reaction to the credit environment in general- they're doing them by the thousands. It's not anything personal against specific card holders.

[hlburi]

I don't have financial problems...BUT SINCE YOU HAVE FINANCIAL PROBLEMS...I MUST SUFFER

 

it's all about risk modeling.

 

Yep. I paid more for car insurance as a 20 y/o male because other males got into accidents. Now in my mid-40's, I pay more for life and health insurance despite being quite healthy- because others in my age group are not.

You can't take this stuff personally, it's not personal. They don't know you or I from Adam as individuals, they only know what their exposure is related to the general groups we fall into.

 

This limit chopping is just a reaction to the credit environment in general- they're doing them by the thousands. It's not anything personal against specific card holders.

 

NO IT'S NOT!!!! It's personal!!! They've been out to get me for years now. ...and I know they've been following me around.... Despite what my shrink says, it is NOT just paranoia on my part.

[drkaje]

It's never been anything but business, G.

 

Amex, Citi, Chase, Cap1, etc... never have been nor will ever become friends.

[Jen23514]

I don't have financial problems...BUT SINCE YOU HAVE FINANCIAL PROBLEMS...I MUST SUFFER

 

it's all about risk modeling.

 

Yep. I paid more for car insurance as a 20 y/o male because other males got into accidents. Now in my mid-40's, I pay more for life and health insurance despite being quite healthy- because others in my age group are not.

You can't take this stuff personally, it's not personal. They don't know you or I from Adam as individuals, they only know what their exposure is related to the general groups we fall into.

 

This limit chopping is just a reaction to the credit environment in general- they're doing them by the thousands. It's not anything personal against specific card holders.

 

NO IT'S NOT!!!! It's personal!!! They've been out to get me for years now. ...and I know they've been following me around.... Despite what my shrink says, it is NOT just paranoia on my part.

 

forgot your meds again I see

[drkaje]

I don't have financial problems...BUT SINCE YOU HAVE FINANCIAL PROBLEMS...I MUST SUFFER

 

it's all about risk modeling.

 

Yep. I paid more for car insurance as a 20 y/o male because other males got into accidents. Now in my mid-40's, I pay more for life and health insurance despite being quite healthy- because others in my age group are not.

You can't take this stuff personally, it's not personal. They don't know you or I from Adam as individuals, they only know what their exposure is related to the general groups we fall into.

 

This limit chopping is just a reaction to the credit environment in general- they're doing them by the thousands. It's not anything personal against specific card holders.

 

NO IT'S NOT!!!! It's personal!!! They've been out to get me for years now. ...and I know they've been following me around.... Despite what my shrink says, it is NOT just paranoia on my part.

 

It's for paranoid people to have real enemies.

[Jeffmo32]

I'd like to see previous years stats so that the deviation from other years can be compared.

 

The way some of these stories are written, you'd think that nowhere in the history of credit cards were people ever CLD'd or had their cards closed.

 

With the exception of my good friend George that is.