Eli Lily Federal Credit Union shut me down :(

[nbipbm]

So yesterday, having no inquiries on Equifax, I submitted a credit limit increase from these people. I got a ring back from a gentleman asking a few questions about employment then the credit report. He asked why I wanted an increase if I had credit cards form other banks that I could use. I said most were for certain reward programs only and he was fine with that. Fast forward to today he rings back and says they're closing all deposit accounts, the credit card, and the automobile loan I have through them. I opened the membership back in July 2013 I think and the card and loan in November with no trouble at all, not even income verification.

 

He said my membership was "suspicious" and they were extremely uncomfortable with me being a member there. I don't know what he was on about, as I rarely used anything from them except when I pushed money in for the automatic automobile payment. He didn't say anything on my credit report, so I don't know what he could be talking about. The only thing was a few weeks ago I accidentally sent a payment to the card and asked if I could get it refunded, but they did that with no issue at all. I'll wait to see if a letter gets sent in more detail.

 

In the mean time, they're holding all the money I had with them(only about 3500 or so dollars) until the credit card charges post and they will pay the card off with the funds. The automobile loan he said will only be able to accept certified funds in the form of a money order, which makes no sense to me as I always paid when I was supposed to. He even had the audacity to tell me they would be much more comfortable if I refinanced it with someone else, but they can't force me to so I can keep it if I want. I asked if I was banished completely and he said I would never be able to establish a membership or accounts ever again. I would refinance, but I got insurance through them and I doubt they would refund it if I did that, even though they're doing everything they can to make it unpleasant for me. He told they will send out a statement and that is it, but I won't even get a note or anything for this month. Luckily I remember how much it's for and when it's due.

 

They weren't anything to write home about, but I had had no issues with them in the past. On the other hand, Pentagon Federal Credit Union immediately approved an increase yesterday from 10,000 to 43,000, so that evens out a bit. I don't see it online yet, even though the loan status says transferred.

 

Anyway, just wanted to let people know that they may find you "suspicious" if you have other cards but for some strange reason would like to be using their card more.

 

*The bold and underlined are like that because he specifically emphasised those himself.

Edited August 21, 2014 by nbipbm

[DCPenal]

Id be writing one heck of a letter to whomever is in charge.

[Momof5]

^{This may be the law of unintended consequences.....get huge limits and then ask for more from someone else and they see a huge liability issue in the future.}

 

^{You may be bummed, but this sounds like a bridge has been burned.}

Edited August 21, 2014 by Momof5

[stroked89coupe]

That sucks.

[cv91915]

So yesterday, having no inquiries on Equifax, I submitted a credit limit increase from these people. I got a ring back from a gentleman asking a few questions about employment then the credit report. He asked why I wanted an increase if I had credit cards form other banks that I could use. I said most were for certain reward programs only and he was fine with that. Fast forward to today he rings back and says they're closing all deposit accounts, the credit card, and the automobile loan I have through them. I opened the membership back in July 2013 I think and the card and loan in November with no trouble at all, not even income verification.

 

He said my membership was "suspicious" and they were extremely uncomfortable with me being a member there. I don't know what he was on about, as I rarely used anything from them except when I pushed money in for the automatic automobile payment. He didn't say anything on my credit report, so I don't know what he could be talking about. The only thing was a few weeks ago I accidentally sent a payment to the card and asked if I could get it refunded, but they did that with no issue at all. I'll wait to see if a letter gets sent in more detail.

 

In the mean time, they're holding all the money I had with them(only about 3500 or so dollars) until the credit card charges post and they will pay the card off with the funds. The automobile loan he said will only be able to accept certified funds in the form of a money order, which makes no sense to me as I always paid when I was supposed to. He even had the audacity to tell me they would be much more comfortable if I refinanced it with someone else, but they can't force me to so I can keep it if I want. I asked if I was banished completely and he said I would never be able to establish a membership or accounts ever again. I would refinance, but I got insurance through them and I doubt they would refund it if I did that, even though they're doing everything they can to make it unpleasant for me. He told they will send out a statement and that is it, but I won't even get a note or anything for this month. Luckily I remember how much it's for and when it's due.

 

They weren't anything to write home about, but I had had no issues with them in the past. On the other hand, Pentagon Federal Credit Union immediately approved an increase yesterday from 10,000 to 43,000, so that evens out a bit. I don't see it online yet, even though the loan status says transferred.

 

Anyway, just wanted to let people know that they may find you "suspicious" if you have other cards but for some strange reason would like to be using their card more.

 

*The bold and underlined are like that because he specifically emphasised those himself.

 

That's really bizarre. I recently closed my membership, because for the life of me I don't remember why it was established. You'll be better off where your business is valued.

[BDK]

I'd be looking to refi immediately!

[mendelssohn]

See if PenFed can refi your loan.

 

It's bad news, but you might as well cut ties when someone treats you like that. PenFed is infinitely better anyway.

 

CV, add this to your amateur CU thread!

[drew3918]

Id be writing one heck of a letter to whomever is in charge.

+1 and make sure you're heard loud and clear....

[cv91915]

See if PenFed can refi your loan.

 

It's bad news, but you might as well cut ties when someone treats you like that. PenFed is infinitely better anyway.

 

CV, add this to your amateur CU thread!

 

Done!

[mizliz1011]

unreal.

[nbipbm]

I do plan on contacting someone other than the gentleman I spoke to, but this kind of thing just leaves a bad taste in one's mouth. You'd think they would want you to use the card more. I don't see why other cards would cause them to close down the entire membership, instead of just the card. I do plan on going with Pentagon Federal or Digital Credit Union, but the main thing I'm concerned about is the warranty. It was 1500 or something for a five year warranty(bumper to bumper with no deductible), so I don't want to leave and they tell me they're keeping all of that and the GAP insurance that was 500 or something. Once I find out about that, I'll likely take the loan somewhere else, even though 2.74 is hard to beat. I really don't care much about the credit card at all, or the deposit accounts, it's just shocking really. Credit Unions claim they're different then banks because they care about members and treat you like a human, but they clearly didn't in this case. I give them credit for ringing me instead of me being caught off guard when a letter arrives.

 

cv91915, I don't really remember why I opened it either, but was glad I did when Pentagon Federal turned me down for the automobile loan and Eli Lilly accepted the next day.

 

 

I know some people may not think this is the full story, but it seriously is. I was doing nothing with the deposit accounts really and was paying the loan on time. The only thing I can think is they saw new accounts under twelve months old and then me asking for an increase as maybe about to default on everything? I still don't see what the membership or deposit accounts have to do with that. I also can't even see the accounts to see if they charged an "investigation" fee like other institutions do.

Edited August 21, 2014 by nbipbm

[chugs102]

What a friggin joke of a CU. It deserves to go bankrupt.

[shifter]

even though 2.74 is hard to beat

DCU 1.24 or it might have gone back up to 1.49.

[Burgerwars]

Credit unions say their members are also their "owners." I say not really, since they could kick the "owner" out at any time, and not even give a reason. No different than banks.

[Guest]

I still have the ELFCU.. Not sure why.

[sexonthebeach]

I really never understood why people want more credit than they need.

Bragging rights maybe?

Addiction?

When u ask for more credit than u need u run the risk of getting flagged and your accounts getting closed.

That's probably what happened to the OP

[mendelssohn]

I really never understood why people want more credit than they need.

Bragging rights maybe?

Addiction?

When u ask for more credit than u need u run the risk of getting flagged and your accounts getting closed.

That's probably what happened to the OP

Most banks and CUs don't care about your limits with other issuers unless you are not using your credit responsibly.

 

There are so many good rewards cards out there, so why not get as many of them as you can? You might as well maximize your rewards for what you spend.

[hegemony]

I really never understood why people want more credit than they need.

Bragging rights maybe?

Addiction?

When u ask for more credit than u need u run the risk of getting flagged and your accounts getting closed.

That's probably what happened to the OP

 

perhaps because there is no answer to the question: how much credit do I need?

 

how do I know what possible future needs will arise? moreover, often it is more about obtaining cards with rewards and benefits that fit my lifestyle.

[gettinmycreditright]

I do plan on contacting someone other than the gentleman I spoke to, but this kind of thing just leaves a bad taste in one's mouth. You'd think they would want you to use the card more. I don't see why other cards would cause them to close down the entire membership, instead of just the card. I do plan on going with Pentagon Federal or Digital Credit Union, but the main thing I'm concerned about is the warranty. It was 1500 or something for a five year warranty(bumper to bumper with no deductible), so I don't want to leave and they tell me they're keeping all of that and the GAP insurance that was 500 or something. Once I find out about that, I'll likely take the loan somewhere else, even though 2.74 is hard to beat. I really don't care much about the credit card at all, or the deposit accounts, it's just shocking really. Credit Unions claim they're different then banks because they care about members and treat you like a human, but they clearly didn't in this case. I give them credit for ringing me instead of me being caught off guard when a letter arrives.

 

cv91915, I don't really remember why I opened it either, but was glad I did when Pentagon Federal turned me down for the automobile loan and Eli Lilly accepted the next day.

 

 

I know some people may not think this is the full story, but it seriously is. I was doing nothing with the deposit accounts really and was paying the loan on time. The only thing I can think is they saw new accounts under twelve months old and then me asking for an increase as maybe about to default on everything? I still don't see what the membership or deposit accounts have to do with that. I also can't even see the accounts to see if they charged an "investigation" fee like other institutions do.

I got a dcu re fi at 1.24 with a 680 credit score on Eq for a used vehicle at 23k also added in bumper to bumper it was 1700 and GAP for 259. so they are cheaper. I would cancel everything if I were you and go to a better company

[Guest]

 

I really never understood why people want more credit than they need.

Bragging rights maybe?

Addiction?

When u ask for more credit than u need u run the risk of getting flagged and your accounts getting closed.

That's probably what happened to the OP

Most banks and CUs don't care about your limits with other issuers unless you are not using your credit responsibly.

 

There are so many good rewards cards out there, so why not get as many of them as you can? You might as well maximize your rewards for what you spend.

 

I think it is more or less "hater logic."

Examples:

"Why do they have all those cars."

Or, another you may have heard: "Who needs a house that big."

(In the above example.. as if you are the authority on what others need.)

These stars, important people... People you know of by name (big-time basketball players, famous business execs, and, perhaps.. movie stars. Not wanting to cast this to music figures, but, it is what it is, so much crap on the radio these days. Uggggh.) Well.. they all did SOMETHING to get what they have. (Seriously, people. 90s vs "Iggy Iz" and "Minaj." I kill myself now.)

So, by my reasons.. "haters gonna hate."

As to "people having more than they need..." I used to live in an area (Massachusetts) where this logic seemed so prevalent. "Oh, it costs so much to live here, that even with my job income that blows most other people away, I can only live normal, and I don't have much. Why would I have more than I need." This logic constantly fell apart when it came time to then get things for that person's self. But anyways. So, me being from a certain other area (New York, Upstate...) having "as much as you can" has always been encouraged.

 

I think that it is all relative, but we should not subsidize someone's sense of inadequacy by measuring up to what people COULD get, if they maybe made changes, or gave their all.

[mendelssohn]

This thread is actually a great example of why it is beneficial to have a lot of credit with many different banks and CUs. If one shuts you down, you need to have other options. Having a diverse portfolio softens the blow.

 

One of the other issues is that sometimes people can not understand or accept that others may have higher income or different spending patterns.

[iH8cra]

I really never understood why people want more credit than they need.

Bragging rights maybe?

Addiction?

When u ask for more credit than u need u run the risk of getting flagged and your accounts getting closed.

That's probably what happened to the OP

 

You do realize which website you're on, right? It's like going to a firearm forum and asking why people have all those guns.

 

OP is smart to not have all of his or her eggs in one basket. You never know when you bank/CU/CC is going to do something bizarre like this. Always have options.

[Guest]

 

I really never understood why people want more credit than they need.

Bragging rights maybe?

Addiction?

When u ask for more credit than u need u run the risk of getting flagged and your accounts getting closed.

That's probably what happened to the OP

 

You do realize which website you're on, right? It's like going to a firearm forum and asking why people have all those guns.

 

OP is smart to not have all of his or her eggs in one basket. You never know when you bank/CU/CC is going to do something bizarre like this. Always have options.

 

Even with the people with all those guns.. "Haters gonna hate."

[Ron1]

Sorry to hear. It had similar happened to me. They closed my EZ-loan when I applied for credit card. I was lucky. I was able to get my money back.

 

 

Ron.

[Baby Joe]

I really never understood why people want more credit than they need.

Bragging rights maybe?

Addiction?

When u ask for more credit than u need u run the risk of getting flagged and your accounts getting closed.

That's probably what happened to the OP

 

kind of a slippery slope there, isn't it. How do you really know how much credit you "need"? You may think you only need 20K but a medical problem can quickly change that. You really never know how much you need.