Has your Credit Card limit been reduced?

never-in-doubt · 17 May 2009 at 9:47AM

In line with a recent hot topic on the Banking forum, thought it'd be a good idea to see what peoples opinions are with regards to Credit Cards.

Original thread is found here: http://forums.moneysavingexpert.com/showthread.html?t=1655559

It would be interesting to hear stories of banks/lenders reducing or cancelling your credit card limit and/or APR. This is more important if you were forced into hardship or debt as a result.

Please include the following details:

Current account provider
Credit Card limit before change
Credit Card balance at time
New Credit Card limit after change
Whether this happened due to the way you rrun your account
Any charges incurred as a result
Whether you were notified beforehand

Thanks for your feedback...

Simon_Preston · 17 May 2009 at 10:15AM

So far, all my credit cards haven't had any reductions. At one point last year, the APR on my HSBC card was at 32.9% (!!!) but a quick phone call and it was reduced to 15.9. Apart from that (touch wood) everything is AOK.

oceanscape · 17 May 2009 at 12:03PM

Current account provider: Virgin Atlantic AMEX
Credit Card limit before change: 10,600
Credit Card balance at time: 900
New Credit Card limit after change: 10,100
Whether this happened due to the way you rrun your account: The 0% deal on my BT just ended, so....
Any charges incurred as a result: no
Whether you were notified beforehand: yes

They also doubled my APR to nearly 30% at the same time.....probably trying to get back some £££ after the 0% deal :rolleyes:

hotmama · 17 May 2009 at 1:37PM

Current account provider: Virgin
Credit Card limit before change: 5000
Credit Card balance at time: 333
New Credit Card limit after change: 10,100
Whether this happened due to the way you rrun your account: The 0% deal on my BT just ended, so....
Any charges incurred as a result: no
Whether you were notified beforehandSkycard
1000- then 550 now 350
340
350
No, paid off as aiming to clear all debts
No- only used for small purchases
No- no warning, bought TV at 333 then paid for shopping at 50- it got declined- then letter landed to say limit reduced

hotmama · 17 May 2009 at 1:39PM

Current account provider: Virgin
Credit Card limit before change: 5000
Credit Card balance at time: 2900
New Credit Card limit after change: 3,100
Whether this happened due to the way you rrun your account: The 0% deal on my BT ended in Feb
Any charges incurred as a result: no
Whether you were notified beforehand: NO- APR now 24.9% only got 200 left to pay off!!!

Current account provider: Skycard
Credit Card limit before change: 1000 then 550
Credit Card balance at time: 333
New Credit Card limit after change: 350
Whether this happened due to the way you rrun your account: usd for small purchases, paid off regularly
Any charges incurred as a result: no
Whether you were notified beforehand: No- no warning, bought TV at 333 then paid for shopping at 50- it got declined- then letter landed to say limit reduced

Moggles_2 · 17 May 2009 at 4:34PM

Not one of my credit cards has reduced my limit ... yet.
'Hope (touch wood) I'm not tempting fate by posting :cool:

lewpster · 17 May 2009 at 7:55PM

Current account provider: Barclaycard
Credit Card limit before change: 2600
Credit Card balance at time: 2350
New Credit Card limit after change: 2,500
Whether this happened due to the way you run your account: I occassionally use the card but always pay about £100 off per month
Any charges incurred as a result: no
Whether you were notified beforehand: I got 2 days notice!

dylansmum · 17 May 2009 at 8:09PM

I have one that is only ever paid off in full - rarely used except if abroad/internet buying. I have another that I need to cancel as never use! But so far

EGG limit 10500 - no change
Virgin 7K and no change.

I make them no pennies so dunno why?

cifpower · 17 May 2009 at 8:26PM

Both have mine have increased their limits recently

Tribulation · 17 May 2009 at 10:14PM

Wife has had a Littlewoods card for around 4+ years.

They kept raising the limit. When it got to around £4500 my wife asked them to reduce it to £2000.

She's used it every month. Never paid the balance off completely. Might go 6 months nearly up to the limit, then pay £1000 off etc. Never ever missed or been late with a payment.

She paid around £1500 off a few months ago taking the balance to £200.

Received a (very shirty in my opinion) letter stating that they've reviewed her account and have reduced her limit to £250, and there's no way they will consider reviewing their decision at this moment in time.

Wife isn't bothered, has other cards should she wish to use them.

What I don't understand though is that I would have thought my wife was the ideal customer. Never late, always stays within her limit, always pays interest as never pays her balance fully off.

We've just received our replacement cards (I'm a named card holder). Our old ones were valid for 1 1/2 years. Our new one is valid for just 8 months.

fraggle-111 · 17 May 2009 at 10:55PM

Just wondering if anyone has any advise on my problemo... have had my credit card with Providian for a number of years now. About four years ago i had virtually paid off the balance and then my boyfriend (at the time) had a little trouble and i offered him to use my credit card to make a cash payment as long as he paid the repayments, which he agreed. Turns out he never gave me a penny and left me in a whole heap of debt. I struggled with the repayments and then did not make any for a number of months. I then took out a loan to pay the majority, cut up the card, and asked them to set up the minimum payment i could pay to clear the account, i also asked them to cancel the payment protection as i didnt even know i was paying for that as well. The balance to be paid was £300 and i think they had reduced my credit limit from £2500 to £350. As i could see the payments going out of my bank acc, i just forgot about it. I then moved and didnt even think of telling them as to me, the account was all but closed. Not so long ago i opened a recent statement and to my horror the balance has not gone down, even though i've been making payments for years.. the balance is now nearly a £1000! They have been charging me for payment protection still, the minimum payment has not covered the interest etc and obviously this has taken me over my credit limit for which they then charge an additional cost of £12 per month..

My question is.. CAN THEY GET AWAY WITH THIS.. AND HOW WILL I EVER BE ABLE TO PAY THIS BACK.. AS I DON'T HAVE THE CASH TO PAY THE BALANCE OFF. :-(

Any advise welcome... and yes i will not be loaning anybody money again!!

Thanks in advance ..

Has your Credit Card limit been reduced?

Comments

Categories

Get our FREE Weekly email full of deals & guides - and it’s spam-free