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Don't Pay Big Payments on Your Credit Cards unless you can really afford it!!!!
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Oh yes, this big "credit status" symbol thing.Agree but her pride has been hurt. What limit do you put on that!Since when has the world of computer software design been about what people want? This is a simple question of evolution. The day is quickly coming when every knee will bow down to a silicon fist, and you will all beg your binary gods for mercy.0 -
Oh yes, this big "credit status" symbol thing.
what exactly do you mean?
whats big about having credit - I paid it but did not agree with anyone to lower the limit - it may affect people in different ways but in this climate there is certainly no "credit status symbol thing"
anyone who is bothered about all that must be very shallow0 -
What is the problem then? They have lowered the limit - so what, it is there credit card and money they can do what the hell they want, if it is that much of a problem vote with your feet and find another card provider, loyalty means nothing in the current recession.Hackneygirl wrote: »what exactly do you mean?
whats big about having credit - I paid it but did not agree with anyone to lower the limit - it may affect people in different ways but in this climate there is certainly no "credit status symbol thing"
anyone who is bothered about all that must be very shallowSince when has the world of computer software design been about what people want? This is a simple question of evolution. The day is quickly coming when every knee will bow down to a silicon fist, and you will all beg your binary gods for mercy.0 -
There is absolutely NO evidence to suggest that paying off a minimal amount or the full amount will increase/reduce your chances of having your credit limit slashed. Limits are usually reduced based upon info provided by CRA's, account mismanagement, system/human error etc and sometimes the decisions can seem baffling and annoying to say the least.
Card companies have been reducing limits for years, moreso the last couple of years as they are looking to reduce exposure to risk. Of course they can remove any credit issued with notice and without explanation whatsoever.
Because the OP had her limit reduced doesn't mean anyone else would if they also paid off £3k as there are far too many factors built into credit allocation.
Customer loyalty means nothing to any banking/credit organisations in todays society, just look at the number of offers available to new customers only !0 -
Because the OP had her limit reduced doesn't mean anyone else would if they also paid off £3k as there are far too many factors built into credit allocation.
Customer loyalty means nothing to any banking/credit organisations in todays society, just look at the number of offers available to new customers only !
I agree with the customer loyalty meaning nothing to any bank right now but please do not think this is something just affecting me personally because if you take the time to read this thread you will see that many people agree that if you do think that by paying off a substantial part of your credit card will ensure you retain your credit limit in this financial climate - it won't
The banks and credit card companies will take underhand measures to take back that money - of course it could be a good thing in the long run but remember you won't have a choice once that money is paid into your/their credit card account
So be warned everyone :wave:0 -
I think you haven't quite seemed fully through the smoke. She never wanted a debate. Her post was to warn others what might/probably happen if they pay a large chunk of the card debt off. Most people would think along the same lines of Hackneygirl by doing that very thing totally unaware that while they are thinking they might be doing themselves a favour interest wise, the later fallback cusion of still having the same limit on the card probably won't be there. It was simply a warning of what COULD happen and nothing else.
I agree and I for one am thankful she has posted it. I was considering paying off a large amount on a card and it's made me sit down and do some sums at the very least.
It isn't something I had considered.Got Halifax Classic to reduce my interest rate by 5% woohoo - 10/06/08 Thanks MSE!
Another 3% shaved off 10/12/08
ANOTHER 4 % June 09:beer:0 -
But surly if you owe the money to the bank then if you have the means and intention to pay it off why not?
If the bank reduce your credit limit then you must appear as a risk to them, if you do not agree then vote with your feet and bank else where or write a letter of concern to the underwriting dept and explain that you do not agree with the decision and see what transpires from that.
Since when has the world of computer software design been about what people want? This is a simple question of evolution. The day is quickly coming when every knee will bow down to a silicon fist, and you will all beg your binary gods for mercy.0 -
Hackneygirl wrote: »I agree with the customer loyalty meaning nothing to any bank right now but please do not think this is something just affecting me personally because if you take the time to read this thread you will see that many people agree that if you do think that by paying off a substantial part of your credit card will ensure you retain your credit limit in this financial climate - it won't
The banks and credit card companies will take underhand measures to take back that money - of course it could be a good thing in the long run but remember you won't have a choice once that money is paid into your/their credit card account
So be warned everyone :wave:
I don't think you grasped what I said at all. Don't worry, i don't believe that you're 'special' and it's only happening to you, like I said credit card companies amend credit limits (up and down) all the time, and have been doing it for years, but it has nothing whatsoever to do with paying large amounts off. I'm not sure why anyone would be so naive to think that paying off large amounts would guarantee a credit line. Nothing guarantees a credit line, even those with excellent credit ratings can and do have their limits lowered from time to time.
What exactly are the underhand measures you speak of ? I certainley don't see any in this thread
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