halifax credit limit reduced

dougall_2

hi
i have recently received a letter fromm the halifax informing me that my limit has been reduced from £8900 to just £500 i am livid to say the least as i have never missed,defaulted or been late with a payment i have phoned them asking for an explanation but they seem to struggle to understand that i have never missed a payment been late with one or even defaulted
i have been using the credit card to pay for items regarding my up and coming wedding and was using the card for insurance purposes and once receiving the statement paying the full amount off
in an earlier thread i have read that it could be that it is for the above reason they dont make any money
can anyone shed any light on this matter as dont want to go both barrels into my local branch as yet
many thanks

rebel2

MMMMMM, This happend to me as well with Abbey who had just changed to MBNA,surprise surprise!. I too had never been any trouble to them, never failed to pay, and have a cheque account, and other accounts with them that were very well run. When I enquired why they had reduced my credit limit to £500 they said they could not discuss the details because of the data protection laws and directed me to their complaints procedure.I duly complained for them to cancel my card alltogether! A few months later abbey (Mbna) sent me a letter asking why I had not used my card in the past 4 months!!. I rang them again to say it was because they had DELETED IT!!. I was informed that if I apply now on the phone there and then I would get it back,I did,and was rejected!. And guess what/ I have had 4, yes four invites to re-apply,all I have to do is sign it says!, so I did and guess what? I was turned down 4 TIMES!!:rotfl:. What a joke these two Banks are, I wish they would go bankrupt and send the Spanish back to Madrid:mad:

Penny-Pincher!!

In your terms and conditions it states that they can reduce your credit limit at any time or cancel your card completely and they dont have to explain why.

If you kick too much of a fuss up, they could cancel your card altogether.

PP

kaisersoze_2

Banks are a business at the end of the day and can choose who they do business with. Halifax have to keep £8900 to one side as it were to cover your credit limit and may just be reducing their balance sheet by getting rid of non profitable customers.

dougall_2

thanks for replying
once the statement comes through i will pay off the balance as i usually do each month and walk into my local branch with a pair of scissors and cut the thing up in front of them and tell them thanks for the 18 years i banked with them

dougall_2

kaisersoze
i fully agree with you but i have been spending quite a few quid on my card recently with my wedding coming up it wasnt my choice to set my limit at £8900 it was theres but what i am most annoyed about that is that they wont tell me why and also the drastic cut to reduce it by £8400 is taking the michael

Bob_the_Saver

Strange, we've got lots of cards, paid off in full each month and they're increasing our some of our limits. I think they have a a reason, but it may not be correct.
Obviously if it's shAbbey nothing surprises me, they just sent a card to an address vacated 6 years ago even though they've been sending statements to the correct address (wrongly spelt mind you). Maybe that's why we hardly ever use that one.

Dan:_4

Every month I pay some money on my Halifax CC account, they are reducing the limit by the same amount.

Really don't know why.

Risco

I had my credit card limit reduced from £2000 to £350 in the same month my other card was increased from £200 to £800. Now of course I thought this was strange as like you I never missed a payment. So I rang up Natwest and complained, they told me there was no reason for the reduction and would apply to get it reinstated. Within 2 days I got a phone call apologising that some people had their limit over last few days reduced in error.

This may well be the case with yourself. I would give them a call and see what they say. My limit has been restored and all is good.