Bank of Scotland Taking my credit card away. Advice needed.

never-in-doubt

nickmack wrote: »

I'd say this is (at least a partial) reason why a provider would close an account although they would not admit this.

The usual line is for the customer to go and check their credit report. This often yields no useful purpose other than maybe tempting the purchase of a next to useless CRA 'Credit Score'.

Of course they cannot admit it - it'd be suicide from the banks point of view. Whilst I appreciate you believe this to be the case, I for one do not think a bank will close an account just because it is making nothing from you - at the end of the day so long as you're not costing them money it makes no difference.

Until such time they actually admit to this, similarly until someone successfully pursues it through the courts or whatever - we'll never know 100%.....

dtaylor84 wrote: »

Untrue. They can close the account for any reason they feel like, if they give the required notice.

No, you'll find they cannot close an account because they are not making money from you! They would not and could not admit to this! Whether they do or don't is another debate, but my point is valid in that they will not write to you saying 'we've closed your account because you are not profitbale to us' - just wouldn't happen so it is hearsay.

dtaylor84

never-in-doubt wrote: »

No, you'll find they cannot close an account because they are not making money from you! They would not and could not admit to this! Whether they do or don't is another debate, but my point is valid in that they will not write to you saying 'we've closed your account because you are not profitbale to us' - just wouldn't happen so it is hearsay.

1. Yes, they can - it is entirely legal for them to do so, and whether they actually do it or not doesn't alter that fact.

2. They can also close your account because it is costing them money without giving a reason, or by giving a different reason. That would still be closing your account because it was unprofitable. I never said they would write to you and tell you they were closing your account because it was unprofitable, I was merely refuting your assertion that they can't close an account for being unprofitable so there must be a different reason for the OP's account being closed. There needn't.

See, for example, Egg.

never-in-doubt

dtaylor84 wrote: »

2. They can also close your account because it is costing them money without giving a reason, or by giving a different reason. That would still be closing your account because it was unprofitable.

Yes they give different reasons, as I say - they will never admit to the 'real' reason!

dtaylor84 wrote: »

See, for example, Egg.

Is that right?

Over recent weeks many Egg customers have been upset and outraged after Egg officials decided to close the credit card accounts of around 161,000 customers, claiming that the credit profiles of the customers affected had deteriorated since the originally opened their credit card accounts

Citibank, reviewed over 2 million credit card accounts, and contacted 161,000 customers to state that their credit card facility was being withdrawn because they posed a high risk. However, Egg was later accused of cancelling these accounts because the customers were good payers and did not generate enough profit for the bank.

Like I say - it is hearsay! I am not going into this with you, I made a tongue in cheek comment which is steadfast - nothing is in black and white that will confirm the banks operate this way! Nothing!

ElkyElky

never-in-doubt wrote: »

Yes they give different reasons, as I say - they will never admit to the 'real' reason!



Is that right?

Like I say - it is hearsay! I am not going into this with you, I made a tongue in cheek comment which is steadfast - nothing is in black and white that will confirm the banks operate this way! Nothing!

We could kidnap a bank manager and torture him until he tells us their inner most secrets? :think: We could sell those secrets to the Chinese!

Jemma-T

nc1873 wrote: »

Bank of Scotland Taking my credit card away.

Technically, that's our card. Just on my news programme -26 seconds- that the Bank of England gave £62,000,000,000 (sixtytwobillion) of emergency lending to HBOS and RBS 'on the quiet' just as all these problems were happening. This was all kept secret. 26 seconds.

I'm all for banks closing bad, useless, duplicated or dormant credit card accounts because they (we) don't have the money to cover the credit limits.

If you think that's unfair tell them in writing and take your business elsewhere.

Almost all our banks are still essentially bankrupt and we all have to pay for that somehow for quite some time.

speedbird1973

My own feeling is that your £7000 limit is yours. It's £7000 they must have in reserve which they can't lend to anyone else. If you're not using it you'll lose it.

CC providers have it in their T&C that they can withdraw their facility at anytime.

I had a card with HBOS, they did reduce the limit slighty, but I closed it a few weeks back, with lots of whining and begging and offers to stay. The finished by saying "can we call you back, or write in 6months with another offer". I closed my Citi credit card a few days later with "no probs, bye". It's just different banks' attirtiudes to people.

Really don't worry about it! The only thing damaged is your ego. Not your rating

woody01

binaryuniverse wrote: »

Sadly there is very little you can do. It is their right to decide whether to offer you credit and it would seem, in your case, that as you are not making the bank much money they are cancelling your account.

It isn't right. It isn't fair. Frankly I think the goverment should be doing something about it. But until that time they can do this.

What isn't right or fair?
The credit card isn't the customers property, it is the banks.
The bank decide whether it is fair or not, and not the customer.

It is their right, however annoying, to withdraw credit from any customer at anytime.

Joe_Bloggs

Some say it it is wise to keep a long held card to help with credit scoring and credit card applications. Is this true ? If it is then the OP should consider applying for another elsewhere before the old one vanishes.

The only long term benefit that I have ever had from a credit card is purchase rebate. That is a certain percentage of what you spend is given back. Zero percent offers do not last. Hence it is often best to chop and change, perhaps even haggle before you do.

If the OP has savings with BOS then perhaps they should consider moving a significant proportion of them elsewhere if a higher rate of return can be found. If you move your savings to a place that also offers interesting credit cards then who knows what may happen ?

If the OP has a reward current account then keep it.

J_B.

izools

Yes that is indeed correct that long standing accounts left open (as long as it is not excessive) can help one's score greatly. The stricter creditors (MBNA especially) rate customers who leave their accounts open for years and years higher than those that flit from card to card as the rates change etc.

OP should certainly take out another card or two from another source, as no active credit card accounts could damage their credit worthiness

nc1873

Thanks for all the response's guys.

Been some development on this.

After being advised to check out my credit score with Equifax and Call Credit i found out that my credit report with Equifax is perfect just like it is with Experian. However the report with Call Credit is full of errors.

Put simply i had 9 current or previous accounts with Experian and Equifax which was correct but 16 with Call Credit which is wrong.

These included defualts by previous tenants and their debt issues.

Nowi created a disassociation with my family and house a few years ago as i couldn't get credit. Once this was done i have since built my credit up and now its being taken away from me because of this stupid Call Credit.

It's a clear mistake by Call Credit and given that the other 2 have my report as flawless how can this happen?

I have since contacted the bank again and the manager told me that they would be looking into this at their side now that i have given them this information. Before they basically told me to deal with it myself.

I have sent 2 e-mails to call credit and am still awaiting a reply.

I don't see why i should need to chase this up and write letters to Call Credit opening a dispute when the other 2 major credit report companies are perfect and they for whatever reason are not.

I'm also worried that WHEN this gets resolved it may have lasting damage on my Credit Report/Score.

:mad: