credit card limit reduced with no notification

catman_2

Hi
I am new to computers and forums but I dont know how to seek advice, Skycard has reduced by credit limit to less than half what it was put up to by them three weeks ago, they did not inform me until i contacted them, it cause a major embarrisment when i went to use the card. i always pay the card off after each statement comes in, any help or advice would be helpful,

Bisoy

Are you paying the minimum or the full balance in full?

BONJOEY

i would phone up and ask why it was reduced, as it was only put up a few wekks ago? i would also advise you not to use your email address as your name xxxx

sdj25

I can't believe they didn't tell you about it. It is in breach of their Terms & Conditions. Tell them of this when you speak to them:

We will tell you your credit limit when you first receive your SkyCard. We may change your credit limit depending on our assessment of your account and will tell you about these changes by writing to you.

Let us all know how you get on

SkyCard T&C's

The_Boss

May I ask - what was your previous limit, the limit they increased it to, and the limit it was reduced to?

Also, did you request that they increase it in the first place or did they do it?

catman_2

Bisoy wrote:

Are you paying the minimum or the full balance in full?

hi thank you for your reply. I am paying the full balance and have done since getting the card about 5 months ago

catman_2

H
start limit was £1000 they inceased to £2000 and now reduce to £620 and no i did not request an increase

sdj25

Dave,

Do you have access to your account online? Has there been any sort of strange uses on there? It just seems bizarre that they would do such a thing.

Astaroth

Banks are getting slated for giving people too higher credit limits that they cannot afford.... there have been a fair number of posts on here recently about people having their limits slashed (and mainly from those with the lower end of the spectrum limits to start with)

Ultimately you can call them and ask why they didnt notify you but of cause they could well have sent you a letter and it has either got lost in the post or you have binned it thinking it was junk mail

bargains83

dave&#64 wrote: »

hi thank you for your reply. I am paying the full balance and have done since getting the card about 5 months ago

While its unjustifiable what they have done, the fact that you pay the card off in full every month might actually be the problem. Essentially you are using it like a debit card, they aren't making any money from you holding the card and they aren't getting a full picture of how you handle and maintain the credit facility. Despite the fact that in the moneysavers eyes this is precisely how a credit card should be used.

The nature of your transactions may also be linked to it. Credit card companies don't like people to cash advance too regularly although from what you've said so far it doesn't sound like this is something you do.

ManAtHome

Even if you pay it off each month, you're still ading to the coffers as they charge retailers. In fact with bad debt increasing you should be less of a risk - if you go bankrupt that's a few yearsworth of interest down the tubes.

What are the advantages of this particular card - I'd be inclined to get a different one and bin it, not because they'd reduced the limit, but as they hadn't informed me.