AMAZON CARD apply destroy your credit limit

BatOutOfhell

oki25 wrote: »

If you have been passed to Vanquis by MBNA then you need to seriously check your finances, your credit report must bee screaming RISKY, you can write to Experian if you spot any mistakes, good luck!

Actually I've just checked my credit report - it's all correct. I am probably not ENOUGH of a risk - having no credit card debts, no overdrafts and no loans other than the mortgage which has never been in arrears.
So there.....

The point I was making was that Amazon/MBNA don't even have the courtesy to reject people, they just pass on your details to someone else. That's extremely bad customer service and should serve as a warning to people - if that's how they treat people at the application stage, how bad are they going to be once you become a cardholder?

property.advert

I think it is quite simple. Your £15800 limit was based on your history with them and not on a monthly review of your credit file (presuming your limit grew over time). Now you have applied for, in their eyes, additional credit and their software is screaming warning signals as you seem to have masses of available credit already. The fact you may want a better deal or a special offer is lost on them and more importantly, lost on the crap software programmers and their misunderstanding of logic and decision tree programming.

However, as someone who also had limits well into 5 figures on multiple cards at one time, there is really no reason to require a massive limit because if you can actually afford to buy things routinely for £10,000 plus, then you have the cash to pay for them.

thenudeone

ElkyElky wrote: »

They aren't required to give 30 days notice before lowering your credit limit or revoking their facilities. If they did, don't you think everyone will be maxing out their cards so MBNA couldn't take it away?

It is afterall, their credit card.. they can do what they wish. You don't have a right to the card.

I can tell you now the Ombudsman will laugh your complaint out the window I'm afraid.

The Ombudsman hasn't. I've just received a letter stating that they have written to mbna asking for information.

The terms of my card state that they will not withdraw the facility with less than 30 days notice unless there is a significantly increased risk that I may be unable to make repayments. (I can't provide a link because the terms to my card aren't online. The terms for new applicants do not mention the 30 day time limit any more.)

Therefore, I believe, they have to demonstrate to the Ombudsman that this belief was reasonable, when (by the time of their deadlock letter) they knew that I had sufficient cash savings to pay off ALL outstanding loans and credit cards.

nomoneytoday

When I opened a 2nd MBNA card they added the limit on both cards to both accounts.
Using made up figures, there was £10 limit on 1 and £20 limit on the other, they switched it to £30 on both (£60 total)