Lloyds & Halifax closing my account and credit cards

kingkhan9

grumbler wrote: »

They can't remove the offer if you don't break the T&C (miss a payment).

grumbler wrote: »

I see absolutely no reasons for this concern.

That gives me bit of assurance to speak to them. I will speak and update. Even though the letter says that I need to continue to make the payments, it doesn't clearly say whether the 0% offer will be there or removed. That is the only concern I have.

Another question is suppose if my credit limit is 5k, I presently have 4k balance and if they close this account and let me pay the balance, my limit will be 0 and balance will be 4k. which will be greater than my credit limit. Would that affect my credit rating? Am I thinking too much

Thrugelmir

kingkhan9 wrote: »

Am I thinking too much

Definately. The bank has to adhere to the terms and conditions of the account.

Gromitt

kingkhan9 wrote: »

Another question is suppose if my credit limit is 5k, I presently have 4k balance and if they close this account and let me pay the balance, my limit will be 0 and balance will be 4k. which will be greater than my credit limit. Would that affect my credit rating? Am I thinking too much

No, your limit will still be 5K, but further transactions will simply be declined. Keep to your T&Cs and you should be fine. Miss one payment by even a single day late however and you can kiss the promotional period goodbye.

jonesMUFCforever

Gromitt wrote: »

No, your limit will still be 5K, but further transactions will simply be declined. Keep to your T&Cs and you should be fine. Miss one payment by even a single day late however and you can kiss the promotional period goodbye.

If your accounts are being closed I would suggest that your limit will be reduced to the outstanding balance.
Forget about spending anymore on this card.

PaulW922

An overdraft balance can usually be demanded back immediately but the credit card debt is regulated under the CCA 1974, and unless there is something else we haven't been told about, you may continue to make repayments in accordance with the terms of the agreement. That would include the 0% deal. The bank cannot demand the full amount unless you default on the agreement or if there is some other breach of the T&Cs.

JuicyJesus

PaulW922 wrote: »

An overdraft balance can usually be demanded back immediately but the credit card debt is regulated under the CCA 1974, and unless there is something else we haven't been told about, you may continue to make repayments in accordance with the terms of the agreement. That would include the 0% deal. The bank cannot demand the full amount unless you default on the agreement or if there is some other breach of the T&Cs.

Totally correct.

Gromitt

jonesMUFCforever wrote: »

If your accounts are being closed I would suggest that your limit will be reduced to the outstanding balance. Forget about spending anymore on this card.

They can cancel spending without reducing the credit limit. I've got a few cards that I've cancelled, but I can still view the details and they still say I have a 5K limit, despite the fact the card has been cancelled and no longer reports to the CRAs.

If they intend to reduce the limit then they need to write to your separately about this.

kingkhan9

Gromitt wrote: »

They can cancel spending without reducing the credit limit. I've got a few cards that I've cancelled, but I can still view the details and they still say I have a 5K limit, despite the fact the card has been cancelled and no longer reports to the CRAs.

If they intend to reduce the limit then they need to write to your separately about this.

So you mean to say cancelling doesn't mean that the credit limit will be 0. I will be speaking to them after Christmas to find how it will effect. But if you guys mentioned is right, then I will be over the moon. Thanks for your inputs. At the end of the day, all I am interested in the balance transfer offer that is running on 0% and they let me pay minimum payment until the end of the promotional offer and finally I will make full payment

anamenottaken

kingkhan9 wrote: »

There was no payments made to India or any other country from this account. Also cannot really understand why you picked India in specific. I can understand that there will be a problem if you are receiving money from India, but what is wrong in sending it to India. Bit surprised here.

Poster looked at your user name?

worried_jim

kingkhan9 wrote: »

Hello

Recently I received letters from Lloyds and Halifax that they are closing my current accounts and credit cards after some account review. They are not really giving me any reasons.

I really don't mind them closing, but they have to tell me the reasons.I am very disappointed with this. On top of it, I recently applied for Halifax credit card and they issued me and I have done a balance transfer, so I still got about 22 months 0% offer left. If they ask me to repay that now I will be in real trouble.

Can you guys help me to fight with this.

What are my rights?
Can I ask for the same 0% offer period to repay?
Are there an ways to stop closing this accounts?
Please kindly give me some advise.

By the way I don't have any history of illegal use etc. All I am doing is using both the accounts as my personal accounts and not for business at all
Thanks

I suspect you have been a bit dodgy, now they have caught you you will get no reason for closure.