Unauthorized credit searches from Barclaycard when reducing limits?

Firsttimebuyer_4

I got a letter from Barclaycard today saying that from 12th July my limit will be decreased from £3000 to £1800 due to information from credit agencies.

2 things.

1. How can they give me such short notice (3 days). I thought they would have to give me more. What if I bought something yesterday bringing me up to £2500... Would I then be asked to pay it all back in 3 days, incurring charges etc etc... Luckily I havent made a purchase but I could have.

2. They say it is due to information from credit agencies. I have not authorized them to search my credit file. Can they do random searches like that and does it show on my credit file?

Due to that letter I will be cancelling my card next month when I have paid off the balance. I have been a customer for 6 years and never gone overdrawn, never paid late. There's always been a small balance on there so they are actually making money from me, but still they are playing silly!!!!!!s.... Well, two can play that game....

YorkshireBoy

Firsttimebuyer wrote: »

I have not authorized them to search my credit file.

Yes you have, when you agreed to their privacy policy.

Can they do random searches like that

Yes they can.

and does it show on my credit file?

Yes, but only on your copy. Other lenders can't see the search that Barclaycard have made.

ontheup_3

I think youll find its in your T&C,s that they can look as a condition of you having the card , why not ring them up and ask to speak to the "customer loyalty team" and see what they can do to put it back to the way it was or better

Dylanwing

There are a couple of threads on this subject, one near the top of this Forum, and one started by me a couple of Months ago that provoked some interesting debate.

loveandlight

American Express also do this. A few years ago my OH had his Amex card taken away from him even though he didn't owe them anything and had never defaulted. He was however in a lot of debt and had a couple of CCJ's all through no fault of his own (business deal went bad) but Amex still wrote and told him they wanted their card back. That was in the U.S. though so they have obviously started doing the same over here now. Are you sure you don't have anything adverse on your file? I would get a copy and see.

Firsttimebuyer_4

I checked it a couple of months ago and there is nothing adverse on my file. I've got a lot of debt but all is manageable....just about.

Amex did the same to me last year but I suspect that is because i only got their card for the 4.4% BT for life and never used it

jonnyb

I got a letter from Barclaycard the other day, telling me that I am being upgraded to a platinum card. No merntion yet of any change in credit limit.

I am in a similar position to the OP, a customer of theirs since 1991, never missed a payment, pay balance in full every month, despite some big purchases recently.
So there does not appear to be much consistency to their behaviour.

Add to that, my current credit report shows me as high risk and highly indebted, due to a few 0% cards with large balances, plus a few futile attempts to get a 0% purchase card to stick my honeymoon on.

So it can't just be down to data from the credit ref agencies.