Barclaycard closing account?

8ofspades

My OH just showed me an email he received from Barclaycard saying that, as he doesn't use his card, they will be dropping the credit limit to £50 and if he doesn't use his card they will be closing it in September.

What strikes me as unusual is I've also got a Barclaycard - and he has probably used his in the past year, whereas I have not used my card in several years.. but I've never had an email like that and my credit limit remains quite good.

It just seems odd to me, the email wasn't phishing for any information though, no dodgy links or anything.

Anyone else had this? I wonder if his card was some sort of credit builder card, it was his first credit card with some ridiculous % rate.

[Deleted User]

It's very common - nothing odd at all.

8ofspades

Ahh ok, thanks. I've not heard of it before, if anything I thought they tried to get you to hold on to your cards. The only info I could find on Google were people who had had bad usage experiences (missed payments, declined cards), whereas OH has always just used it occasionally and paid off (maybe it's the lack of interest).

SnowTiger

8ofspades wrote: »

My OH just showed me an email he received from Barclaycard saying that, as he doesn't use his card, they will be dropping the credit limit to £50 and if he doesn't use his card they will be closing it in September.

What strikes me as unusual is I've also got a Barclaycard - and he has probably used his in the past year, whereas I have not used my card in several years.. but I've never had an email like that and my credit limit remains quite good.

It just seems odd to me, the email wasn't phishing for any information though, no dodgy links or anything.

Anyone else had this? I wonder if his card was some sort of credit builder card, it was his first credit card with some ridiculous % rate.

It happens, however what you've mentioned is an extreme case.

Natwest wrote to me a few years ago to tell me that as I'd only spent about £200 on my credit card during the past two years they planned to lower my credit limit. They gave me a month's notice and provided a telephone number I could call if I wished to discuss it.

Banks group us in several boxes with similar customers. I guess you and your partner are in different risk boxes.

8ofspades

Yeah, I've had a credit limit lowered from lack of usage before, it just surprised me that they are going to close his account.

[Deleted User]

Cards and accounts cost money to maintain and run.

Barclaycard spent a lot of time keeping poor quality accounts open a few years ago. They're looking to become a bit leaner.

EarthBoy

Over the years I've had cards closed for lack of use from Halifax, HSBC, Yorkshire Bank and Nationwide.

wizzywig27

What I dont really understand about this new approach from lenders (I appreciate its the FCA) is I get keep getting emails telling me I am not paying enough off my card, and if I don't meet the expectation that I am reducing my debt then they will look to close my account.

So basically you dont use your card, they close it. You do use your card, they close it. I appreciate in my instance they could class it as 'persistent debt', however the letter implies if you carry any balance for long durations then they would look to close it.

Anyway, I once had a Littlewoods account I didn't use so they reduced the limit, seems commonplace across the industry to be fair.

[Deleted User]

It's not quite that simple.

It's more if you don't use the card and are therefore an unnecessary cost to the business, they close your account.

If you demonstrate poor financial management, and you're at risk of getting into a worse position, they'll close it.

The vast majority of people are firmly in the middle and will carry on having open accounts.

8ofspades

Thanks for the comments. It just surprised me as I have had quite a lot of credit cards and many have been inactive for long periods without being closed, especially as I have a Barclaycard too that has been unused for longer (maybe my time is coming, or maybe my previous usage deems me worthy of holding onto, who knows!).
Knowing it's normal has me reassured.

wizzywig27

Deleted_User wrote: »

The vast majority of people are firmly in the middle and will carry on having open accounts.

But what is 'firmly in the middle'?