Barclaycard closing account?

[Deleted User]

Those are using their cards but not showing signs of distress.

wizzywig27

Deleted_User wrote: »

Those are using their cards but not showing signs of distress.

To clarify, I pay my bills every month, on time and am never over the limit. I am not talking about myself here, just a general conversation. Put simply. Barclaycard feel I could be paying more towards it, which I am.

But still, I could have a 5k limit, run a balance of £2500, constantly pay over the amount (by say £100), then spend on it again (up the approx £2500) and they would say, 1) I either dont need the extra £2500 and drop it, or 2) I am not paying enough!

see my point?

[Deleted User]

They could do, but it's very unlikely. Accounts aren't micro managed to that degree and what you're demonstrating there is moderate risk behaviour.

wizzywig27

But thats what I did, pay more off, then spend a little bit more. They dont like it and say I am not clearing my balance so I have a year to sort it. Like I say I am now working to that end and pay more and dont spend it, but ultimately it does seem like you cant win

another view is why offer (say...) a 5K limit, because if the expectation is that someone clears it (or the majority) every month just to keep their card running, whats the point, you might as well pay cash.

[Deleted User]

But clearly you can win. I've had dozens of cards over twenty odd years and never had one closed. If lenders really did what you said and closed cards if you used them and close cards if you didn't, no one would have cards, which is clearly not the case.

If you pay cash, you lose section 75 protection, worsen your cashflow, miss out on benefits and other positives of using a credit card.

You don't need to pay interest to benefit from using a credit card.

wizzywig27

I appreciate all the points made, but in reality. the (average) customer is not going to have 5k lying around. Again I appreciate running a balance on a credit card for long periods is not advisory, but I still think the points I have made are valid ones.

Paul_DNAP

I had a Mint card (RBS?) - and it came for the card expiry date and instead of a new card I got a letter saying that since I hadn't used it since the last new card was issued they'd not be sending me another and will close the account, and I thought, fair enough.

MABLE

This has happened to me with Tesco cc but they gave me 3 months notice to use the card or the account would be closed. I have had two of these warnings from them over the last five years. I use it now for a regular payment.

Penelopa.Pitstop

Tesco closed my card in past but I wanted to close it anyway, so did nothing after receiving the letter.

Amex recently sent letter to my husband, telling him that he didn't use the card in last 12 months, so if he's not going to use it again in next 3 months, they will close it. He did couple of transactions and I guess we're ok for next 12 months. I will use some other cards from time to time, to make sure they are not closed. I keep them for high limits and 0% promotions, just in case, I ever need them.

MisterBaxter

Tesco closed my card down for lack of use. I seem to recall that I only opened it for some promotional offer, never used it afterwards so didn't bother trying to keep it open. I think they closed it around the time I was due a new card so I suppose it makes sense for them not to issue a new card on what was essentially a dormant account. I've had store cards where the same has happened, opened the card for the 20% discount and then just allowed it to lapse after paying it off.

With the cards I want to keep I usually just put small amounts through on a regular basis, this has been made easier now I have a Curve card as I can just cycle through them and also keep track of them in one place. I have one cashback card that is used for most things the others rarely even have enough on them to go above the minimum payment of £25 so my DD covers them.

The danger of having and using multiple cards just to keep them active is that if you don't have a DD in place and check your statement regularly you could easily miss a payment.