Barclaycard limit reduction post covid

Thrugelmir

Linmin said:

I was apparently the first feedback he had received at this point, so I told him I was certainly speaking on behalf of a great many customers, I considered this initiative to be both insulting AND patronising. I rather felt he agreed! 

Letting you rant and agreeing with you is the easiest way of fobbing you off. The main board of Barclays Bank have made a strategic executive decision. That's what they are paid to do, i.e. run the business. 

ih8modem

I have a Barclaycard Simplicity (at least that's what it was called when I got it some 15 years ago - fixed interest of 6.9% for life).  I had my limit cut from £14000 to £7200 in December.  At the time my balance was £7500.  I got the letter, and I filled out their requirements - then sent it off as instructed.  Heard nothing from them at all.  I also took a risk, paid only the minimum that month (was previously knocking it down at £500 per month) which kept my balance at over what my new limit would have been.

At the deadline date my limit was reduced to £7400, my balance was just 10 pounds less, making my credit util 99.9% (up from just over 53.5%)  My credit score at all three major agencies took one hell of a hit thanks to this. (Not worried as I have fixed my mortgage for 5 years, and since settled the Barclaycard with savings).  Next thing I know,  one hell of a snarky letter informing me that they had tried to reduce my limit to £7200 but were unable to do so due to my balance being higher than the lowered limit.  

It is unlikely I will ever use the card again.  I did like to use it for major purchases as the interest rate was quite bearable for many years (not so much at the moment), and then paid it down like a loan.  It was uncomplicated, they got some interest, I was too lazy to do the 0% game - although I now do have a Virgin card and an MBNA card, both offering 0% options on a regular basis for those times when I want to buy something,,,

[Deleted User]

I have been a Barclaycard customer for 13 years, and recently got acquainted with their terrible service.

It's now more shocking to hear that they are reducing peoples limits.

I have a 13K limit which hasn't changed so far as I can tell so I am lucky because I just managed to apply for an MBNA 0% card succesfully.

And will look to move away from Barclaycard as soon as possible. Just horrific people to deal with. I recently paid of 7k off my Barclaycard so I can get below 25% utilisation and apply for credit elsewhere... this new credit limit reduction crap going on would have really messed me up!!!

Got lucky this time, and I hope you all move away from this provider soon enough.

Dandytf

@ih8modem

My recent return to Barclays Forward card includes a nice 6.9% balance transfer offer, in time for new smaller transfers if required.

thanks

ZaSa1418

My limit has not been reduced but i have just done a balance transfer away from it so i am wondering if that will trigger a reduction. 

onlyfoolsandparking

Dandytf said:

@ih8modem

My recent return to Barclays Forward card includes a nice 6.9% balance transfer offer, in time for new smaller transfers if required.

thanks

I wouldn't class a 6.9% BT offer as 'nice' but if that's all you are offered, fair enough. 

BruceDickinson

Having received a letter from Barclaycard a few weeks ago, informing me that my credit limit was going to be reduced by 84%, I decided to give them a call.
I rang them on Tuesday 20th April. Having given my details to the automated system, I was put through to a young man. I gave him more details and explained my situation. He said that it was not something he could help with, but he was able to put me through to someone who could help. I spoke to a second call handler, who also explained that this was not his area, but he could put me through to someone who could help. So he put me through to someone else.
This third person seemed to understand my concern - ie: I didn't want to have to print and send off all the documents they were asking for; could I either do it online, or - even better - not have to do it at all? He sounded sympathetic, and went to speak to a manager. The 'manager' was unavailable, so he said he would ring me back later when he had an answer.

No call back came, that day, so the next day - Wednesday 21st April - I called them back myself.

After giving all my details again, I got through to a woman who said she would look into it. After some minutes, she got back in touch and said that it can take up to three days for people to be called back, but she could see what the issue was and asked me to be patient.

So, I waited, patiently, for another week.

Today, Wednesday 28th April, I rang them again. The woman I spoke to this time understood the situation again and put me on hold whilst she went to see which team was dealing with my query. When she came back, she told me that there was no record of my conversations on their system, nor of anyone having said they would ring me back. Imagine my delight.

So I am no further forward.

The only way I can hope to retain my current credit limit - on an account which I have had since 1983 - is to print off and send in bank statements and pay slips. And even then, there is no guarantee that they will keep my limit at its current level.

There is no method of doing this online, oddly. Although the people at Barclaycard can see my Barclays bank balance (because they discussed it with me) and can see my regular income (they told me this too), they still need to see a printed copy - not an electronic copy.

What 21st century banking organisation actually wants to receive things on paper? Most usually charge you extra for receiving paper statements, but now they want you to use paper to send things to them, to justify keeping something you have had for nearly 40 years.

Why can't they just sort this out sensibly and honestly? Don't they want our custom?

[Deleted User]

BruceDickinson said:

Don't they want our custom?

Not everyone's, no.

adamp87

BruceDickinson said:

There is no method of doing this online, oddly. Although the people at Barclaycard can see my Barclays bank balance (because they discussed it with me) and can see my regular income (they told me this too), they still need to see a printed copy - not an electronic copy.

This is a key change I think in their use of data sorry to side track. Although they are separate companies in a sense they didn’t use to do this I believe.

I spoke to Barclays last year about something unrelated to the thread, but the woman told me they now could access certain data together which they couldn’t before until now.

phillw

topcat638 said:
Although you are totally correct in your assertion that no one is entitled to credit we are entitled to respect and customer service. Would you suggest the way Barclaycard have gone about this upholds any respect for their customers. It could have all  been handled in a more professional and thoughtful way. They probably let a computer algorithm make this call.

In what way has Barclays disrespected you?

I hope they did use a computer algorithm, like everyone else.

Would it make you feel better knowing that a human decided to reduce your limit to the same amount?