Barclaycard limit reduction post covid

A_Lert

A family member had the same, though not as severe. £2650 down to £1650. She was initially concerned they'd reduced it to below her current debt and would be demanding a load of money, because £1650 is less than the debt on her previous statement, I had to reassure her they couldn't do that. (A purchase refund made the current debt below the new limit; she doesn't do any online stuff.)

I assumed it was her individual credit record - a few years back she went over the limit and missed payments due to illness and since then has paid not much above the minimum. But does seem like it's a wider case of the bank taking the umbrella off us now it's raining.

alfred64

Barclaycard adverts going strong on tv anyway. Clearing out unprofitable customers and welcoming new ,hopefully profitable ones.

Nebulous2

onlyfoolsandparking said:

sonofmerton said:

onlyfoolsandparking said:

Barclaycard=RUTHLESS

Going by the tone of this thread I would think Barclaycard will lose 1000's of customers going forward, will they care, probably not!!  

i would say that for them it is good business. reducing their potential liabilities v how much they are making currently from those who's balances have been reduced is likely a no brainer.

i have no doubt that other companies will follow suit in the same way. 

I wouldn't class it as 'good business' lending is how banks make money, it may have more to do with the fact that bank lending is way down and will likely go down more as there appears to be more appetite for consumers to deleverage debt.

I wouldn't assume Barclaycard are in any way more exposed than other big banks. 

They have more credit cards in the UK than any other company, by some considerable margin, so they are more exposed than other banks. 

onlyfoolsandparking

They may have had a considerable margin 10 years ago but I wouldn't be surprised if Lloyds had caught up with them or even overtaken them now with their acquisitions but I take your point.   

Imgrant1969

I've just had mine dropped from 12k to £250 !!!! Never missed a payment zero balance on the card. Checked my credit rating which is "soaring high" according to clear score. No other debts or loans apart from 2 years left on a mortgage. Never had anything like this before. I thought it was some sort of scam when I saw the letter. 

JGB1955

Prompted by this thread I decided to see if I could increase my Barclaycard credit limit (they've declined my request in the past).  It's now gone up by 33% (admittedly only to £2K though)!

Nades84

Hi everyone, my hubby has also had his limit cut. He received a letter yesterday and it’s going down from £9500 to £1050 next month. The new credit limit will actually be lower than the balance on the card at the moment (just over £1200), are they allowed to do that? His credit rating is really good and we’re worried them dropping it below his balance will really affect it and they’ll start to demand the money back 

GrumpyDil

He needs to contact them in that case as I don't believe they ordinarily reduce your limit to put you into an over limit position. 

phillw

onlyfoolsandparking said:
I can't see negative interest rates coming anytime soon for us consumers,

Barclaycard is not a consumer, if bank of england base rate goes negative then they are at the front of the queue.

onlyfoolsandparking

phillw said:

onlyfoolsandparking said:
I can't see negative interest rates coming anytime soon for us consumers,

Barclaycard is not a consumer, if bank of england base rate goes negative then they are at the front of the queue.

Obviously they are not a consumer, what is this queue you talk of?