Vanquis Credit Sudden And Big Limit Decrease

smalandcute

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I received an urgent email from Vanquis this morning stating that my credit limit of almost 2K has been reduced down to £100 with immediate effect. They they have reduced this due to something on my Experian credit file however they won't go into detail.

Earlier on today I checked my report and there is nothing on there to give concern, in fact I am now in a better situation compared to when Vanquis increased my limit.

I have called them and they have logged a complaint. I have stated that I want to know the exact reason for such a reduction, that I have already checked my credit file and all is as it should be and this can my limit go back up to what it was.

Has anyone else had this from Vanquis? Just seems really odd to decrease it to such a low level so urgently when my credit info has actually improved.

HeinzVarieties

They won't tell you why they reduced it so the complaint isn't going to get you anywhere. That sort of information is commercially sensitive.

Usually, this sort of drastic decrease is either because you're being viewed as a massive risk for one reason or another or quite often just not profitable.

Brie

It may be something very simple like you getting credit somewhere else - another card, phone contract, maybe changed gas supplier?  It looks like a positive but a card company may not see it that way.

smalandcute

HeinzVarieties said:

They won't tell you why they reduced it so the complaint isn't going to get you anywhere. That sort of information is commercially sensitive.

Usually, this sort of drastic decrease is either because you're being viewed as a massive risk for one reason or another or quite often just not profitable.

Thanks for replying. They said it was due to something on my credit file but I have checked it, nothing has changed but has improved so as they are saying its my credit file which both them and I have access to then I have requested they give a full reason  as to what's on my file for them to take such a drastic decrease do suddenly. If they had said its a business decision then I get that is fully company sensitive info but because they are claiming its due to something on my file I have requested the clarification as I should be aware of what exactly it is. Hope that makes sense

smalandcute

Brie said:

It may be something very simple like you getting credit somewhere else - another card, phone contract, maybe changed gas supplier?  It looks like a positive but a card company may not see it that way.

No nothing like that, the only thing that is being updated is that my CCJ is being marked as satisfied

HeinzVarieties

smalandcute said:

HeinzVarieties said:

They won't tell you why they reduced it so the complaint isn't going to get you anywhere. That sort of information is commercially sensitive.

Usually, this sort of drastic decrease is either because you're being viewed as a massive risk for one reason or another or quite often just not profitable.

Thanks for replying. They said it was due to something on my credit file but I have checked it, nothing has changed but has improved so as they are saying its my credit file which both them and I have access to then I have requested they give a full reason  as to what's on my file for them to take such a drastic decrease do suddenly. If they had said its a business decision then I get that is fully company sensitive info but because they are claiming its due to something on my file I have requested the clarification as I should be aware of what exactly it is. Hope that makes sense

Saying "Check your credit files" or words to that effect is a complete boilerplate fob off response. It means nothing.

born_again

smalandcute said:

Brie said:

It may be something very simple like you getting credit somewhere else - another card, phone contract, maybe changed gas supplier?  It looks like a positive but a card company may not see it that way.

No nothing like that, the only thing that is being updated is that my CCJ is being marked as satisfied

Is that paid off in full, or they have taken part payment to satisfied?

If you are thinking that your score has gone up, so you think that is what has "improved" then that figure means nothing to any lender. It is made up by the credit co's to make you feel good.
Other option is something on CIFAS.

Thrugelmir

When was the CCJ first registered? 

smalandcute

Thrugelmir said:

When was the CCJ first registered? 

2018 and before I took out the Vanquis Card

Thrugelmir

Then more likely to do with available credit elsewhere, credit utilised, use of the card etc etc. Lenders have a duty to lend responsibly. Also unused facilities cost them money to maintain. Weeding out inactive accounts is a cost saving. Slashing the credit limit is the first stage before withdrawing the facility entirely.