Skycard just reduced my limit

sjc_2

They did similar to me £3K to £2K when I had a balance of nearly £2K went to use the card and was refused. Called Barclaycard to query why, said they were doing a review of accounts this was approx 12-18 months ago. My biggest issue was they didn't tell me. So cleared the card and went to close it and was offered a 0% Offer.

Since then they have increased my limit to £4K now it is at £6,360 all within 12 months or so and I didn't even ask them. Have never used it and have just been paying £100/Mth off the balance.

Due to close it in the next few months.

Bismarck

They're just greedy.....I know people with far more in savings and property and they've much less available credit than I have because they pay everything off. They like me because I pay some (not a lot) interest but am not a bad risk....

Mandark

Just had a letter from Barclaycard saying not only that I'm pre-approved but they consider me as someone who keeps on top of their finances!!! Not seen that last bit before.

Are the credit companies now targeting those with good credit records more than ever before and coming down more heavily on those they consider a risk like the OP?

Bismarck

My favorite is the "Credit Where Its Due" title of the letters Barclaycard sent me....

I think what they really mean is,

"look, we'll give you this limit that we hope you spend on, your mortgage and current accounts with our main company and we'll have you by the b****s if you try and default on us...to make it worth your while, we're giving you a huge limit with some useful features, do we have a deal?"

Credit where its due, my a***.

empfun

http://www.thisismoney.co.uk/credit-and-loans/article.html?in_article_id=430712&in_page_id=9

NickX

mr-squad wrote: »

My limit was reduced because I drew out £400 from the cash point over two days.

This is fairly standard for all credit cards. They see large cash withdrawals on a Credit Card as a sign of financial crisis and are reducing the level of risk exposure on this basis.

I would think that if you wait a couple of months and demonstrate that there is not any crisis, then they would increase the limit again on request.

Bismarck

NickX wrote: »

This is fairly standard for all credit cards. They see large cash withdrawals on a Credit Card as a sign of financial crisis and are reducing the level of risk exposure on this basis.

That's my understanding too..I can understand that it may show a bit of a sign but it's a bit primitive, isn't it?

ShelfStacker_3

Bismarck wrote: »

That's my understanding too..I can understand that it may show a bit of a sign but it's a bit primitive, isn't it?

Well, yes, but it tends to be accurate. If someone is willing to pay £3 plus interest at a shocking rate from the moment they have the cash in their hands just to get hold of some money to tide them over, it would signify that not only do they not have enough to live on day to day but that also cheaper forms of lending (overdraft, loan) aren't available to them.

"Cash advances", as they're termed, sums it all up; they're only meant to be used occasionally to advance you some cash. If you use them regularly you may have a problem.

Mandark

Yes, I think many of us have been there with cash off a credit card! There are some exceptions. I registered my credit card with Blue Square for betting but didn't realise the credit card company considered payments into my betting account as cash advances with a £2.50 charge! It's obvious to me now of course but I was reluctant to give my debit card details to the site in case it got hacked as betting companies are often targets.