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  • FIRST POST
    • SidsWife
    • By SidsWife 18th Sep 19, 2:05 PM
    • 21Posts
    • 1Thanks
    SidsWife
    Marbles decreased credit limit
    • #1
    • 18th Sep 19, 2:05 PM
    Marbles decreased credit limit 18th Sep 19 at 2:05 PM
    I paid my credit card off in full 2 days ago, and I've just had a text to say they have decreased my limit. I now 2grand vanished into thin air, which is my money to survive on for the next 3 months. I have always paid more than my monthly minimum payments and an advisor I spoke to 4 weeks ago said that my account was looking good and it was being managed really well. As I'm a student, I pay off my balance in full every 3 months when my loan comes through the live on that, always paying my minimum payments off.
    My credit score hasn't changed, there is no reason why they would do this. I now have been left 100 pounds to last me 3 months. They have passed it into complaints and say it can take up to 8 weeks to get back to me. Can they do this? The guy on the phone said they may be able to compensate me if it's left me in financial hadrship, which it has. I'm really worried about this now, and worrying that I will have to drop out of uni. They have me no warning that they had any concerns with my account, they just did it today.
    Has this happened to anyone and what happened when they reviewed it?
Page 3
    • SidsWife
    • By SidsWife 18th Sep 19, 6:51 PM
    • 21 Posts
    • 1 Thanks
    SidsWife
    I dont have any savings. Next summer I will have a full time job over the summer to pay it all off. Then my final year will have been the student finance just to keep in my current account.
    • Gary_Dexter
    • By Gary_Dexter 18th Sep 19, 6:58 PM
    • 6,877 Posts
    • 4,574 Thanks
    Gary_Dexter
    The number does mean something, it's why I can't apply for an overdraft etc. From what the woman said on the phone, everything on my account looks good so I'm hoping with a bit of grovelling they may reinstate it and I can look into other options of managing my money better in the future.
    Originally posted by SidsWife
    It really doesnít.
    Bankrupts get 999 scores.
    People with 999 scores get refused £20 per month phone contracts.
    Yet people with 300 scores get £350k mortgages.

    Go figure and tell me itís all relative now.
    • enthusiasticsaver
    • By enthusiasticsaver 18th Sep 19, 7:08 PM
    • 9,427 Posts
    • 21,843 Thanks
    enthusiasticsaver
    I dont have any savings. Next summer I will have a full time job over the summer to pay it all off. Then my final year will have been the student finance just to keep in my current account.
    Originally posted by SidsWife
    If you can work full time over the summer without any childcare issues why cant you work part time in the run up from now to Christmas? Plenty of students and single parents have to do that to subsidise the loan if they don't have parental help. How old is your child?
    Early retired in December 2017

    I'm a Board Guide on the Debt-Free Wannabe, Mortgages and Endowments, Banking and Budgeting boards. I volunteer to help get your forum questions answered and keep the forum running smoothly. Any views are mine and not the official line of moneysavingexpert.com. Pease remember, board guides don't read every post. If you spot an illegal or inappropriate post then please report it to forumteam@moneysavingexpert.com
    • Carrot007
    • By Carrot007 18th Sep 19, 7:14 PM
    • 2,735 Posts
    • 2,370 Thanks
    Carrot007
    I would say your problem is lack of income and no paid employment and this is more likely to dissuade lenders. Do you have a mortgage?
    Originally posted by enthusiasticsaver

    OP. This 10 times!
    • SidsWife
    • By SidsWife 18th Sep 19, 7:22 PM
    • 21 Posts
    • 1 Thanks
    SidsWife
    I can work next year over the summer because my mum will be retired. This year I can't do it. Thats why my credit card ran up a little higher than usual because I had to get through the summer. This was all explained to them though and they said that was fine.
    • Gary_Dexter
    • By Gary_Dexter 18th Sep 19, 7:33 PM
    • 6,877 Posts
    • 4,574 Thanks
    Gary_Dexter
    Lenders can choose to increase and decrease limits as they feel the need to.
    They don’t have to justify their reasons for doing so either.

    You’ll need to source alternative funds to use or look to get a card elsewhere.

    Though there’s no guarantee you’ll get a higher limit from a different lender.
    • SidsWife
    • By SidsWife 18th Sep 19, 7:44 PM
    • 21 Posts
    • 1 Thanks
    SidsWife
    From what I've read online, this seems to be a common theme. They wait for you to pay off a large balance in full then they slash your limit by more than half.
    • Gary_Dexter
    • By Gary_Dexter 18th Sep 19, 8:10 PM
    • 6,877 Posts
    • 4,574 Thanks
    Gary_Dexter
    From what I've read online, this seems to be a common theme. They wait for you to pay off a large balance in full then they slash your limit by more than half.
    Originally posted by SidsWife
    Which theyíre perfectly entitled to do.

    Your Tís and Cís will also state they can do this as well.

    Itís not a common theme, conspiracy or otherwise.

    Just look for a new provider if youíre that disheartened by it.
    • SidsWife
    • By SidsWife 18th Sep 19, 8:13 PM
    • 21 Posts
    • 1 Thanks
    SidsWife
    Not a chance am I taking out another credit card if they can just do this on a whim. I've just lost 2 grand.
    • Gary_Dexter
    • By Gary_Dexter 18th Sep 19, 8:37 PM
    • 6,877 Posts
    • 4,574 Thanks
    Gary_Dexter
    Not a chance am I taking out another credit card if they can just do this on a whim. I've just lost 2 grand.
    Originally posted by SidsWife
    You havenít ďlostĒ 2 grand.

    It was never yours to begin with.
    • SidsWife
    • By SidsWife 18th Sep 19, 8:54 PM
    • 21 Posts
    • 1 Thanks
    SidsWife
    Yes it was. If I had known they were going to do that I wouldnít have paid the full amount off and left it in my account. Anyway, Iím not posting anymore. This isnít helpful.
    • Gary_Dexter
    • By Gary_Dexter 18th Sep 19, 8:57 PM
    • 6,877 Posts
    • 4,574 Thanks
    Gary_Dexter
    Original post in case it gets deleted:

    I paid my credit card off in full 2 days ago, and I've just had a text to say they have decreased my limit. I now 2grand vanished into thin air, which is my money to survive on for the next 3 months. I have always paid more than my monthly minimum payments and an advisor I spoke to 4 weeks ago said that my account was looking good and it was being managed really well. As I'm a student, I pay off my balance in full every 3 months when my loan comes through the live on that, always paying my minimum payments off.
    My credit score hasn't changed, there is no reason why they would do this. I now have been left 100 pounds to last me 3 months. They have passed it into complaints and say it can take up to 8 weeks to get back to me. Can they do this? The guy on the phone said they may be able to compensate me if it's left me in financial hadrship, which it has. I'm really worried about this now, and worrying that I will have to drop out of uni. They have me no warning that they had any concerns with my account, they just did it today.
    Has this happened to anyone and what happened when they reviewed it?
    • Gary_Dexter
    • By Gary_Dexter 18th Sep 19, 9:00 PM
    • 6,877 Posts
    • 4,574 Thanks
    Gary_Dexter
    Yes it was. If I had known they were going to do that I wouldnít have paid the full amount off and left it in my account. Anyway, Iím not posting anymore. This isnít helpful.
    Originally posted by SidsWife
    No, it wasnít.

    I think you need to do some research into how credit cards work before applying for any more in the future.

    What would not paying the balance off achieve?

    Other than a defaulted account and a potential CCJ against your name for 6 years?

    I would suggest posting back once youíve done your research and understand the bare minimum basics of credit lending.
    • A4445
    • By A4445 18th Sep 19, 9:14 PM
    • 1,079 Posts
    • 553 Thanks
    A4445
    My credit score is 999 I applied for a NewDay card recently it was referred and it was turned down. I donít owe on any cards. Perhaps they knew they wouldnít make anything from me.

    They didnít even bother to send me a decision I had to call them after 3 weeks. Agent wanted to give me the details to appeal. My reply I canít be bothered to do that lol 😂 I just moved on and was accepted for a card with someone else
    • CakeCrusader
    • By CakeCrusader 18th Sep 19, 10:12 PM
    • 1,024 Posts
    • 687 Thanks
    CakeCrusader
    New Day's pretty awful to be honest, I wasn't kidding when I said I wouldn't touch them with a barge pole. I did a law degree as a single mum working around nursery and working part time. It was a juggle, but I wanted to make a better life for myself and my kid (then a toddler). It is what it is and you just do your best. It's not always easy to get a job after graduating by the way, I wouldn't put all of my eggs into one basket, if you know what I mean.
    • sleepyjones
    • By sleepyjones 19th Sep 19, 10:15 AM
    • 4,794 Posts
    • 349,256 Thanks
    sleepyjones
    Yes it was. If I had known they were going to do that I wouldn’t have paid the full amount off and left it in my account. Anyway, I’m not posting anymore. This isn’t helpful.
    Originally posted by SidsWife
    That's unfortunate, I think a lot of the replies have been helpful.
    With no offence meant, at all, I think you came on here expecting / hoping someone would agree with you or back up your argument, but the unfortunate thing is that although it was a crappy thing to do the provider has every right to reduce your limit at their discretion.

    Go do the Credit Card eligibility checker, even if you only get a card with a £500 limit, it will tide you over until the Uni hardship fund thing opens / you get the response you want from your current provider.

    I hope you get it sorted out and best of luck with your studies.
    Last edited by sleepyjones; 19-09-2019 at 12:25 PM.
    *Good Luck * Be Lucky * Stay Lucky*
    • 18cc
    • By 18cc 19th Sep 19, 2:56 PM
    • 1,877 Posts
    • 1,395 Thanks
    18cc
    I understand exactly what the op means when she says she has 'lost £2k'..she paid off her card to zero using her money in the expectation she could use the card to live on in the following weeks - a perfectly reasonable expectation in my mind.

    Suddenly she can't. So no food for her and her children...
    Last edited by 18cc; 19-09-2019 at 4:28 PM.
    • eskbanker
    • By eskbanker 19th Sep 19, 3:58 PM
    • 11,667 Posts
    • 14,464 Thanks
    eskbanker
    It's largely semantics but the fact remains that she had an expectation (not unreasonably) that she was going to have access to £2K, but that was always someone else's money that she was going to borrow and later repay, so it was never actually hers as such, despite her stubborn insistence that it was....
    • 18cc
    • By 18cc 19th Sep 19, 4:31 PM
    • 1,877 Posts
    • 1,395 Thanks
    18cc
    I suppose she was thinking that she had been lent £2k, and as such it was hers to use - yes she would have to pay it back as and when of course, but she 'had' £2k. Semantics I suppose. Anyway she is a bit stuck now.

    Something about the way these institutions work makes me a bit uneasy, although I am prob. in a minority on here.
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