Huge credit limit decrease!
By NJ Chicaa
@NJChicaa (119517)
United States
August 31, 2021 7:08pm CST
I received an email this morning from the bank that does my Old Navy credit card. I signed up for a brand-only credit card that could be used for Old Navy, GAP, and Banana Republic but after a few years they wound up switching me over to a regular credit card that I could use anywhere. Purchases earned reward dollars for orders at those companies but I could use the credit card to pay for anything.
I haven't used it in almost a year. We used to have one of the monthly utility bills at the house on it just to keep the account active. Since I moved out I've only used it to buy clothes and I haven't done much of that. My balance has always been paid off within the month.
Today I received an email informing me that my credit limit was reduced from $10,000 to $1024. (random number) I have absolutely no clue why. I'm not particularly worried about it as I rarely use the card anyway. I just am curious as to why it was reduced to drastically and to such a bizarre amount.
Maybe I'll call them tomorrow after work.
5 people like this
7 responses
@Vikingswest1 (6304)
• United States
1 Sep 21
You're a higher risk with the recent credit expenditures on Charlie. You carry more debt per earnings and it was obviously posted to credit bureaus and your card lowered your limit.
My guess is the interest rate hasn't changed but I'd complain if it did.
It's happened to me too.
A call wouldn't hurt to hear why they lowered your limit. I could be wrong.
1 person likes this
@Vikingswest1 (6304)
• United States
1 Sep 21
@NJChicaa
You just took on at least 7k in debt and opened a new account.
You can be sure that the new credit account and the amount of debt was reported to agencies and your cardholder may have adjusted your account limit down.
I could be wrong too but it has happened to me after a large expenditure. Twice in fact.
1 person likes this
@snowy22315 (180392)
• United States
1 Sep 21
Probably because of all the vet bills. Credit card companies take note of that kind of thing.
1 person likes this
@kaylachan (69229)
• Daytona Beach, Florida
1 Sep 21
Probably because you barely use the card. Or, there could be an issue with your credit score. I know my husband and my's credit score took a few hits, and one of his credit cards kept dropping the limit. On the other hand, a month after I paid off my one credit card, my credit line doubbled.
1 person likes this
@RasmaSandra (79648)
• Daytona Beach, Florida
1 Sep 21
That is interesting and a very big drop but at lest now you won't be tempted to spend more than you should,
1 person likes this
@onbigsmile (58)
• United States
1 Sep 21
I think yo7 should contact the company just to stay 8nformed.
@wolfgirl569 (105851)
• Marion, Ohio
1 Sep 21
I would ask why. That is a strange number. Dont use the number in the e-mail without checking it just to be safe. It could be a phishing scheme