SO I have been on a mission to pay off my account balances. All accounts were current and open, nothing was past due. In June I pay off a Target Visa account. Their response - they lower my credit limit by 75%. In August I pay off a Metabank Indigo Mastercard. Their response - they CLOSE my account! SO now I am scared - was going to pay off 2 remaining cards in September, but am I risking the 2 other banks closiong my account also? The reason they give - current economic conditions and my score. My score was almost 700 but now is 660 because "bal;ances to close to credit limits" - well, DUH - if they keep closing my accounts with zero balances, this is a vicious cycle. What should I do?
Unfortunately, you should probably just get used to the new economy. The banks are trying to minimize their exposure to risk and raise their potential to collect more fees before the credit card rules change in the coming months. Sad, but true. That said, you're doing the right thing by getting out from under your credit card balances. It might seem bad now, but it would be much worse if they "rate-jacked" you while you're carrying a high balance. Then you'd be in debt, paying big fees and high interest, AND have a lowering credit score. Just keep doing what you're doing and don't sweat the transient score changes. It's more important to just keep doing the right thing (i.e. getting out of debt). As an example, I just paid down a bunch of card balances to improve my utilization (and pay off my bills) and I was rewarded with a score drop!. It will eventually recover, but it just shows that you can't live or die by what your credit score does on a day-to-day basis. Good luck and hang in there!
It sure seems like they want us to default so they can get out from toxic assets.The government will endorse the sell off to jdb's.Opening up a new government program.Were screwed their happy.Viva la revolution boycott cc companies,until they do something we can approve of.Yeah i know in a dream world!!
My fear is that when I pay off the 2 other accounts I have, the credit card bank will do the same thing, and all of a sudden I will be left with NO credit card at all! Then what do I do? And yes, my score dropped AGAIN now.
