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They should not be allowed to do this.

http://finance.yahoo.com/banking-budgeting/article/106716/How-to-Blow-Your-Credit-Limit-Without-Spending



Now i don't use or even have a credit card, but this practice is ridiculous and should not be allowed. It seems like a way to in the end get more money out of over the limit fees. Like if there is a customer who deosn't check there accoun online to notice that there limit had been reduced. It is basically getting to where the people, the consumers in the workd today have protection from nothing anymore. No wonder so many people can't afford there regular bille. They are too busy trying to recover from fees from greedy cheating creditors .

Answer Question
 
Anonymous

Asked by Anonymous at 12:10 PM on Mar. 16, 2009 in Politics & Current Events

Answers (11)
  • This is why we don't have credit cards either! We had Sears cards YEARS ago and they were awful about slimy stuff like this. Also if you regular due date fell on a Sunday they would move it to Saturday (which if you budget like I do you aren't watching for) and if you pay it after 1pm on the CHANGED day it was late! They have all kinds of ways to get you if aren't CONSTANTLY vigilant and I don't have time for that nonsense!

    momof030404

    Answer by momof030404 at 12:43 PM on Mar. 16, 2009

  • We have one credit card and only charge onto it what we can pay off in a month so we never have an outstanding balance and we never pay interest. I can't imagine having a $10,000 outstanding balance on a credit card.
    Anonymous

    Answer by Anonymous at 12:55 PM on Mar. 16, 2009

  • Credit card companies HAVE to notify you of changes usually by snail mail, not just e-mail. If you can't make a payment before the due date, you shouldn't have a credit card to begin with. Any responsible person would check their credit limit on a regular basis and keep track of it just like a checking account.
    JanMarie225

    Answer by JanMarie225 at 12:57 PM on Mar. 16, 2009

  • Just a quick note, be careful with your debit cards also, let's say you make 5 purchases in one day. and the last purchase of $100 was what put you in overdraft. Instead of charging you the fees associated with one overdraft, banks are allowed to bring in the $100 debit first, thus causing the other 4 purchases of the day to be "overdrafted" and giving you 4 overdraft fees for that day instead of 1.
    akinbottom2

    Answer by akinbottom2 at 1:00 PM on Mar. 16, 2009

  • I can't imagine having a $10,000 outstanding balance on a credit card.

    It's a business card - they basically shut his company down, not his personal credit cards.

    And they do give written warning. One of ours changed their penalties for late payment terms, and we received notice in the mail last month. The change takes effect May 1. They even sent 2 mailed notices, and then sent emails to make sure we read the mailed notices, along with having it in the news section online so you can read it when you pay the bill. I'm sure if we still received paper statements instead of online, we'd find another copy tucked in with the bill.
    NotPanicking

    Answer by NotPanicking at 1:20 PM on Mar. 16, 2009

  • It's a business card - they basically shut his company down, not his personal credit cards.


    Oops, sorry my mistake, but you know that there are plenty of individuals out there that do the same thing.
    Anonymous

    Answer by Anonymous at 1:29 PM on Mar. 16, 2009

  • They shouldn't be allowed to cut you credit line below what you have already spent legally, and then slap a penalty on you. That's just like making a law against something and then arresting you for doing it before it was illegal. We only have one CC and we use it sparingly for emergencies and always pay off the balance in full when the next bill comes. I can see having a $10,000 for business expenses, but not for personal expenses. The highest we ever got was once when our dog was injured and we went to nearly $500. (After-hours Vet, hospital stay, etc.)
    pagan_mama

    Answer by pagan_mama at 2:08 PM on Mar. 16, 2009

  • That's why the ONLY credit cards my husband and I have ever had are our American Express cards--you HAVE to pay the balance in full each month, or your account is frozen until the balance has been paid. And if a business doesn't accept AMEX, then we will write a check or pay cash--or find somewhere else to shop.
    LoriKeet

    Answer by LoriKeet at 2:08 PM on Mar. 16, 2009

  • man...im i glad we only have one cc! they just raised our limit & we bought a laptop so right now we have a big hunk on our cc (we're building a little credit, yes we can pay it off). so i really hope this doesnt happen to us...but since our bank is during really good right now im not too worried.
    okmanders

    Answer by okmanders at 2:32 PM on Mar. 16, 2009

  • What is the question OP?
    Erica_Smerica

    Answer by Erica_Smerica at 4:02 PM on Mar. 16, 2009

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