[Gusto Brunt]

It's been in the news in the last six months that Barclaycard has been lowering the credit limits on their credit cards.

Not bad payers but their BEST CUSTOMERS. I heard one guy has his lowered from £30,000 to just £250. No missed payments, he always paid back the whole balance owed at the end of the month.

So far I thought I'd escaped the axe. But last week my credit limit was cut from £2,250 to just £500. Like other people, no missed payments, and I paid back my balance at the end of the month.

BUT GET THIS. Then yesterday Barclaycard emailed me and had the cheek to say I had used 85% of my credit limit. A sort of warning.

But who lowered the credit limit and made it 85%? You couldn't make it up.

[bitontheslide]

if you are paying it off and not using your limit then they are being responsible lowering your limit. More banks should do this

[Toy Soldier]

Originally Posted by bitontheslide

if you are paying it off and not using your limit then they are being responsible lowering your limit. More banks should do this

Not if affordability is fine. Higher total credit usage lowers your credit score.

[smudgie]

I hope our bank doesn’t go down the same route.
I don’t think we have ever gone to our actual limit ever, but our month on month spending varies by thousands of pounds.
Always paid off in full of course as paying interest goes against the grain with us.

[Gusto Brunt]

Originally Posted by smudgie

I hope our bank doesn’t go down the same route.
I don’t think we have ever gone to our actual limit ever, but our month on month spending varies by thousands of pounds.
Always paid off in full of course as paying interest goes against the grain with us.

It also affects your credit rating. If you're losing £2,000 of available credit. Or more.

[Toy Soldier]

Originally Posted by Gusto Brunt

It also affects your credit rating. If you're losing £2,000 of available credit. Or more.

Yep I spent bloody ages getting my credit cards down, I took out far too many when I was at university and two with quite high limits (£4000 and £3200) and I made the effort to get them all in order, so my cred it utilisation %age looks great… if they lower the limits on those cards my total utilisation will shoot right up . And I’m just on the verge of my credit rating FINALLY being back in good standing - I had a daft default on a Vodaphone contract 6 years back, and it finally expires in January 2022). I’ll be fuming if they lower my credit limits .