Reduced credit limit

Received an email from Capitol One stating that they are reviewing my Credit Card and may reduce my credit limit. I use the card regularly and pay the balance in full each month have an 800+ credit score, so why would they do this?

You will often see credit card companies wanting to lower their risk (by lowering limits) when they are anticipating times of economic uncertainty…

As I recall, I became a Capital One customer via ING Direct which I think I remember Clark talking about a number of years ago. Online only, and it offered attractive interest rates. Then a few years later it got bought and renamed Capital One 360.

Fast forward and I took the bait on offer for Quick Silver card. Only they sent me a “platinum” CC with a starter credit limit. That’s with 800+ scores and years of history. Like a fool, a few months later I tried again and got a QS card, again with a pitifully low limit. Oh and they LIED about the promo offered, (couple of hundred I think) and said the card they just issued me did NOT qualify! In short, these monkeys screwed up my credit because I had too many inquires! And it stayed screwed up for a good year even after I TERMINATED all biz with them.

By the way, the credit bureaus will see your reduced limit the same way they saw my new inquiries and accounts even though they were closed: Negatively!

The few times I’ve had a company say they want to lower a limit I’ve called them and asked them not to. I’ve had a 100% success rate.