Barclaycard cutting credit limits
Discussion
Has anyone else had this?
I've had my card for about 30 years and managed it impeccably. It's paid in full monthly.
About 15 years ago they offered me a £30k limit in return for cancelling my other credit cards. I agreed, and have never had another card.
It's been a while since I used near the limit, but nevertheless I want to keep it just in case.
I've had a moan at them and await a response.
Really!!!! Mine is still at £15k plus have about 7 cards total with £60k available and I don’t even have a job. Ha ha.
I rotate around with balance transfer offers when required.
I got Virgin offering 4% on cash transfer 0% 18 month.
Halifax 2.5% balance transfer 0% 15 months and HSBC the same.
Practically free money.
I rotate around with balance transfer offers when required.
I got Virgin offering 4% on cash transfer 0% 18 month.
Halifax 2.5% balance transfer 0% 15 months and HSBC the same.
Practically free money.
Aiminghigh123 said:
Really!!!! Mine is still at £15k plus have about 7 cards total with £60k available and I don’t even have a job. Ha ha.
I rotate around with balance transfer offers when required.
I got Virgin offering 4% on cash transfer 0% 18 month.
Halifax 2.5% balance transfer 0% 15 months and HSBC the same.
Practically free money.
Might there come a time when no 0% balance transfers are available and any credit card debt you then cannot repay immediately attracts the standard rip-off levels of interest chargeable?I rotate around with balance transfer offers when required.
I got Virgin offering 4% on cash transfer 0% 18 month.
Halifax 2.5% balance transfer 0% 15 months and HSBC the same.
Practically free money.
Aiminghigh123 said:
Really!!!! Mine is still at £15k plus have about 7 cards total with £60k available and I don’t even have a job. Ha ha.
I rotate around with balance transfer offers when required.
I got Virgin offering 4% on cash transfer 0% 18 month.
Halifax 2.5% balance transfer 0% 15 months and HSBC the same.
Practically free money.
Not if you’re paying 2.5 or 4% on it. Cheaper than credit card rates but not free either.I rotate around with balance transfer offers when required.
I got Virgin offering 4% on cash transfer 0% 18 month.
Halifax 2.5% balance transfer 0% 15 months and HSBC the same.
Practically free money.
Cliftonite said:
Aiminghigh123 said:
Really!!!! Mine is still at £15k plus have about 7 cards total with £60k available and I don’t even have a job. Ha ha.
I rotate around with balance transfer offers when required.
I got Virgin offering 4% on cash transfer 0% 18 month.
Halifax 2.5% balance transfer 0% 15 months and HSBC the same.
Practically free money.
Might there come a time when no 0% balance transfers are available and any credit card debt you then cannot repay immediately attracts the standard rip-off levels of interest chargeable?I rotate around with balance transfer offers when required.
I got Virgin offering 4% on cash transfer 0% 18 month.
Halifax 2.5% balance transfer 0% 15 months and HSBC the same.
Practically free money.
It’s all about them trying to manage their balance sheets, you want to keep a clean credit card with no balance and a 60k limit means they have to set aside the full 60k in case you decide to go out and spend up to that limit , so if you do let use it, it’s a funding cost to them and they are not making anything on it in terms of interest or charges, so what you perceive as being a model client worthy of a high balance limit, the banks see as a mill stone, with not a huge amount of upside. Your balance limit is then managed downwards, to enable them to then offer credit to someone who might actually use it, and generate some fees/income for them.
Edited by wibble cb on Monday 7th September 20:38
Cliftonite said:
Aiminghigh123 said:
Really!!!! Mine is still at £15k plus have about 7 cards total with £60k available and I don’t even have a job. Ha ha.
I rotate around with balance transfer offers when required.
I got Virgin offering 4% on cash transfer 0% 18 month.
Halifax 2.5% balance transfer 0% 15 months and HSBC the same.
Practically free money.
Might there come a time when no 0% balance transfers are available and any credit card debt you then cannot repay immediately attracts the standard rip-off levels of interest chargeable?I rotate around with balance transfer offers when required.
I got Virgin offering 4% on cash transfer 0% 18 month.
Halifax 2.5% balance transfer 0% 15 months and HSBC the same.
Practically free money.
I could easily clear my debt or remortgage and clear it that way. I do have 2 that are due to expire soon but will just shift it to the ones that offer me deals.
I have cash which I am investing in stocks and shares which is currently 18% up since April.
I never believed in credit cards until we went for a mortgage 6 years ago. My Mrs was earning 4 times what I was with a massive deposit, went to the bank and they said she can’t be included on any mortgage because she had no credit history. Never even had a mobile phone, gym etc contract. Nothing. First thing they said was get a credit card and spend. Make sure you pay it off and come back in 3 months.
System is crazy but that’s how it is.
wibble cb said:
It’s all about them trying to manage their balance sheets, you want to keep a clean credit card with no balance and a 60k limit means they have to set aside the full 60k in case you decide to go out and spend up to that limit , so if you do let use it, it’s a funding cost to them and they are not making anything on it in terms of interest or charges, so what you perceive as being a model client worthy of a high balance limit, the banks see as a mill stone, with not a huge amount of upside. Your balance limit is then managed downwards, to enable them to then offer credit to someone who might actually use it, and generate some fees/income for them.
I assumed it was something like this. But the card turns over a six figure sum every year, so it's not as though they are making nothing.Edited by wibble cb on Monday 7th September 20:38
Julia121 said:
As an aside I'd cancel the card immediately if the credit limit's been reduced. Doesn't matter what the reason, it sends out a signal to other lenders that you're no longer the attractive client you once were. Other card companies may take a view and follow suit.
This doesn't happen......Sarnie said:
Julia121 said:
As an aside I'd cancel the card immediately if the credit limit's been reduced. Doesn't matter what the reason, it sends out a signal to other lenders that you're no longer the attractive client you once were. Other card companies may take a view and follow suit.
This doesn't happen......Barclaycard have been mentioned numerous times on the moneysavingexpert forum, so you are not the only one. Interestingly, Santander just offered me a card with a £9k limit and 0% balance transfer and fee for 18 months. So some banks are still offering good deals but I think the days of long 0% offers are gone for a while at least.
They just got smacked by the regulator for exposing themselves high risk in mortgages, wonder if this is related.
https://www.ft.com/content/a1a0cb39-43de-411a-9fa1...
https://www.ft.com/content/a1a0cb39-43de-411a-9fa1...
Yes they cut mine from 3000 to 1250 which was just above the current balance.
I’ve banked with Barclays for decades with a healthy salary and savings so was a little bit miffed.
I mainly use it for additional consumer protection on bigger purchases and travel so it’s probably not worth keeping now.
I’ve banked with Barclays for decades with a healthy salary and savings so was a little bit miffed.
I mainly use it for additional consumer protection on bigger purchases and travel so it’s probably not worth keeping now.
Edited by dmahon on Tuesday 8th September 19:44
dmahon said:
Yes they cut mine from 3000 to 1250 which was just above the current balance.
I’ve banked with Barclays for decades with a healthy salary and savings so was a little bit miffed.
Well they haven't actually cut mine yet, I still have £30k. Nor have I received the letter.I’ve banked with Barclays for decades with a healthy salary and savings so was a little bit miffed.
I await a call from their complaints people.
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