CA in Maryland said: “I have been with HSBC for over 4 years. During this time I have been paying off the card promptly, either in full or by making payments above the minimum.
With time, HSBC began to increase my credit card balance, to a point that it became my card with the largest credit limit. I was not informed of said increases. After this my interest rate began to rise. When it did, I called and asked for an explanation as I had not been late with them and all my other outstanding credit obligations had been and are currently being meet with as agreed. They reduced my interest rate, but have been increasing it slowly up again.
Today I received a notification that my credit line had been decreased. It was decreased by 79%. Meaning that the outstanding balance that I kept on the card went from a 15% owed of the total credit line to close to over 65+%.
I had kept the card open as it had my largest credit line. Even with the interest rate slowly increasing, I thought a call could fix that as it had in the past. However, this reduction will most likely hit my credit score hard. Your credit report does not state: Oh, due to mitigation loss review we decreased the credit limit. It just shows a reduction of 80%. What does that say to anyone that is considering giving you credit?
I am done with HSBC. I am just unsure what to do at this venture. I do know I am transferring the balance elsewhere, (hopefully with a low APR) and then making a payment to reduce the amount owed to 30% of the total credit line.
My wife recently had a card closed because she had not used it in three months, so keeping a balance seems to be necessary.
Thanks HSBC.”
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