banking:filter:What, if anything, should I do about BofA closing/cancelling my credit cards ....because I paid them off?
February 26, 2010 3:54 AM Subscribe
I had two Bank of America credit cards. Both were of the high interest types (21% and 25% interest). I owed in the area of 5 thousand dollars total
and I knew that it was time to bite the bullet and take the money out of my savings to pay them off. I may have been late in payments a few times (not often) and usually I only paid the minimum payment due. I naively thought paying them off completely would be viewed as a positive thing. I paid them both off just days ago.
Today I received a phone call from someone identifying herself as from Bank of America. She insisted that I give her "updated income and credit information" over the phone. I told her that I did not understand why she should need any updates. For one thing, my caller ID did not read "Bank of America" and I was reticent to give information over the phone. It could have been a scam and I have never been asked for additional information from a credit card company before. She was extremely rude and told me that I will be getting "new information" about my cards in the mail.
Suspicious about her threatening tone, I then made a trip over to my branch of Bank of America. I met with a banker and learned that after this Bank of America phone call my cards were both immediately "blocked" ("closed").
The in-person banker put me on the phone with a higher up and it was explained to me that "they" (the rude woman I spoke with earlier) had done a "review" of my account/credit report and because I have another high balance at Wells Fargo Bank she elected to "block" any further charges on my Bank of America cards and extend no further credit to me.
I have very little debt and I am not late on payments. My Wells Fargo card is indeed close to it's limit. The original BofA rude woman had asked for my income information, but I did not give it to her. My income is modest, but my credit cards both had plenty of time left on them (expiration dates not even close to the end).
I asked if this "blocked" status will have a negative affect on my credit rating and the answer was "probably" (!) The Bank of America representative haughtily told me that they will re-consider me if and when my balance with Wells Fargo is not so high. All this occurred because I paid off two cards in full.
I have been with Bank of America for many years and one consumer website indicated that it might be a good idea to complain to executives at the bank..but it is difficult to complain when I am completely uncertain about what the bank did that is wrong. It certainly SEEMS wrong, but without a regulation to cite I don't know how to complain. Perhaps there is something in the teensey type on my credit card agreement that indicates that they can cancel my card anytime. I wouldn't be surprised.
Do you have any light to shed on this for me? I am working on living without credit cards, that is my aim..but meanwhile, if any of my rights have been violated, I would want to complain to the correct agencies and also know exactly how to craft my complaint. Tough when it seems as if the bank has all the rights and I have none. Any advice you can give...is appreciated.