Can HALIFAX close a CC Account that I don't use ???

[cracker2008]

My OH got a letter to say :-

 

IMPORTANT INFORMATION REGARDING YOUR CREDIT CARD

 

In line with our commitment to responsible lending, we carry out regular account reviews to ensure that we continue to offer a suitable service to our customers. A recent review has highlighted to us that you no longer use your credit card. Therefore, as a responsible lender, we would like to tell you that we have reduced your current credit limit to 500.00 (from 8.5K) and your account will be closed.

 

These changes will be made in line with your current Terms and Conditions and you will not be able to reopen this account. We apologise for any inconvenience by our decision to close your account.

 

For security reasons please destroy your card by cutting it in two through the magnetic stripe at the back of your card. Please cancel any subscriptions or continuous payments you have linked to this account. Any spend made on your account until the closure date will be payable in full on the closure of your account.

 

Can they simply do this ??? The CC was at its max limit the year before and we paid it off in full and didn't use it again....is this legal....what about people who only have them for emergencies ?!?!

 

Any help much appreciated

 

Regards and thanks in advance :-?

[flyingdoc]

They have the right to withdraw the facility at any time.

[42man]

They seem to be being so selective on credit cards, maybe they have checked to see if they have an agreement (and don't) !! I think they like people to 'use' their accounts on a regular basis !! I know of one person who paid their credit card bill twice, and the account was in a + balance, and they called him and told him off as the account wasn't being used properly !!! (despite the obvious mistake !!).....

 

They can close the account on notice, however, i'm sure you'll not want to deal with Halifax again....If they don't want your business then take it elsewhere......

[cashins]

If the T&C's of the contract allow for it, I would imagin yes.

 

Don't get this bit though:

 

Therefore, as a responsible lender, we would like to tell you that we have reduced your current credit limit to 500.00 (from 8.5K) and your account will be closed.

 

Can only think this allows for anything in the pipeline they are not aware of.

 

David

[cracker2008]

Sorry Dave don't really understand your post maybe I am being a bit dim !!

 

They stated they were reducing the credit limit to 500.00. Our original one when applying on line about 5 years ago was granted at 8.5K immediately. Why would they reduce it to 500.00 when the balance was zero anyhow then close it ???

 

Was thinking of sending a CCA to them to see if they have the original and if not making a claim on all the interest they have charged over the years when we were maxed up to the limit month on month....what do you think ???

[flyingdoc]

I dont think you would get anywhere.

 

If they dont have a CCA then they could not enforce any debt you have with them but then the balance is 0

 

A judge is likely to say to you that as you have had the goods (which you aknowledge in the way that you paid off the balance) then you should pay for them.

 

I dont think you would be succesful in any case against them to get the interest back.

 

just my opinion.

[cashins]

Sorry Dave don't really understand your post maybe I am being a bit dim !!

 

 

Is it Me?

 

The way I read our post i that they reduced your credit limit to £500 and closed the account. In effect then, they closed the account to new purchases.

 

David

[westendwendy]

I had a similar thing happen with MBNA.

 

I was always up to date with my payments and when I started to struggle a couple of years ago I not only paid the card off but mistakenly overpaid them by about £30.00 and then stopped using the card.

 

I had a letter saying that they would be closing my account and asked me to give them my Bank details so that they could repay me the balance.

As I've always been wary of giving details over the phone I asked for a cheque,which they refused to do until I made a formal complaint.

 

As 42man said,they do seem to like you to use the card,but at least that's one I don't have to worry about now.

[sleepingdog]

Halifax have recently closed my OHs CC account for the same reasons , I guessed at the time that they had checked a CRA and seen my name linked to hers and as my creditworthyness is shot thought it safer to have no dealings with either of us. My OH did have her MNBA CC account put on hold when they checked a CRA and found my name linked to hers I am sure that they wrote to her explaining just that. If you have any debt problems and your name is linked to your OHs then it may be affecting your OHs credit rating.

Sleepingdog.

Edited February 3, 2009 by sleepingdog
missed MBNA from sentance