Mamibear

With all the bad rap I've read about Chase being very strict, I'd be curious to find out if OP will let us know how Chase treated that $200 cash whether they wrote it off and categorically told him not to worry about it and officially terminate his relationship with the bank. IF, however, they are true to form, they will probably charge compounded interest on that $200 since they're aware it is a cash advance transaction. Will they compute it from start date when the $20K was charged to his wife's card? OR will cash advance interest charge charging from the time HCU reversed the $19,800 leaving OP's debt down to $200?

From my own personal experience, when I did a trial deposit to a prepaid card (I was hoping it'll post as purchase) using Chase FU and I forgot to set my C/A limit to it's lowest amount, it posted as cash advance I called to request to waive the fee of $10 which rep did but she told me that until the full amount of THAT transaction was paid, daily interest will be charged. Right then and there, I paid the full amount to stop the interest. This is why I'm curious to find out how Chase will handle OliverB's case.

flyershmlyer

There's no $200. If he paid off 20K already on chase, then chase will mail him back 19.8K. If he hasn't, he'll need to pay $200 on a closed account.

Plus, you and mamibear need to let it go. it's a dead horse now.

Happy

This is the first time public DP that someone's accounts are shut down by Chase due to CC funding for bank account deposit. Obviously Chase feels the funding is essentially Cash Advance but not paying the bank Cash Advance Fee. Else, why would Chase be bothered, after all his CL is big enough to support the 20K as he mentioned about "insane" CL.

I think we have a good reason to be curious on HOW Chase handles this type of situation - this is a pseudo Cash Advance but bypass the cash Advance fee and such - so how Chase would ultimately treat this is of keen interest to those who want to learn more.

Just what is this being a problem to you that some of us want to know about how Chase would eventually handle the quasi Cash Advance?

flyershmlyer

Yes, while this type of transaction induced shutdown might be first, it's hardly outside of Chase's reasons for shutting down: dealing with cash/cash equivalents, i.e. buying in large amounts, depositing MO in the checking acct, etc. In none of those shutdowns Chase later on went and changed the terms of the transaction. they only took ex post actions: shutting down acct, seizure of points, shutting down other accts, etc.

No reason to expect different, nor the material loss of $200 cash advance fees is that meaningful.

mia

It's also a credit risk. Most accounts have a cash advance limit that is lower than the credit limit. Example: Credit Access Line: $25,000; Cash Access Line: $5,000. Any action (funding a bank account, buying general purpose giftcards etc) that converts credit to ~cash represents a risk that the cardholder will walk away with the cash -or- will be unable to pay the card bill without using that cash. It does not matter if we agree with the reasoning or think it shouldn't apply to our special case. This is the way that lenders, and their regulators, see it.

Mamibear

the fact remains, YOU are not Chase so it may not be meaningful to you but we want to know how Chase will handle it. If Chase charged me C/A daily interest on amount less than $60, I'd like to know if they'll write off $200 as farewell gift. Chase waived the transaction fee of $10 for me as one time courtesy, but not the daily interest (came up to a few cents) that's why I paid the full amount right there and then.

yes there is. you may have to re-read it in his thread. HCU refunded only $19,800 so OP owes the $200 to Chase which, may not be a meaningful amount to YOU, but it'll be interesting for some to know how Chase will handle it. OliverB considers it as a "farewell gift" so if they don't collect from him, this is probably one of those rare instances.

unstableone

2+ Years ago Chase closed all my accounts probably because of couple 10k+ cash deposits.
Recently I applied for the IHG card and was approved. Received card, purchased airline ticket -> met min spend requirement and a week later Chase closed the card without any explanation.
I wonder if they will award signup bonus or I will have to fight for it. I assume I'm not the first in this situation.

MDJennings

I'm guessing the best you can hope for in that situation is a cash payout at some valuation on those points. When you were originally shut down 2+ years ago, did they specifically tell you it was for those cash deposits?

jk2

My guess is that they will give you a sign up bonus - whatever is earned before they closed an account, it will be posted.

My guess if Chase ever closed your account, then when you opened a new one you are on the thin ice - doesn't matter if all your transactions were "organic", they may close it without a doubt.

ducksauce

Did you transfer UR points to someone with a different address? Different last name?
NO

Did you sell UR points to someone?
NO

Approximately what percentage of your charges earned less than 5x points in the past 12 months?
15% (freedom)

Did a Chase or non-Chase bank recently close one of your credit cards?
NO

Are you using up a large percentage of your credit line on all Chase and non-Chase credit cards?
NO

Is your total credit line with Chase much higher than with other banks?
40k in CL with chase 20k in CL among other banks

Did you apply for many credit cards or other forms of credit in the past 2 months? ("Many" may be hard to define.)
Apply for 1 maybe 2 cards a month if i have no cards that im doing min spend on

If you have a Chase checking account how much did you typically deposit in money orders per month, if any?
0

Did you recently start spending a lot more with Chase than in typical months?
Yes see post below spiked this month

Is your monthly balance frequently close to your credit limit?
NO

Approximately what percentage of spending was on gift cards this year?
<4k in past 2 years

How much of your bill do you typically pay using WM or KMart bill payment if any?
0

Do you have a Chase mortgage or other account that might be profitable to Chase?
None

Has your credit score or credit profile changed recently? As in: significantly more debt, more open credit lines, or a large drop in your credit score?

CS has been betwen 720-750 steady over the year. 0 debt, average 1 new card every 2-3 months.

Two of my chase cards didn't work last night so I called Sapphire Reserve line. Was told my account was canceled in feb even though I've been using my cards since then (I think the rep misspoke but still weird). They told me I would need to speak to senior support who won't be available until 9 AM EST this morning.
Info about me 40k in CL across 4 cards with chase (cf, cfu, csr, rc, hyatt, ihg). I've done <5k ms across all cards in 2 years (never depo MO into chase, no cash deposits either), never cycled CL, and paid balance before statement date to keep utilization down. Income is ~150k. The only thing I can think of that may have triggered this is I put a ton of spend across different cards last week. 3.5k for a friends bday party at a club, bottle service/vip area (which everyone chipped in to pay for anyway), 3k for new furniture, 600 prepay of car ins, and 1k for a couple wedding gifts.
I have a chase checking account which used to be my main checking account, but with no branches withing 20+ miles I moved over most of my money elsewhere. Just keep the minimum in my acct + have 2-3k in direct deposits coming in per month.

Addtional information:
Checking and savings acct 3 years (avg balance 30k till I moved now just keep minimum in each). Cf 4/16, csp(pced recently to cfu in feb this year) 7/16, csr 10/16. Ritz 2/17, Hyatt 2/17. Ihg 4/5. No, only deposits into my account were checks, work direct deposits, dividend distributions. Aaoa is about 2 years with oldest card being 10yrs. Credit utilization always under 5%, 0 derogatory marks, 100% payment history and 13 credit cards total. Ck score of 720.

Update: Spoke to chase rep, they said the closure was due to too many open cards with them, not enough credit information, and too many inquiries. They said they would look into reconsideration after I gave them a bunch of additional information about my financials + recent purchases. They also clarified account was cancelled 4/17.

Update 2: I've received the cancellation letter for all my cards. Says exactly the above as the reasons for cancellation in addition to saying I have 30 days to use or transfer my points or lose them.

STS-134

Very poor form by Chase. If it's because you've opened too many cards, they should have called you and asked you which account you wanted to close.

eclipsor

yeah that's really scary considering I now have 7 cards with them, 4 of which were opened within the past 3 months. I'm at 36k limits with them too and my income is 55k compared to his 150k.

Superorb

Yowsa, 6 Chase cards is grounds for having all of your accounts closed? Maybe it's because he opened all those cards in around a single year? I have 5 personal and 1 business card with Chase. Two of those cards are some of my oldest cards at 11 and 10 years old.

Maybe they're mad he pulled funds from checking/savings and then spent a bunch on cards? I don't know, it is very bizarre.

nwflyboy

I see several potential red flags...

You contradict this somewhat below, but if you were really averaging 1-2 credit card apps every month (even for a stretch less than a year), then there's your smoking gun.

I'm convinced that banks don't like to see this as a regular habit. Just my suspicion.

You weren't shut down for MS. You were shut down for listening to bloggers and going crazy with credit card applications ("get this great credit card! next, get this one! Look at all the fun you will have staying in 5 star luxury, here's a photo of me there!!").

ducksauce

Regarding the apps, I would basically apply for cards if I didn't have any cards I was meeting min spend on. From 03/2016 - 12/2016 total of 6 apps. From 01/2017-04/2017 8 apps. So averaging ~1 app per month over the course of a year.