Originally Posted by
am1996
That has been the problem, though. It looks like Chase has been shutting down people's cards for high levels of regular spending (not rewards churning).
There is zero proof of this and I don't believe it for a second. Chase shutting down people's cards for high levels of regular spending? That makes no sense and would be a horrific business model--it would mean Chase is shutting down the accounts of those who make the most money for them.
I am a mid-level spender, but have moved much of my business from Amex to Chase--increasing my spending with them. Since then, Chase has been more receptive to my requests for cards, in general checks in with me often to see if I am happy with them, and has given me higher credit limits.
So I don't buy these stories of people's accounts being closed for "high levels of regular spending". I think, as always, we're getting about 1/10th of the story from people who are posting about closed accounts--mostly in an attempt to garner pity and drum up anti-Chase sentiments because they got caught buying a zillion gift cards or other more ridiculous schemes.
Don't be stupid and silly and you'll be fine.
Originally Posted by
am1996
Well, the worst they can do is have a credit analyst take a look at all the credit exposure and the obvious pattern of opening up credit cards to take advantage of account opening promos and then shut down all existing Chase cards for "abuse." I have seen a number of posts out there about this.
Yes. This is more likely. But I'd say this was a bad way of churning if all you're doing is opening a card, doing a min spend for the bonus, then closing the account. Admittedly, if Chase is only losing money on you, there's a good chance they won't want to do business with you anymore. Seems like common sense to me.