Well, I am officially fired as a BMO Harris Diners Club customer. Even though they acknowledged my perfect (short) history with them and high usage, with my (relatively small) W-2 and investment income and disallowed rental/business income, they said I didn't meet their criteria for even a $5000 limit, let alone a $50,000 one.

They were kind enough to tell me I had 60 days to use my points (although I transferred all of them out yesterday knowing the handwriting on the wall).

The takeways from the conversation today:

1) If you have a big limit, beware. They're reviewing them all. If not now, soon. The analyst I talked to today specifically brought up 2008-9 and not wanting those kind of unsecured limits out there potentially exposing them for losses.

2) They are aware of the CARD act and not being able to modify terms the first 12 months and their flawed system approval that gave these high limits. They are going back to audit them all and going to peel them all back or close them before they get hurt.

3) It has absolutely nothing to do with MS or Target rather their flawed application and computer auto approval system that gave the high limits.

Someone screwed up putting this product out and now they're trying to put the proverbial poop back in the horse. I wonder how many people got canned or are getting canned once the losses rack up for less reputable people than me. It's their loss, not mine. It just was nice having a non Amex/Chase type of earning card.
Now I'm really pissed at the 2 TU hard pulls in a week. Oh, well.