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Chase closed my credit card account(s) [Archived 2013-mid 2019]

Chase closed my credit card account(s) [Archived 2013-mid 2019]

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Old Sep 5, 19, 11:49 pm   -   Wikipost
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This thread is now archived. Please follow the topic here: https://www.flyertalk.com/forum/chas...19-thread.html




If you feel your account has been unfairly closed, consider filing a complaint with the Consumer Protection Financial Bureau:

CFPB's complaint form: http://www.consumerfinance.gov/complaint/

When someone reports an account closure here, a lot of the same questions get asked. It might be useful to answer some questions in advance. This could help figure out what happened or how to proceed:
  1. Did you transfer UR points to someone with a different address? Different last name?
  2. Did you sell UR points to someone?
  3. Approximately what percentage of your charges earned less than 5x points in the past 12 months?
  4. Did a Chase or non-Chase bank recently close one of your credit cards?
  5. Are you using up a large percentage of your credit line on all Chase and non-Chase credit cards?
  6. Is your total credit line with Chase much higher than with other banks?
  7. Did you apply for many credit cards or other forms of credit in the past 2 months? ("Many" may be hard to define.)
  8. If you have a Chase checking account how much did you typically deposit in money orders per month, if any?
  9. Did you recently start spending a lot more with Chase than in typical months?
  10. Is your monthly balance frequently close to your credit limit?
  11. Approximately what percentage of spending was on gift cards this year?
  12. How much of your bill do you typically pay using WM or KMart bill payment if any?
  13. Do you have a Chase mortgage or other account that might be profitable to Chase?
  14. 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?
Related threads: 2013.1 2013.4
2013.9
2013.12 2014.6
http://www.flyertalk.com/forum/chase...ta-points.html

On 1/4/15, LivelyFL noted that 34 posts have referenced account closures (updated 1/25/15):
1, 55, 80, 108, 117, 129, 146, 165, 182, 212, 221, 222, 232, 235, 262, 272, 281, 326, 364, 410, 411, 428, 475, 477, 482, 513, 552, 586, 620, 648, 656, 662, 714, 718, 784 and 815.

Mortgasm provided more detail as follows:

001 - moarmiles little explaination - 'inconsistent spending'
055 - brettskyg chase gift cards tiny ms
080 - Artemk checking chase gift card, tiny MS, international wires, wall-mart BP
108 - TTnc4me (105 actually) no info
117 - rodsren
129 - Kybosh chase gift card checking
146 - mintcilantro - checking 6k/month MS, BB payments from another ss#, some MO/AP, 7new cards in 90days, short cycling
165 - newcomr - checking
182 - thehawk75 - heavy MSw/other banks,
212 - LRD - 2x spend of 20k /month (on two cards), checking
221 - iceman 77_7, no info
222 - jk2 no info
232 - hitman1420 checking , heavy MS activity (no number)
235 - clearlyanewb checking, MS activity (10k AGC and more), light credit history, 10 recent inquiries
262 - brc01 - shortcycling, some MS (18k/month over a few cards), 1
272 - rambo - 70% MS on 5 cards, WM BP of 16k/month on 5 cards
281 - prestonv - heavy MS - 20k/month on multiple chase cards, heavy WMBP (ink stayed open)
326 - pacupgo - false alarm, no shutdown
364 - edh101985 - tiny MS (bonus only) , 4 chase cards in 6 months,
410 - msetr - lots of freedom/ink ms
411 - standaman360 - international wires (business), million dollar balances,
428 - queensgambit - gambling transactions, UR point transfer from SO, 5 chase apps 3 new chase cc in 45 days, Blogger points coach
475 - dogloverjb - checking, international wires,
477 - ftomasz - 14 inquiries in 8 months, 5 chase, minimal MS, rapid upswing in credit, paying from multiple accounts
482 - liw5215 - Heavy MS, re-entered after 13 months
513 - thegasguru - checking, $3k/month MO to checking, NO MS, AP,
552 - LAXtoWorld - 3 cards in 30 days
586 - adavydov7 checking, $1k APs,
648 - CMHFlyerOH - checking, MO, 3k gift cards
656 - I can see for miles - Maxed UR 5x rewards on Freedom and Ink cards. Chased closed all accounts. Was approved for Ritz Carlton card 14 months later and did nothing unusual with it, other than lower CL from 30K to 10K to free up CL for possible approvals. Two subsequent Chase apps (Chase Ink and Marriott Rewards), on separate dates 3+ months later, were declined for a "previous unsatisfactory relationship ..."
662 - frogdog51 - Chase VGCs (Reapproved in 12 months)
677 - Subdawg - closed for piggybacking
714 - Mamibear - 'abuse' redcard MS
718 - maxswanson - MS, 11 chase cards, traded UR, (reapproved after 12 months)
752 - peaser - "reputational risk" associated with the business (decision reversed later)
757 - uncommonsensical checking, 3 Cashier's Check deposits with quick w/d (the w/d were to pay CHASE credit cards! ridiculous 'loss prevention' dept. gods). All CC's closed 2 days later. Tried EX Office- they seem to have zero power once the Mullah in loss prevention has issued a fatwa (my guess: some 27 year old with a god complex).
762 - knopfler - checking closed (all credit cards closed in both mine and Mrs. Knopflers accounts about three weeks after checking closure)
771 - milemonkey - 'reputational Risk" connected to Attorney General lawsuit
784 - unstable one: 2 cash deposits over 10k to chase checking
815 - dukerau - one time UR point sale, 77% spending is 5x,
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Old Apr 13, 17, 6:09 pm
  #1411  
 
Join Date: Jul 2014
Posts: 3,699
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.
Mamibear is offline  
Old Apr 14, 17, 2:44 am
  #1412  
 
Join Date: May 2013
Posts: 343
Originally Posted by Happy View Post

In this final act, apparently there would be no 20K UR pts earned. Me too, am interested to learn HOW Chase would treat that $200 the HCU had refunded due to it was already withdrawn by OliverB from an ATM in California.

Though I suspect OliverB would not come back to update us.
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.
flyershmlyer is offline  
Old Apr 14, 17, 10:41 pm
  #1413  
FlyerTalk Evangelist
 
Join Date: Jul 2003
Location: Florida
Posts: 27,286
Originally Posted by flyershmlyer View Post
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.
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?
Happy is offline  
Old Apr 15, 17, 3:12 am
  #1414  
 
Join Date: May 2013
Posts: 343
Originally Posted by Happy View Post
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?
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.
flyershmlyer is offline  
Old Apr 15, 17, 4:10 am
  #1415  
mia
FlyerTalk Evangelist, Moderator: American Express, Citi, Diners Club, Signatures
 
Join Date: Jun 2003
Location: Miami & London
Programs: AA & Marriott Perpetual Platinum; HH Gold
Posts: 38,362
Originally Posted by Happy View Post
... 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.
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.
mia is offline  
Old Apr 15, 17, 7:37 am
  #1416  
 
Join Date: Jul 2014
Posts: 3,699
Originally Posted by flyershmlyer View Post

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

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.
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.
Mamibear is offline  
Old Apr 20, 17, 6:56 pm
  #1417  
 
Join Date: Jul 2012
Posts: 26
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.
unstableone is offline  
Old Apr 21, 17, 12:53 am
  #1418  
 
Join Date: Sep 2013
Posts: 401
Originally Posted by unstableone View Post
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.
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?
MDJennings is offline  
Old Apr 21, 17, 6:45 am
  #1419  
jk2
 
Join Date: Dec 2010
Posts: 1,423
Originally Posted by unstableone View Post
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.
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.
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Old Apr 22, 17, 11:31 am
  #1420  
 
Join Date: Jan 2017
Posts: 7
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.
ducksauce is offline  
Old Apr 22, 17, 11:39 am
  #1421  
 
Join Date: Jul 2011
Location: SF Bay Area
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Posts: 1,760
Originally Posted by ducksauce View Post
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.
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.
STS-134 is offline  
Old Apr 22, 17, 1:55 pm
  #1422  
 
Join Date: Mar 2017
Location: LA
Posts: 42
Originally Posted by STS-134 View Post
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.


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.
eclipsor is offline  
Old Apr 23, 17, 10:12 am
  #1423  
 
Join Date: Oct 2011
Posts: 4,167
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.
Superorb is offline  
Old Apr 23, 17, 11:52 am
  #1424  
 
Join Date: Sep 2005
Programs: Northwest, United
Posts: 2,873
I see several potential red flags...

Originally Posted by ducksauce View Post
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
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.

Originally Posted by ducksauce View Post
...never cycled CL, and paid balance before statement date to keep utilization down.
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!!").
nwflyboy is offline  
Old Apr 23, 17, 4:12 pm
  #1425  
 
Join Date: Jan 2017
Posts: 7
Originally Posted by nwflyboy View Post
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!!").
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.
ducksauce is offline  

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