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Chase Shut Downs & Credit-Card Account Closures: Data, Tales & Speculation 2019-on

Old Sep 6, 2019, 8:04 am
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Last edit by: StartinSanDiego
Chase Shut Down thread: (Archived version found here: https://www.flyertalk.com/forum/chase-ultimate-rewards/1526572-chase-closed-my-credit-card-account-s-consolidated.html]
There is a general Shut Down thread in the Manufactured Spend forum, found here: https://www.flyertalk.com/forum/manufactured-spending/1948543-2019-shutdown-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/
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What happened?
When someone reports an account closure here, people are curious as to both the background on the Chase relationship and any/all potential shut down triggers. Please answer any relevant questions to give details. This could help figure out what happened or how you could proceed:
  1. Background: Do you have both Credit Cards and Banking accounts with Chase? Tell us your history at Chase. What do you feel the trigger could have been? Does anything unusual (from the bankers perspective) go on in your accounts? How long have you had a banking relationship with Chase? Please explain.
  2. Ultimate Rewards: Did you transfer UR points to someone with a different address? Different last names? Did you sell UR points to someone?
  3. Potentially suspicious activities: Do you use multiple sources to pay your credit card bills, such as Walmart Bill Pay? Do you ACH using multiple accounts? Did you recently wire transfer large amounts into or out of your Chase accounts?
  4. Bonus Earnings: Approximately what percentage of your charges earned less than 5x points in the past 12 months?
  5. Other possible Triggers:
  6. Did a Chase or non-Chase bank recently close one of your credit cards?
  7. Are you using up a large percentage of your credit line or cycling the credit lines on all Chase and non-Chase credit cards?
  8. Is your total credit line with Chase much higher than with other banks?
  9. Did you apply for many credit cards or other forms of credit recently? 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? Do you mimic a "bust out" profile? (Someone maxing out credit prior to filing bankruptcy)
  10. If you have a Chase checking account how much did you typically deposit in money orders per month, if any?
  11. Did you recently start spending a lot more with Chase than in typical months?
  12. Is your monthly balance frequently close to your credit limit?
  13. Did you abuse the Chase Refer a Friend system?
  14. Did you use/abuse Chase's new checking/savings sign up bonus incentives?
  15. Did you bounce a check for a credit card payment?
  16. DId someone at your address get shut down also?
  17. Do you have a Chase mortgage or other accounts at Chase? Are they in good standing?
  18. Did you dispute or return items on your credit cards? How many times?
  19. Have you recently needed back office help on your accounts, which may have triggered a review or called attention to something?
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Chase Shut Downs & Credit-Card Account Closures: Data, Tales & Speculation 2019-on

Old Mar 28, 2024, 8:39 am
  #706  
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Join Date: Dec 2002
Location: Danville, CA, USA;
Programs: UA 1MM, WN CP, Marriott LT Plat, Hilton Gold, IC Plat
Posts: 15,716
Originally Posted by M60_to_LGA
I don't know that this clarifies anything, but as a data point: I just got a new Freedom Flex card and immediately used it for a $5,000 charitable contribution. I had no problems with that transaction or with any others since.
I do this often (charge a large single item) soon after receiving a card in order to qualify for the sub. It does not trigger alerts because it is clearly a legit purchase and not MS. Also nobody steals a card and immediately makes a large charity contribution. Instead they go immediately go on a spending spree at Target, Nordstrom, Home Depot, WalMart.

Chase is delighted when people run up balances. They just don’t like games like MS
Boraxo is offline  
Old Mar 28, 2024, 1:40 pm
  #707  
 
Join Date: Mar 2008
Posts: 1,530
Has Chase always been "sensitive" to "light" MS? I've had (and have) multiple cards (but not doing the multiple CIP thing) over the past 6 years. Always used a *little* ($1,000-$2,000) in GC purchases plus organic/regular spending to meet the MSR for the SUBs (generally put a $500 GC in with groceries, etc.). I guess I must be tempting fate based upon what is being posted recently (although looked like most of the folks who got shutdown are doing like $5k-10k/month or something)? I know Amex won't necessarily shut you down for light MS, but won't count it towards your MSR either. Citi (so far) doesn't seem to care. Never had to with Barclays due to such low MSR (ie: one charge, or $1,000 for their AA cards).
hurnik is offline  
Old Mar 29, 2024, 4:36 am
  #708  
 
Join Date: Feb 2019
Posts: 5,851
Has anyone had all their cards and banking accounts closed, and then when attempting to reapply again with a banker years later, were told Chase cannot open accounts for you and the reason is marked as “CONFIDENTIAL”
Sandeep1 is offline  
Old Apr 2, 2024, 11:40 pm
  #709  
 
Join Date: May 2003
Posts: 6,359
Originally Posted by Sandeep1
Has anyone had all their cards and banking accounts closed, and then when attempting to reapply again with a banker years later, were told Chase cannot open accounts for you and the reason is marked as “CONFIDENTIAL”
Yes.....
gregorygrady is offline  
Old Apr 3, 2024, 12:26 am
  #710  
 
Join Date: Feb 2019
Posts: 5,851
Originally Posted by gregorygrady
Yes.....
Any known way to come back from that or is game over?
Sandeep1 is offline  
Old Apr 3, 2024, 12:33 am
  #711  
 
Join Date: May 2003
Posts: 6,359
I'm sporadically able to open new Chase CCs, I simply lob in a new CC application or two every couple years and see what sticks. Sometimes they will deny me a CC right off the bat, but about 40% of the time my application will be approved and I will receive a new CC. I usually make the sign-up bonus spending really quickly on the card because Chase usually catches their mistake and shuts me back down within 3-6 months. As long as I've already received the signup bonus though, I'm fine with continually getting shutdown.
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gregorygrady is offline  
Old Apr 3, 2024, 12:51 am
  #712  
 
Join Date: Feb 2019
Posts: 5,851
Originally Posted by gregorygrady
I'm sporadically able to open new Chase CCs, I simply lob in a new CC application or two every couple years and see what sticks. Sometimes they will deny me a CC right off the bat, but about 40% of the time my application will be approved and I will receive a new CC. I usually make the sign-up bonus spending really quickly on the card because Chase usually catches their mistake and shuts me back down within 3-6 months. As long as I've already received the signup bonus though, I'm fine with continually getting shutdown.
When I attempt to apply for a CC, it recognizes my SSN and says to login using my previous credentials. But Chase says I don’t have a login since I’m not a cardholder. So somehow Chase has flagged me and preventing me from even applying.
Sandeep1 is offline  
Old Apr 3, 2024, 1:03 am
  #713  
 
Join Date: May 2003
Posts: 6,359
Hmmm, it's been 12-18 months since my last Chase CC application (I think I got Ink Preferred and Ink Cash back then). Perhaps they have changed their systems recently to not allow us to apply if we are on their blacklist? I sure hope that's not the case though. I wish there was a certain time period after which you could get back into Chase's good graces. I think I was shutdown back in 2012.
SPN Lifer and Sandeep1 like this.
gregorygrady is offline  
Old Apr 3, 2024, 3:31 pm
  #714  
 
Join Date: Mar 2011
Location: SAN
Programs: Delta Gold. Hilton Diamond. Hyatt Explorist.
Posts: 1,672
Originally Posted by hurnik
Has Chase always been "sensitive" to "light" MS? I've had (and have) multiple cards (but not doing the multiple CIP thing) over the past 6 years. Always used a *little* ($1,000-$2,000) in GC purchases plus organic/regular spending to meet the MSR for the SUBs (generally put a $500 GC in with groceries, etc.). I guess I must be tempting fate based upon what is being posted recently (although looked like most of the folks who got shutdown are doing like $5k-10k/month or something)? I know Amex won't necessarily shut you down for light MS, but won't count it towards your MSR either. Citi (so far) doesn't seem to care. Never had to with Barclays due to such low MSR (ie: one charge, or $1,000 for their AA cards).
Most data points indicate Chase will tolerate light MS on the credit cards, but may shut you down if your bank accounts are involved (i.e. don't deposit money orders in your Chase bank account).
hurnik likes this.
ChrisFlyer66 is offline  
Old Apr 6, 2024, 1:08 am
  #715  
 
Join Date: Feb 2011
Location: NYC suburbs
Programs: UA LT Gold (BIS), AA LT Plat (CC SUBs & BD), Hilton Dia (CC), Hyatt Glob (BIB), et. al.
Posts: 3,279
Originally Posted by gregorygrady
I'm sporadically able to open new Chase CCs, I simply lob in a new CC application or two every couple years and see what sticks. Sometimes they will deny me a CC right off the bat, but about 40% of the time my application will be approved and I will receive a new CC. I usually make the sign-up bonus spending really quickly on the card because Chase usually catches their mistake and shuts me back down within 3-6 months. ...
Any effects on your credit scores and/or approvals from other issuers? Thank you.
SPN Lifer likes this.
Dr Jabadski is offline  
Old Apr 6, 2024, 5:51 am
  #716  
 
Join Date: Sep 2016
Posts: 284
just an update for anyone else going through a similar situation - they didnt' close my business credit card which still works... i'm hesitant to start spending on it.

they said they wanted me to upload SS, ID and utility bill which I did. We'll see if they re-open it, but why not request it first before closing the account??? makes no sense.

they said i wasn't on the hook for the balance since it was closed due to suspected identity fraud.

Originally Posted by mia
If you call the number of the back of your card is the call redirected to the Fraud Department? If you tell them you are calling to pay your bill, what do they say?
Xyzzy and ChrisFlyer66 like this.
atojbk is offline  
Old Apr 17, 2024, 5:29 pm
  #717  
 
Join Date: Sep 2016
Posts: 284
account got reopened but i can’t register online access. now it’s locked again trying to reset my old username.

fraud won’t talk to me again. holy lord…..

Originally Posted by atojbk
just an update for anyone else going through a similar situation - they didnt' close my business credit card which still works... i'm hesitant to start spending on it.

they said they wanted me to upload SS, ID and utility bill which I did. We'll see if they re-open it, but why not request it first before closing the account??? makes no sense.

they said i wasn't on the hook for the balance since it was closed due to suspected identity fraud.
atojbk is offline  

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