Discover is closing its credit cards with tons of customers
 

My discover card, one of my oldest cards with history around 10 years, was closed without any notice few days ago. As of now, there is no call or email from discover stating the reason nor letter in the mail. The available credit dropped to be 0 and any unredeemed cashback balance seemed like blocked.
The same case was reported from some of my friends recently

How recently had you used your card?

Maybe you racked up a lot Cashback Bonus in a short period of time? Any unusual activity in the past months/years? Discover is cracking down on MS? Did they give any reason of closure by asking them?

I do see several people reporting their accounts closed in another forum. Wondering submitting a complaint to CFPB would help.

Discover is closing its credit cards with tons of customers
 

Mine were closed as well. Reason given "security" with absolutely no real explanation given to me even after contacting executive offices. No unusual activity, no MS, only cb earned through legit purchases via portal.

Account was 15 years old.

Just when I thought Discover was getting better. They're an awful company in my experiences that clearly has no respect for their customers.

Do they take away the CBs you have sitting in your account when they shut down the card?

I haven't found "tons of shut downs" anywhere in last several months.

Hopefully Discover isn't taking a page from BMO's playbook, though in the case of the latter it looks like it's MS triggering the shutdowns. These days I only have Netflix going to it to keep the account alive (and Apple purchases online maybe once every couple of years for the 5% ShopDiscover + 5% online purchase bonus) and had no problems with the last charge they made.

In my case, MS is definitely not the cause of shutdown. I had zero MS on this card as I mentioned.

I had cashed out all of my cb so nothing was left outstanding.

Ok, but you haven't answered the other question: How long had it been since you'd last used the card?

Or could it be what you did on other cards? Banks where you have a card can (without it counting as a hard pull) periodically look at your credit report and see what you've been up to (credit-wise) elsewhere. Is there anything else on your credit report (say, total spending way out of proportion to your income on other cards) that they could have seen and reacted to?

It doesn't have to be on Discover's card that spending $500k a year with a $25k income will raise a big red flag! :eek:

I closed my last Discover Card 5-7 yrs ago and never looked back. I don't ever plan on having another one or a Cap1 either.

I have not used mine for purchases for at least 6 months. I did use to buy fuel a week or so ago. Then yesterday, I got a mailer from them offering to give me 75 usd cash back bonus if I spend 1k until April 30th.

I guess I'll be a DiscoverCard guy until I hit 1k spend.

lol

Lack of use as a cause? I had my Discover Bank account shut down after 6 months of no use, without any warning or cause. Maybe they're applying this to CC's now?

Rambo - did they send you a check for the remaining balance of your bank account? I thought bank accounts take about 24 months of no use before they close them. At least that's what happened to a Chase and a local CU accounts I had. Though I believe this is different in every state.

I got a similar one with $100 cash back if i spend 1k. Have not used it in a while but i guess i will this month for the $100.00