Q: I had a $8000 limit credit card, all of a sudden I get letter saying its only a $2000 limit (I had $1800 balance)
I was not given a reason for this decrease in limit. I have a decent credit score n nothing crazy happened to my credit profile at that time. then couple days later I get an email saying my limit was back up to $8000 and it was according to credit karma. this was in April, then in late may I try to make a purchase and get denied so I call BMO credit services to ask why. they say im over my limit of $1900. the n I get a letter in the mail on June 14 saying that during regular account maintenance the week of April 17 my account limit was decreased, a letter stating this was mailed April 26. then a email was sent (No exact date given) stating my account limit was increased back to original amount. And that this email should be ignored. this is two months later that they are telling me to ignore this email. at some point my limit was lowered to a $1900 making my credit utilization for this card 100%. but overall utilization is still >30%. what can I do about this negligence by BMO?
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- California
- (916) 704-3009
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- Answered
A:
Under California law, you have rights to dispute errors on your credit report and to file a complaint about your credit card issuer’s actions. First, review your credit card agreement to understand any terms related to credit limit changes. Gather all correspondence from BMO, including letters and emails about your credit limit adjustments.
Next, contact BMO's customer service to formally dispute the inconsistency in your credit limit and request a written explanation for the changes. Emphasize that the sudden changes and lack of proper communication have negatively impacted your credit utilization and financial planning.
If BMO does not resolve the issue to your satisfaction, you can file a complaint with the Consumer Financial Protection Bureau (CFPB) and the California Department of Business Oversight. Additionally, consider contacting the major credit bureaus to explain the situation and ensure that your credit report accurately reflects your credit limit and utilization. Document all your interactions and keep copies of all communications for future reference.
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