Unwanted credit card!

iVillage Member
Registered: 06-02-2003
Unwanted credit card!
6
Mon, 11-08-2004 - 3:19pm
Hi all - I'm one of the two men who post on this board :-)

I received an offer through the mail to apply for a Direct Merchant MC with a 0% balance transfer APR for the life of the amount...so I applied. It's been 4 weeks and I've heard nothing, so I called. Well, they approved my application....for $400!! The amount of the balance transfer was $8000, which they of course denied. Now when I get the CC with a limit of $400 I have to call and cancel it.

HOW do you avoid applying for a new card with a low balance transfer APR and receiving a ridiculously low credit maximum? I'm guessing that cancelling this card will hurt my credit rating, which is in the pits anyway.

Thanks in advance for any advice...

Steve

iVillage Member
Registered: 07-26-1999
Mon, 11-08-2004 - 4:29pm
I can't answer your question, but if it makes you feel any better the credit cards that I opened an cancelled in a short period of time after opening them show on my credit report as "too new to rate" or something like that, so I don't think it hurts your credit rating. Just cancel the card NOW before you can charge it up and risk not being able to pay it, even if it is only $400
iVillage Member
Registered: 03-25-2003
Mon, 11-08-2004 - 7:00pm
Are they going to send you balance tranfer checks? If you can get the checks at the same rate then I say transfer what you can and then pay it off from there. It may be a small amount but its still 400.00 that you are not paying intrest on. I have a Capital one that did that to me so I transfered what was available, when it was paid off they sent me more checks with a 0% for balance transfers. Its a PITA but like i said, no intrest on anything helps. Just make sure there is no balance transfer fee

iVillage Member
Registered: 09-21-2004
Mon, 11-08-2004 - 9:42pm
That is like the same thing that has happened to me. I wanted to transfer my one cc to the new one and cancel the old one. Well, they gave me no where near the amount I needed. I don't even want the card now. I might just leave the account open for awhile until I can find out if it will hurt my credit or until I can get the limit raised so I can cancel my old one. But I am not using it. I haven't got mine yet either so am going to watch out for that.
iVillage Member
Registered: 03-29-2003
Wed, 11-10-2004 - 5:35pm


One more question... if you receive a card in the mail with a ridiculously low credit limit and you don't call the number to activate the card, is it still considered an "open" account??


Kimberly



iVillage Member
Registered: 09-21-2004
Wed, 11-10-2004 - 7:21pm
Yes I believe it is still open. But not positive on that does anyone else know?
iVillage Member
Registered: 07-26-2004
Thu, 11-11-2004 - 12:14pm
Yes, it is still open, and will still report on your credit report.