http://blog.lendingclub.com/2009/05/13/credit-card-borrowing-falls-by-record-amount/ The Official Lending Club blog Sun, 29 Jan 2012 13:31:47 +0000 hourly 1 http://blog.lendingclub.com/2009/05/13/credit-card-borrowing-falls-by-record-amount/#comment-1367 David Cuthbert Fri, 15 May 2009 16:55:36 +0000 http://blog.lendingclub.com/?p=1120#comment-1367 Another factor might be lowered credit limits. This week, I received a letter from BofA that they're lowering the credit limit on my card from $50,000 to $25,000 -- in other words, from astronomically outrageous to ridiculous. Considering that I only use it for online purchases (as a safety buffer -- should the number get compromised, anything over $50 is their responsibility, not mine), pay it off every month, and have never used more than $5,000, I couldn't care less. But for someone who's stretched to the limit, I can see how this would alter behavior drastically. Another factor might be lowered credit limits. This week, I
received a letter from BofA that they're lowering the credit limit
on my card from $50,000 to $25,000 -- in other words, from
astronomically outrageous to ridiculous. Considering that I only
use it for online purchases (as a safety buffer -- should the
number get compromised, anything over $50 is their responsibility,
not mine), pay it off every month, and have never used more than
$5,000, I couldn't care less. But for someone who's stretched to
the limit, I can see how this would alter behavior drastically.

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