Anyone have their credit lines cut off? (loan, heloc, credit card)

[anicon]

Just curious if anyone with HELOC's have had their credit lines restricted since the market tanked?
Or credit card companies lowering max lines?

Hopefully not.

[adjusterjack]

Probably not, or it would have been in the news.

[SmartMoney]

It is coming. It has to as banks minimize risks. Get your cash now or be prepared to do without.

[Skipito]

I actually just had one cut on my "emergency Visa" that I keep in my travel bag with a backup ID in the event I were to lose my wallet traveling or something like that.

I just got a letter yesterday from the CU that issued it that they were cutting the limit from $20K to $5K. Doesn't make much of an impact to me directly, although it might make a difference on my debt utilization depending on where I'm at with reimbursements and billing cycles.

[KSLoanOptions]

This is going to happen to lots of people in the next few weeks.

[mortgageboss]

It happened in 2008, banks cutting off HELOCs, Personal Lines, and Credit cards.

I heard it was starting to happen and pulled all my funds out of two HELOCs before they were cut off. those funds allowed me to weather the recession.

If you think you need the funds, grab them now, You'll pay interest, but its better that not having those reserve funds. I wouldn't do that with credit cards, however.

[SmartMoney]

Yep, scores are going to tank as utilization ratios climb. What was 5% of the limit is now 95% of the limit.

[anicon]

appreciate al the replies. been hearing stories of loan servicers having big problems right now- but no confirmation. praying this all passes soon.

[Hemlock140]

I have had my limits increased recently by two credit card companies, but it was in early February just before the crisis hit. Since I'm essential and still working full time I don't expect to need to use any additional credit.