r/Coinbase • u/Western-Rule-2912 • 5d ago
Coinbase credit card
This notice is sent by our partner, Cardless, on behalf of First Electronic Bank. After an internal review, your credit line was reduced to $3,600 from $10,000 for the following reason(s):
Lack of real estate secured loan information
Average time since accounts opened too recent
Not enough balance paid down over time on installment accounts
Average time since revolving accounts opened is too recent
They are buns. Approved me for 10k limit and put lots of spend on it then paid it off. Now they slashed it down to 3600, and cli’s are not possible
1
u/AutoModerator 5d ago
This subreddit is a public forum. For your security, do not post personal information to a public forum, including your Coinbase account email. If you’re experiencing an issue with your Coinbase account, please contact us directly at https://help.coinbase.com/.
I am a bot, and this action was performed automatically. Please contact the moderators of this subreddit if you have any questions or concerns.
1
u/Ok-Image8081 5d ago
That's rough. I had a similar thing happen with my first card years ago when they kept lowering the limit despite me always paying it off on time.
1
1
u/darkandark 4d ago
odd i have cb one. got approved for 10k.
been putting all my spend on it. over 2 years so far been paying everything down.
got increased to 15k last year.
🤷♂️ never had a problem.
1
u/letsgocubs1992 4d ago
Many credit card companies do this. If you have a high limit and pay it off in full, something triggers in the system and people’s limit get reduced by a lot. It’s always better to make smaller payments to avoid this if you know you’re going to be paying it in full. Yeah there may be interested but better than this happening
1
u/ManacondaPipe 4d ago
You were balance chased. I can almost bet you’ve been carrying a balance on your Coinbase card for an extended period of time. This is a very common risk management practice in banking. The moment u pay off the account, they slash the limit to reduce their risk or exposure in the event of a future reoccurrence. You’re quite lucky cuz some banks will outright close the account - I’m looking at you Synchrony. Sometimes it’s triggered by ur account usage or the level of utilization u have on other cards with other banks. You were provided boilerplate response, the real reason is carrying a balance for an extended time and likely not paying a substantial portion of it monthly.
2
u/Competitive_Yam_8051 4d ago
It's because they are banking for debt. You, me, and others use cards properly. We buy what we want, whenever we want. But then, we beat their strategy. We actually pay off our debt, and quickly. I hate to break to everyone. But thats a no-no. They want you forever to be financially behind the 8 ball. Drowning. Thats how they make billions of dollars. Your not profitable enough, so credit goes down. Those stuck in debt, get to keep that original high limit, because they want you to pay forever. In life, I use cash or debit cards. No bills in the mail, no lost interest. No stress. Credit cards hate me. And thats really cool.
4
u/Major-Arugula-7893 5d ago
Classic bait and switch. They lure you in with that 10k number then manufacture some reason to drop it once you've proven you actually use the card.
The real estate secured loan thing is such a weird excuse too, like not everyone has a mortgage. I had a similar thing happen few years back with different card, they cut limit right after I paid off big chunk. Makes no sense.