My FIA credit card closed two accounts - not just one --- is this legal?
I have two credit cards -- a FIA credit card and BofA card (I didn't know they were the same company). I called to dispute a rate change because one late payment (1st in a year - I have had the card ( formerly MBNA ) for 8 years) --- they ran my credit and decided to closed the account because my income does not meet their standards - now!, to which i agreed. However, I received two letters, one from FIA and one from B of A -- both indicated the same -- that the credit card account has been closed. The B of A card has not intro rate and I have had it for 3 years. While I agreed to the FIA closed account - I didn't for the B of A. Is it legal to closed the B of A account???
- Steve LLv 41 decade agoFavorite Answer
Yes it is. If I were you they may have been doing you a favor. It may be years before you see just how realy fortune you are
- OC1999Lv 71 decade ago
Yes it is legal. A creditor can close an account at any time for any reason. You didn't have to agree to "allow" them to close the FIA card, they were going to do it anyways. It actually does not matter if BofA owns FIA or not. If BofA reviewed your credit report they have this same right to determine if they want to continue to extend you credit.
Unfortunately in your situation the answer was No, so it was closed. Now, what may happen is that if you have other credit cards and they review your report. Because these accounts have been closed, they may see this as a possible negative item and close those accounts also.
- ReenaLv 71 decade ago
Of course it is legal and don't think that it isn't happening all around you.
Just as you had to apply for a credit card and your income had to meet their standards back then you can expect that they periodically check your income situation and if they find you are no longer within their acceptable range they can close your credit card account.
Give it about 6 months and then apply for a credit card with another company.
- bdancer222Lv 71 decade ago
Not only is it perfectly legal, most credit cards are reviewing existing accounts resulting in higher rates, lower limits, and closed accounts. Standards have become stricter. Credit is harder to get.
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- Ed AtunLv 71 decade ago
It is not fair but it is legal. I would contact the Dispute Resolution center at B of A. They don't want to lose good customers due to a computer error. A human being needs to review your account..
- Anonymous1 decade ago
It's called the credit crunch.
- Anonymous1 decade ago
Of course it is legal. You don't have a RIGHT to credit.