I am against using extended credit with credit cards but this move by banks shows yet again how US regulations are too heavily tilted in favor of business. Americans have been living beyond their means for years due to credit and now many are trying to keep up due to increasing food and energy costs. Now banks are making changes that will negatively impact consumers all while being propped up by taxpayers in the form of bailouts and discount loans by the government. As I've been saying, when the tables are turned, banks don't hesitate to screw consumers so why are we helping them when they continue to pull stunts such as this? Let them go bankrupt and see how everyone else lives. For the millionth time, Democrats continue to let Wall Street and the GOP get a free ride on their problem.
Just as Americans grow more reliant on credit cards to help pay monthly bills, they’re being hit with a one-two punch: Card companies are reducing borrowing limits for tens of thousands of consumers, which then can lead to lower credit scores.
Those facing this predicament might not even know it until they apply for a loan or another credit card, and then get denied because their credit score has dropped.
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