Macy's Visa / unethical tactics

I've been a Macy's cardholder since 2007 and as far as I can see, I've never made a late payment with them. About a year ago, they bumped my credit card limit to $6500 with a $17.9% interest rate. I was finishing up college and I was running low on money, so I began using my credit cards. By the time I finally graduated college, I ran up my credit utilization over the 90% limit (around $12, 000 total). I found myself a job in early August and began paying off my cards. At this time, Macy's dropped my credit limit to the remaining balance on the card (around $5300) and began charging me an APR of 24.9% due to "outside credit information" (ie credit utilization), even though I've NEVER been late in payments with them or any of my other cards for that matter. I made my first payment on the card of $800, and watched my credit limit drop back down to the balance of the card within a few weeks and without any notice.

I gave them a call a few weeks ago, and after a long conversation the representative found that Macy's was going refuse to renew my card at the end of its expiration date & close the account, in spite of always making timely payments on all of my cards. Explaining to the representative that I am finally working and would have all my debt paid in several months was not enough. I was forced to close my card on my own prerogative because it would otherwise state on my credit report "Closed at the Creditors Request". As of today, my credit report reflects that my high balance on the card is $5300 & the limit is $4500, which will clearly hurt my credit score in the future, appearing as if I must've missed many payments on an overlimit account. I requested from the lenders to close the account, indicating a credit limit of $6500, because otherwise it would be unfair to reflect my past high balance with a much higher limit. They refused, claiming I was asking them to do something fraudulent.

At the end of the day, I'm left with a closed out card with a 24% interest rate on a balance that is to be paid off, a credit score that will look sore for some time, and a disgruntled taste in my mouth about how Macy's lenders proved they will play with your interest and limits at any given day, despite never missing any payments.


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