During the second week of January, I called MBNA to verify that I had enough of a credit line to pay for my upcoming wedding in April. Not only did the representative say that my credit line was fine, he suggested that they could do a balance transfer instead, straight into my checking account, as the rate would be 4.7% for the first year. He said it would take approximately 6 to 8 days for the transfer to take place.
The first week passed, and I received a phone call to verify my idently. The representative took my information and told me the funds were on the way.
The second week passed, and I received a letter saying that my balance transfer request had been canceled because they were unable to verify identity. It also said to ignore the letter if I had already spoken to a representative. Well, to make sure there were no problems with my account, I contacted MBNA again.
For 15 minutes, he grilled me about my identification; the next thing I knew, I was being handed over to a financial analyst who stated that ""I was high risk, and my credit line would no longer be available to me at my original amount."
She said they would be dropping from $22,300 to $3,000. OUTRAGEOS! After almost 11 years of being one of their customers, I was extremely angry that they were doing this, since I have a wedding to pay for. If THEY THEMSELVES hadn't suggested the balance transfer 3 weeks ago and told me 3 weeks ago that the credit line wasn't available then, I would have made other financial arrangements.
The representative even said I had a good payment history with them, but EVEN the fact that I recently received a raise of $20,000 would not help. She said I was overextended---and the fact I took 3 years off after dental school to travel (instead of working) was a negative factor. For the record, I have been able to make all my bill payments, without difficulty, to all my creditors.
I have dental school friends who graduated with over $100 K in debt. This representative was complaining that I am approximately $60,000 in debt, but did not care that I am making a six-figure salary.
I told her to close the account---she hesitated and said she wasn't closing my account, she was lowering the credit line. To that I responded, "Close my account and I will never do business with MBNA in the future." Do they think that I am that desparate that I need to keep on doing business with them?
Is it any coincidence that they decided to lower my credit line after recently having paid off 95% of the balance? And this is not the first incident I have had with them. About 5 months ago, I tried to access one of my loans with them in the amount of $5,500. They said it was no longer available! (Of course, at that time, I din't quite know what to think.)
It is quite obvious that MBNA is running a scam of some kind and taking advantage of their consumers. I cannot believe how they would lead on a customer in good standing, and of 11 years!
P.S. Dear MBNA---I have found another lender who recognizes my employment earning potential and they have approved a loan for my wedding!
Big Springs, West Virginia