Reply #44: You bring up a good point about credit ratings . . . [View All]

[ET Awful]

These limit decreases can screw people in more ways than just lacking available credit.

1/3 of your standard FICO score (approximately) is based on your utilization of available credit.

For instance, if you have a credit line of 4800 and you use around 2400 (using the OP as an example), your utilization is around 50%, not great, but not horrible. However, if they then cut your limit to 2400, you are not using close to 100% of your available credit.

This can drastically decrease your FICO score which limits your ability to get new credit if you need it, despite having perfect payment history.