Has anyone heard of getting a credit card blocked due to negative balance?

[imaplowboy]

This is weird, On the 4th I thought that I would do something nice that wouldn't get me in trouble so I paid the full balance on my credit card using guaranteed funds.

The next day, the payment was credited and the balance owing was 0.00 and my available credit was normal limit, evidently I forgot about the last rebate which was 5% of my payment, this was credited on the 6th which now gave me a -13.95 balance, the did post an account service charge of $7.00, which took my balance down (or up?) to -$6.95.

Now when I call up to get info on my card, I get the following message:

"We are sorry, but due to a credit balance on your account of
SIX Dollars and NINETY-FIVE cents, your credit card account has been
frozen for up to THREE weeks, because you are now considered a major
security risk"

I pay in guaranteed funds using RPPS, which is never subject to a hold of available credit. Their own payment rebate made me go under my balance.
I called their CS and they were nice, but they also said the account was now considered in default because I had a credit balance (which means that they owe me money :-) ), has anyone heard of such a thing?

After paying on it for a 1 1/2 yrs, I thought I was doing something right by Paying in full.

Jeff

[groze]

imaplowboy

I would call them back. They can't not legally report a credit balance in default. I just made mistake and overpaid, so could you unfreeze my card, so I can make a purchase?

Your credit card company charges you $7.00 service charge?

[Kitty]

i would call them back, too...

[Micallen]

Tell them you will take your business elsewhere !!

[imaplowboy]

I wish I could, but my credit is too shady so all I could get are sub-prime cards with hefty
fees charged in advance using up 90% of the credit limit, which is barely enough to go to a cheap restaraunt with. I have to keep these for about 7 more years then I should be able to get some decent cards since my report should be clean.

Put it this way, I couldn't even get approved for a secured card due to being to much of a risk, but I don't understand what the company's risk is on a secured card.

They said that the can't override the system and release the card because he system blocked it because it is a security risk to the bank, but they can't tell me how is an overpayment a security risk when you paid in guaranteed funds. I could understand if it was a check or money order payment, someone could charge everything up then stop the check.

The problem was it was their payment rebate that took me negative, they didn't say that they were going to report the account, they just stated that having a credit balance is considered a type of default (which explains why the hefty AF didn't post.)

I always get weird stuff happening to me, a while back ago I kept getting collection calls and notices in the mail for an overdue payment of $0.00 (From an old phone account).
They kept insisting that I make a payment of $0.00 :D

I just rate my life like this:

This method worked for the last 9 out of 10 people.

***I'm always the 10th!****

LOL

Jeffrey

[tmason68]

call back and tell them to send you a check....ask to talk to a supervisor....they at least have to give you your $ back if they wont let you use the car

[groze]

call back and tell them to send you a check....ask to talk to a supervisor....they at least have to give you your $ back if they wont let you use the car


I was going to say that as well, you may have to wait tell Monday during the day 9 a.m. to 4 p.m. (There time).



imaplowboy

customers service say's that cant be overridden, that is not true. Just have to get the person who can override it.

Do you really need a secure card? There are prepaid debit cards that can work just as well. Two I would recommended. One is the wal-mart money greendot card, the other is Kroger RBS citizen prepaid debit card. (RBS prepaid card may have more under a different grocery store name)

Caution, don't use the prepaid debit card with paypal or google checkout but you can use a moneypak with paypal.

[tmason68]

yeah...groze makes a good point....prepaid debit cards may be a good idea for you

[groze]

tmason68
Thank you.

imaplowboy may be trying to build credit. I really don't know if a secure credit card is good idea nowadays. I read reports that people had harder time getting credit with those on their credit report. Store brand credit card would be a lot better.

The only time I would every get a secure credit card, is if I need it for a hotel or car rental. Some of those don't accept debit cards but more are starting to, thanks to the economy.

[tmason68]

store cards are a great way to build credit...good idea groze

[Kitty]

Best way to rebuild credit - file chapter 7. Within a year or two you'll have credit again. I have 2 family members who did it and both were able to buy a car and a house within 3 years.

[groze]

Kitty is correct. However, it is harder to get an apartment though. On CH 7 or CH 13, I think you have to go through CCC and if they can't help you. Then you can file CH 7.