Your credit card limit can be reduced without your permission and approval. Banks may set a lower limit as a result of updates made by taking into account information such as a person's economic/social situation and credit rating/score.
What can be done when the limit is reduced?
When the limit is reduced, existing debts and installments are not erased; the available limit decreases. This can cause problems with installment purchases and trips abroad.
The customer can ask the bank why it was reduced and request a reassessment once the situation improves. If the bank sees that payment habits and income information are up to date, it may increase the limit again.
Keeping income and contact details up to date helps the bank make the right decisions.
Knowing your rights
If the bank reduces the limit, it is obliged to notify the cardholder. Keeping a record of the new limit and the reason stated in the notification is useful for future applications. In case of a dispute, the bank's customer contact channel and the complaint channels of regulators can be used.
