Credit Card Help, Can anyone advise?

[CreditCardHelp]

I paid my credit card off in full 2 days ago, and I've just had a text to say they have decreased my limit. I now 2grand vanished into thin air, which is my money to survive on for the next 3 months. I have always paid more than my monthly minimum payments and an advisor I spoke to 4 weeks ago said that my account was looking good and it was being managed really well. As I'm a student, I pay off my balance in full every 3 months when my loan comes through the live on that, always paying my minimum payments off.
My credit score hasn't changed, there is no reason why they would do this. I now have been left 100 pounds to last me 3 months. They have passed it into complaints and say it can take up to 8 weeks to get back to me. Can they do this? The guy on the phone said they may be able to compensate me if it's left me in financial hadrship, which it has. I'm really worried about this now, and worrying that I will have to drop out of uni. They have me no warning that they had any concerns with my account, they just did it today.
Has this happened to anyone and what happened when they reviewed it?

Defaults stay on for 6 years even after they are paid
The lenders must be able to see them even if you can’t. I have a free credit check account and I can’t see everything on it as there is more than one credit reference agency

But I had those when I first got the credit card, so surely they wont care about it now?

This is MSE advice like a PP said

Who is it with? Vanquis? Aqua? They are all awful companies IME they prey on low income people to earn money off. They are known as a sub prime lender. Sub prime lenders brought on the financial crash in 2008.

There are more regulations and protections now but IME you end up dealing with everyone in a call centre, their customer services is shit, you never see anyone face to face etc not like a bank where you can walk in and talk to a human person, everything is done and decided by computers

Marbles.

I've just found a review online that says that they are not after people who pay their balance off in full.... I won't back down though. Reinstating my limit will be much easier than the total pain the ass I can be.

If they do reinstate you leave money on there every month, but reduce the spends iyswim

So for £1500 balance, only pay off £1400
But then only spend £1200 on it next time
Then when you have £1200 balance, only pay off £1100
Cut down your reliance on it - is there anything you can save - even £2 coins, sell things etc to have hard cash rather than credit

Can’t you get a student interest free overdraft. I got £2000 this way as a student.

The uni probably has a hardship fund too.

Are you definitely getting all the childcare costs you can claim?

Child care grant is yet another ongoing saga of people not able to do their jobs properly.

Glad you're getting some good advice from some folk on here OP.

Wish the rest of them berating you and sneering at your financial habits would be kinder though, talking to you like you're stupid when you're stressed and asking for advice isn't helpful and some cases come across as spiteful.

I would definitely apply for another card in your situation, I think there's some sites that do a soft credit search and show you what cards you can apply for with the percentage next to each one showing how likely you are to be accepted.

Good luck OP.

Does your university have a department that deals with student welfare? Some have debt advisers.

Yes everybody could of years they write and say they are reducing the limit. I phone them up and they restore it to what it is b

It’s a all part of a government led thing that they have to review limits on a regular basis to make sure people don’t overstretch

Could is couple

Sorry Pookie but it's terrible advice to pay all but £100 off a credit card, because you'll pay interest on the entire balance for a good portion of the month and end up costing a fortune.

I've never paid a penny in interest on credit cards and usually profit due to cashback and exploiting 0% offers and I've never been rejected for a credit card even though it's obvious from my credit file how I operate.

Have you not got a student account? They'd probably let you gave a £2000 overdraft.

The only other credit cards I would be accepted for have even worse reviews.

The advice to get another credit card is terrible. You don't tell someone whose clearly struggling with money to get into more debt. You need to get some serious professional advice about money management.
If they reverse your payment (which is extremely unlikely no matter how much you kick off, and for what it's worth from someone in the industry please believe me when I say you won't get what you want just by screaming louder and louder, a no will remain a no). You're going to end up owing even more in interest and be no better off in long run. I appreciate it may benefit you in the short term but it really won't help long term, you'll end up in the position you were before with debt you cannot afford to pay. You need to explore other avenues as much as possible. Definitely talk to the university. Also speak to UC and advise them you cannot afford to be without any money and ask them to reduce any amount they are deducting from your benefit allowance to a nominal amount. Try and get a job working one day a week. Any money coming in will help but take into consideration the impact that will have on any benefit entitlement. Getting a loan would be better financially if you really can't manage without debt because the interest rate is usually lower, set for the amount of debt and repayments are a set amount a month too.

Unfortunately I have no one to guarantor a loan for me. I feel so bloody stupid. I really thought I was doing a good thing.

@BarbaraofSeville

I gave that advice based on leaving some money on it because that is why they reduced her limit as she keeps paying in full. Even if it’s £20 or £10, but paying within 56 days so you don’t get interest - is that not the time limit?

It was actually £100 under the limit I paid, because it woudn't let me pay the full amount for some reason. I paid off in full what I could then went to pay the rest today.

You would you need a guarantor? I'm not talking payday loan I'm talking legit loan through the bank

@PookieDo leaving a small amount on there or paying in full will make no difference to reducing the credit limit

I had a student overdraft at 2k, when I left university. It was several years before I was getting a salary that seen me £300 in the red each month. One day I got paid, went to draw out money, and nothing. The bank reduced my 2k over draft that day, as soon as my wages went in. Nothing I could do about it. Within 6 months I was drowning in debt. Had to go through a debt management company. Please don’t see an overdraft as a way out! (Also the 2k over drafts they offer, DON’T start at 2k, they will start at something like £300 and you build it up gradually over the years you are at university- stay clear! That’s my advice).

Also be careful about skipping lectures, they may be recorded, but most universities keep an eye on this, and you could be asked to leave the course even if you believe you are keeping up with work.

I’m not eligible for any loans or overdraft

I don't see how constantly telling the OP that living off a credit card isn't the best idea, is helping her current situation. Telling her to manage her money better isn't helping the situation either. She currently has £100 to live on for 3 months, and the advice should start at that point.

Pookie credit cards are only interest free if you pay the entire balance off in full by the due date. Leave even £1 on and you pay interest on the entire balance on an daily average balance basis.