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Hooters Closed my account


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Much to my surprise and “dismay” hooters closed my account lol because, they reviewed my credit report recently and decided that, I now have too many Credit Cards lol! After I paid there crazy 59.00 yearly membership fee, I just had the card fro 7 months. So I told the CSR I wanted a prorated refund on my membership fee, he then put me on hold and came back and told me he was unable to do that. I think I am going to File a complaint with the BBB, stating they charged me a yearly charge to use there card but did not allow me to use the card for the year and I would like to have a prorated refund of the Membership fee… I am sure it will get me no where but it would make me feel better… I was going to put them on the chopping block at the year mark anyhow but still… My scores dropped, because they closed the account…

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How many cards do you have? Were you using the Hooters card?

From what I understand, Hooters likes to see usage, not sockdrawerage. They seem to reward usage with CLIs (or did in the good old days a few months ago). This is the first I've heard of them closing an account - but jq26 posted here earlier today about Chase closing his little-used Wamu card.

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How many cards do you have? Were you using the Hooters card?

From what I understand, Hooters likes to see usage, not sockdrawerage. They seem to reward usage with CLIs (or did in the good old days a few months ago). This is the first I've heard of them closing an account - but jq26 posted here earlier today about Chase closing his little-used Wamu card.

With anything there's an exception to the rule...In Feburary I went on an app spree and got approved for : Discover Motiva, Amex Blue, Old Navy, Gap, Abercombie, Talbots, Cap One, Best Buy and Hooters.

Of the above cards Hooters is the only one I haven't gotten a CLI from yet... Still stuck on the orginal $500 limit. Have charged an average of $75-$100 a month on it... So really the whole credit game especially now is a crapshoot.

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I have on good authority that Hooters - at least a few months ago - likes users who nearly max out and PIF. These are the folks who get rewarded with CLIs on the theory that you don't need a CLI if you don't use what they've already given you.

I'm still curious how many open accounts the OP has.

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Why are companies doing this crap? I thought their profit came from interest paid by the users. Even if one doesn't use the card much, the company can still make a little money on the AFs right?

It's bad business if you ask me. If I were someone who received a significant CLD, I would consider closing the account immediately.

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Well, remember, Scorch, most of these companies/banks we are talking about have not benefitted from the bailout. And, as jq26 has posted elsewhere they are suffering - Merrick in particular. They aren't carrying themselves on AFs and default rates are skyhigh - higher than ever. Not justifying what they are doing to those of us who are using the cards responsibly (or not using the cards at all!) - just throwing out some thoughts.

BTW, I am watching my Dillards card - GEMB already slashed my Chevron account. My sister hadn't used her Dillards card (CL of $8000) in close to a year. Two weeks ago bought her son a jacket, shirt, tie, and shoes for his fraternity-whatever and the next day they cut her to $500. WTF.

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I hope Merrick doesn't do anything with my Hooter's account, as well. I usually use this card to make very large purchases b/c of the CL of $5500. This is my only revolving account, but with everything with economy going hay-wire, it doesn't matter if you have a perfect credit score, rebuilding your credit, or not having any late fees or charges on a CC, and it seems the companies will still cut your credit limit or close the account altogether. :\

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Everything is just nuts with the credit market right now. It's funny that economists have admitted that handing out loans like candy is what got us into this mess, but they have also said that "credit is the foundation of our economy" and it's the only way we're going to get out of it.

I keep getting CLIs from Hooters, but I also admit that I have had high utilization in the last few months. I just requested one from BofA and they approved it. Nobody has decreased my CLs or closed accounts yet. I still have yet to use my Sterling Trifecta, opened almost a year ago, because it's difficult for me to justify paying $200 for a watch from Kay Jewelers. I will not be surprised if they close those accounts soon.

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Wow! Just got a letter from them today. I just got a CLI last week of $1000. :-/

"After carefully reviewing your account history and current credit profile, we are advising that we are closing your account for the following reason:

-You have opened an excessive number of revolving credit accounts recently"

Tried calling to get a real reason and to get the account reopened since I charge about $450 a month to it, then PIF every month. The phone jockey couldn't/wouldn't give me any real information other than they are reviewing everyone's accounts and "proactivly closing accounts deemed unnescesary (sp)". HUH?!

Anyway, here's whats on my CRs as of today.

Wells Fargo Mortgage (FHA) - CLOSED 01/05/2007 - Paid - 2 30 day lates, 1 60 day late, 1 120 day late

EECU Mortgage (FHA) - OPEN (refi) - $99020 balance

EECU Auto Loan - CLOSED 03/14/2008 - Paid - Never late

EECU Auto Loan - OPEN 02/2008 - $28000 original balance $1300 balance (Will be PIF 12/28/2008)

Citi Financial Personal Loan - CLOSED 07/2008 - Paid - Never late

First Premier - $250 CL - CLOSED at customers request - Paid - Never late

HSBC Best Buy - $520 CL - CLOSED at customers request - Paid - Never late

HSBC Orchard - $600 CL - CLOSED at customers request - Paid - Never late

HSBC Household - $500 CL - CLOSED at customers request - Paid - Never late

EECU MC - $1500 - OPEN 07/2007 - $111 balance - Never late

WFB (Cabela's) - $3500 - OPEN 09/2007 - $0 balance - Never late

Target - $200 - OPEN 05/2008 - $10 balance - Never late

WFNNB Victoria's Secret - $900 - OPEN 04/2007 - $0 balance - Never late

Hooters - $1750 - OPEN 10/2007 - $0 balance - Never late

Nat. City - $4500 - OPEN 08/2008 - $281 balance - Never late

Chase - $3100 - OPEN 08/2008 - $0 balance - Never late

OK, so that's 7 open revolving accounts, 4 closed revolving accounts, 1 open mortgage, 1 closed mortgage, 1 open auto loan, 1 closed auto loan, and 1 closed personal loan.

So I dunno what the real reason is, or if the 3 accounts I opened this year are "excessive". It's a shame to loose that history (and those d@mn Hooters Points, I so wanted that flash light), but I guess I'll live.

So word of warning to others, just beware they are "proactivly reviewing accounts".

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I got the letter today. Hooters is also closing my account had it for well over a year never late. I think some of these banks are shooting themselves in the foot by closing good customers accounts. In the process of trying to shield themselves from more defaults they will lose profit, then when there are more defaults its going to hurt that much more........what you fear you create

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Let's understand what's going on here - Hooters card is issued by Merrick Bank, a lender that has spent the last gazillion years marketing to the subprime market. No wonder they are afraid they will get hammered by losses - they probably already are, but they are too small to make the headlines.

Another company that marketed to the same segment - Compucredit - has pulled out of the credit card market altogether and has closed EVERY account they have - they will just spend the next decade trying to collect and living on the 25% interest and the late fees.

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I found myself a little cash short on paying my bills this month so I called the credit card companies to ask for a few days extension. Hooters and US Air both flatly refused so I closed them immediately. I knew I was going to be late and did not want to play the game of CLD. Also both customer service reps were absolutely rude.

However, both Wal Mart and Dell gladly gave me the extensions with no issues and the customer reps were over the top exceptional.

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