Do you know why I hate Sears? Because they pissed me off, that’s why… Duh!
And here’s how they pissed me off:
About a year ago, I signed up for a Sears credit card. I’d never had one before and thought it would be kind of nice to have, just in case I needed some work done on the car, or needed an appliance repaired or something. The family even has pictures taken there from time to time, and I figured the card would work for that too.
Well, I never used the card. I got it, and then just stuck it in my desk drawer. And then I sort of just forgot about it; mainly because nothing broke or needed to be replaced. Sure I knew I had one, and it crossed my mind from time to time that I was one of those select few with a shiny Sear’s card in the drawer, but I never used it. I even got emails from Sears now and again reminding me that I could use the card to buy cool Christmas gifts, or summer vacation clothes etc…
Well, a few weeks ago, I got a letter in the mail telling me, and I quote: “IN AN ONGOING ATTEMPT TO SERVE YOU BETTER IN THESE TOUGH ECONOMIC TIMES, WE HAVE DECIDED TO CANCEL YOUR SEARS ACCOUNT…. BLAH, BLAH, BLAH.”
My first thought was “HOLY CRAP BATMAN, HOW BAD DOES YOUR CREDIT HAVE TO BE FOR SEARS TO CANCEL A CARD YOU’VE NEVER USED”? I then went online and wandered around the net and found out that all the credit card companies are doing that to their customers. I even had a friend, with kick ass credit, tell me that Bank of America had cut his credit line in half, even though the card was paid off in full each month, so he’d canceled the card.
So, what’s happening in the United States is that the credit card companies are getting available credit off their books, but they are doing it the wrong way, and screwing consumers in the process. Here’s an example of how this is messing up consumer’s credit scores:
Part of a person’s credit score is based on how much of their available credit they are using. So lets say I have credit cards that have a total available credit line of $25,000. Now, if I’m using $5,000 worth of that credit line, then my score is going to be higher, because I’m only using 20% of my available credit. BUT, if all of my credit card companies cut my credit in half, then my credit score is going take a small hit, because now I’m using 40% of my available credit. And, it happened all at once, so I must be in trouble.
Now, what happens when companies like Sears totally cancel the card. All of a sudden, the consumer might have only $10,000 of available credit, which is going to kick his credit score in the A**. Not only are you now one of those people who are using too much credit based on how much is available, you’ve had cards canceled, your credit score has dropped, and the companies that are still carrying you on their books are going to see that in a few months, and cut the rest of your credit, so they don’t get caught holding all of your debt.
In other words, your credit is going to go straight to hell, and all of your cards will be reduced to the amount you owe on them… leaving you using 100% of your available credit, which will cause your score to spiral farther down. That right there is just one of the reasons I hate Sears.
The other reason I hate Sears, which seems kind of petty, now that I’ve outlined the future credit apocalypse above, is because even though they canceled my Sears credit card, they kept me on their email list and are now spamming the hell out of me, trying to get me to buy the kids new clothes and gear for school. Well Sears… I would, but you canceled my F***ing card, so I can’t…