Readers report receiving an email from AmEx with information that they’re closing out his inactive authorized-user cards. This is despite the primary card being used and remaining active in good standing.
We haven’t heard much about AmEx closing out inactive cards in the past. From a search, I learned of some chatter about them closing out inactive accounts, though it’s not clear how much that’s actually materialized.
The surprise here is that they’ll also close out dormant authorized user cards on an active account.
At least they give an email headsup in advance, and you can then put a charge on the card to avoid the closure.
Hat tip to reader AR
Chase closed 2 accounts for P2 without any warning.
United no fee and southwest with fee.
What’s the inactivity time?
I have a lot of sockdrawered cards and using them every 2-3 months as they guys on myfico suggest is too much gardening and frankly sounds ridiculous. I’m not interested in that. I have been good with keeping inactivity to around 6 months so far. I have a spreadsheet where I track last activity, it highlights the card if it’s been inactive for 6 months or more, then I just put a small charge on it, usually T-Mobile as that’s the only place for me that accepts $1.01 charge online.
I’m currently at 42 credit cards and all I do is put a nominal charge ($1 to $2) on all of them at least once every 6 to 8 months, including my 5 cards from Amex. Never had a single account closed (well, except for Klutch, the 6% cash back card, because of Synapse’s bankruptcy…. My understanding is they recently found a new processor and will soon resume operations as a Visa).
Just use the cards you like and you’ll most likely be fine. Only remember that even among the “sock drawer” cards, some will waive small balances (I have six of them for $2 and seven for $1, for a free $18 to $19 per month). With Amex in particular, since they even send out a warning before closing an account, this is really a nonissue.
Sounds good, this is exactly what I’m doing, including small balances on Barclays cards. The people at myfico just have way too much time and probably not as many cards.
I don’t mind them doing this- IF they provide notice and the chance to keep it with new activity, as they’ve done here. That’s the key. If they just shut down inactive accounts without notice- even primary ones with no activity- that’s not okay. Some people keep an account open to keep points alive, and it would be totally unfair to just suddenly lose those points without warning. But with notice, if they want to se some activity to make sure you still want the account- I’m fine with that.
Making up info (name & ssn)to open an account can actually get all of your accounts closed and they can take all of your MR points as well. In order to have a card in your name you have to provide a valid ssn and name. Sometimes the system doesn’t always catch a ssn is missing but eventually it gets flagged. & that’s for business and personal accts
Can anyone provide insight on creating AU #’s without providing SS#’s? I had created some with amex that were usable without activation or ss#, but they were deactivated after 3 months. Additionally, I started receiving spam mail under these users names to my personal address, and since neither had created an Amex account to activate the cards, there was no way to opt out. It used to be possible to hold AU cards for privacy concerns with online purchases, but it seems providers are requiring socials now to create additional data points to brokers (my cynical take). Chase allows au’s with no social, but its just the same cc# with different billing/name information.
What would be the point of this? per AU benefits without having to have an actual person?
Not interested in AU benefits, just privacy of using different name/billing for online purchases. Also no sales tax for digital goods with billing address in states without sales tax.
People were abusing Amex Offers by creating fake AU names so Amex shut that down by requiring SSN — I think some people are able to submit foreign passports instead for AUs without SSN but you’ll need to provide something (SSN or foreign passport) for real AUs that actually exist using their legal names
Otherwise just use cards from other banks that don’t require SSN for AUs
Go to OptOutPrescreen dot com to stop spam mail (SSN is optional)
Ah, that makes sense, thanks. I did optoutprescreen for the AU’s right after registering them. The spam mail I’m receiving is through Amex from their “partners” to my primary residence, not the billing of the AU’s, in the AU’s names. I have family members who receive the same Amex spam mail to their addresses in their names, I just opted out through Amex for my primary account. I should probably just do a chat with Amex to get them to stop.
Anyway, appreciate it
Let’s get hold of A-Hole lawyers in NY for class action
I added made up names for amex biz platinum user cards to earn a bonus and when I recieved them in the mail and tried to activate them they asked me for a social security number and anyone i guessed they said the system doesnt recognize, however when I got the platinum consumer au adn made up names and social the cards activated no problem is this an issue with the biz plats only that you need a valid name and a valid social to sign up for au cards? tia
Submitting random socials and names sounds kinda crazy for a few extra points. Are you sure that submitting fake identities on financial applications – which are reported – isworth a few extra points.
This is one where it is ok to call the bank. Call amex and ask them.
dont call the bank BUT Let’s get hold of A-Hole lawyers in NY for class action
Yes, the issue is with the bizz platts. Good news is, if you contact their fraud department with your real information they’ll take care of it in no time. Please keep us posted as soon as you get released.
Let’s get hold of A-Hole lawyers in NY for class action
Just tell them these cards are for illegals, they get free pass in many states. BTW, very few banks allow au with no ssn and they won’t even give a different card number.
Not a major concern as long as Amex is correct enough to give an early warning. This should actually be the standard procedure for any lender.
Would prefer just a simple confirmation request rather then requiring activity. I liked having AUs for emergency situations (example: mom can do shopping that I need etc)
I think it is dependent on states. In some states like California, you have to give a notice before you close a credit card due to inactivity. I do not know the details of the laws vis a vis business/personal and AU cards.
I got a letter saying they just closed my AU, I didn’t get a warning email. I guess I can just open it again and collect a bonus. Can’t be gaming if they are the ones closing the account.
That’s what I was thinking…I opened some in my kid’s name to help their credit and to get a bonus. Please close it so I can do it again 🙂
how old are your kids?