Announcement

Collapse
No announcement yet.

Wells Fargo closes lines of credits, what does this mean?

Collapse
X
 
  • Filter
  • Time
  • Show
Clear All
new posts

    Wells Fargo closes lines of credits, what does this mean?

    Wells Fargo closed your personal line of credit. Here are some other options (msn.com)

    Will FICO scores drop? Does Wells Fargo anticipate bad times ahead? What does this all mean.

    #2
    There's a lot of discussion about this over on the early retirement forum. It probably doesn't mean much other than they weren't making enough money on the product so they dropped it. Customers aren't happy of course, but I don't know that it's a sign of anything deeper than that.
    Steve

    * Despite the high cost of living, it remains very popular.
    * Why should I pay for my daughter's education when she already knows everything?
    * There are no shortcuts to anywhere worth going.

    Comment


      #3
      Originally posted by disneysteve View Post
      There's a lot of discussion about this over on the early retirement forum. It probably doesn't mean much other than they weren't making enough money on the product so they dropped it. Customers aren't happy of course, but I don't know that it's a sign of anything deeper than that.
      Agreed... Given their performance over the last number of years, I don't exactly trust WF to have a prescient feel for the market or economy -- merely an addiction to profits at any cost. So this likely is just them trimming an unprofitable product line.
      "Praestantia per minutus" ... "Acta non verba"

      Comment


        #4
        Considering it's WF, isn't the appropriate question to ask, did you even open one/know you had one opened for you, in the first place?

        Comment


          #5
          Originally posted by disneysteve View Post
          There's a lot of discussion about this over on the early retirement forum. It probably doesn't mean much other than they weren't making enough money on the product so they dropped it. Customers aren't happy of course, but I don't know that it's a sign of anything deeper than that.
          Beyond the potential credit score impact, this likely puts those who had a HELOC balance (article mentions a 60 day closure period) in a bit of a scramble to secure an alternative. The quote from the Financial Planner regarding a loan against a whole life policy or 401k loan made me "cringe" - two fine examples of things that should be avoided.

          Comment


            #6
            Originally posted by srblanco7 View Post

            Beyond the potential credit score impact, this likely puts those who had a HELOC balance (article mentions a 60 day closure period) in a bit of a scramble to secure an alternative. The quote from the Financial Planner regarding a loan against a whole life policy or 401k loan made me "cringe" - two fine examples of things that should be avoided.
            Which article? The linked MSN article doesn't say that HELOCs are being cancelled. It does say:

            A personal line of credit is a type of unsecured loan, meaning it's not backed by collateral.
            which excludes HELOCs.

            Comment


              #7
              Originally posted by QuarterMillionMan View Post
              Wells Fargo closed your personal line of credit. Here are some other options (msn.com)

              Will FICO scores drop? Does Wells Fargo anticipate bad times ahead? What does this all mean.
              IMO, it just means that they would prefer you use a credit card instead.

              Comment


                #8
                Originally posted by Petunia 100 View Post

                IMO, it just means that they would prefer you use a credit card instead.
                I’m sure those are far more profitable for them.
                Steve

                * Despite the high cost of living, it remains very popular.
                * Why should I pay for my daughter's education when she already knows everything?
                * There are no shortcuts to anywhere worth going.

                Comment

                Working...
                X