conversation: User (creditfears): "I didn't know this was apparently so common, but I've been reading stories about people who are fine financially getting their credit limits slashed, and thus credit scores slashed, just because of something the bank deemed "risky" happening, which can evidently be something as small as shopping at different stores, or spending more money than usual.\n\nDoes anyone have more info on this phenomenon of banks being overly cautious assholes and messing up people's credit scores/financial plans over supposedly "risky" use of approved credit lines, and how to avoid it happening?"
  Self: "One thing that may help answering your question is knowing what goes into a credit score:\n\n* 35% is payment history. Paying on time and the payment amount. Even if it's just the minimum.\n* 30% amounts owed. An example would be having $3,000 worth of debt on a credit card with a $10,000 limit. This means you're using 30% debt usage. You don't want to exceed this 30% rule at any one time.\n* 15% credit history length. To get a really good score you'll need to have a credit history of at least 15 years.\n* 10% types of credit. This is a mix of things like unsecured (Credit cards) and secured (home or car loans).\n* 10% new credit\n\nShopping at different stores doesn't matter for your credit score.  Maxing out your credit scores does, as this affects your debt to available credit ratio. \n\nAs long as you keep your debt spending below the 30% ratio and continue to be a good customer you shouldn't have to worry. I have trouble with some of those "my limit got slashed for no reason" without knowing the full story. Sometimes there's a valid reason, other times it does seem to come out of nowhere. \n\nCreditors get concerned when you do something unusual or outside your normal credit habits. While applying for new credit normally dips your score a little, it'll come back up once you use start using the debt responsibly. If you take on 5 new CC it shows you taking on a bunch of possible debt, which they may not be sure if you can repay. \n\nTo prevent this from happening to you, make sure you read your statement in full each month. If you notice that this happens to you, you can call and complain. if you are a good customer you can shop around for a different, possibly better CC that won't cut your limit. "
  