DCB Limit reduced on my DCB due to rotation transactions

[jeevanreddy58]

Hi Team,

I have been using my DCB Plastic LTF for last 3 years. It was having around 6L limit. But in last September 2023, my credit card limit got reduced to 1.7L due to the transactions I made from single merchant. each tranx about 1L ... 4-5 such transactions in a month.. and then pay bill.. for rotation purpose.. may be due to debts.. Then they blocked that merchant on my card and then when I cleared the due, they reduced limit. After that, I did not use it for offline merchants.. only for smartbuy and Ecomm tranx.

So now question is : Should I go for limit enhancement by sending pay slips to Chennai? its been more than 6 months. Should I wait more ? Any such things happened for any of you ? when do they start sending enhancement limit automatically or should I ask them ? will they do it or not?
Salary Range around 1.4L pm

Email I received from CreditCardOps.Maintenance@hdfcbank.net in Sept 2023 :

Subject: Your HDFC Bank Credit Card Cash Limit

We wish to inform you that cash limit on your card has been reduced to zero and this revision is in line with the bank's periodic assessment of credit limits subject to multiple parameters/guidelines. These guidelines are fairly wide ranging and do not necessarily reflect your credit worthiness and are in the interest of the customer.

We also wish to clarify that these credit limits are reviewed periodically. The intention of this communication is to reaffirm that your relationship is important to us. We are honoured by your membership and sincerely thank you for using the HDFC Bank Credit Card for your shopping & entertainment and looking forward for opportunities to serve you.

 

[sidp]

So now question is : Should I go for limit enhancement by sending pay slips to Chennai? its been more than 6 months. Should I wait more ?

That is their normal response. They also know you were rotating. But once they accuse of rotation , they might end up in legal trouble and have to prove that you were rotating, which may not be possible. This is similar to how hr sends mail if they terminate someone on the suspicion of doing something shady. Once they mention reason, they need to have concrete evidence to support it.

Coming to the question of le, you can try. At the worst you'll end up with same Limit & an extra hard enquiry. Still chance of le is low. Unless you are expecting a big transaction waiting for few more months is better. Once you ask for le, you won't be able to ask for next 6m.