Over the past year, stories have piled up in online communities of credit-card super users suddenly having their accounts shut down by JPMorgan Chase.
The case of Bryan Sequeira seemed similar at first, but upon closer inspection proved particularly unusual and confounding.
Sequeira, who has a strong credit profile and doesn’t game the points system to maximize rewards, was informed this summer that his accounts would be terminated by Chase.
But even after appealing, the company not only declined to reinstate him, they also refused to disclose why his account was being closed in the first place.
Unspooling the mystery behind Sequeira’s shutdown shines a light on the broad power credit-card companies have to cut ties with customers, as well as how banks, amid steep fines and intense scrutiny from regulators, are using technology to keep closer tabs on customers’ reputations than ever before.
Over the past year, stories started piling up in online communities of credit-card super users suddenly having their accounts shut down by JPMorgan Chase, one of the country’s largest card issuers.
It opened up fervent analysis among the growing community of credit-card enthusiasts over the calculus used by card companies to sever ties with customers.
A seemingly similar tale of woe surfaced in the Facebook group “Chase Sapphire Reserve Cardholders,” a closed group of more than 10,000 members that is unaffiliated with Chase.
But upon closer inspection the case of Bryan Sequeira proved particularly unusual and confounding.
“I received a letter that all my Chase cards are being closed. Has anyone else had that happen to them?” Sequeira, a 32-year-old product manager in healthcare IT based outside of Boston, posted on the forum toward the end of June.
“The letter didn’t state a reason. Just that it was closing in 2 months. Waiting for someone from the executive office to call …read more
Source:: Business Insider