There are few things as embarrassing as having your credit card declined. Even though you might be paying your bills on time, and you have plenty of available credit, your card could still be declined. President Obama found that out the hard way, not too long ago, according to FOX News.
Under-used card triggers fraud alert
The President’s credit card was declined in a cafe in New York not too long ago because, apparently, he doesn’t use that card very often. When he tried to pay his bill with a credit card, the issuer declined payment because it triggered a fraud alert. Since the card wasn’t used very often, and it was used out of state, there was concern that President Obama’s identity had been stolen.
This could happen to you as well. Many credit issuers now keep track of your usage patterns. If something pops up that is out of the ordinary, your card might be declined — even if you have plenty of credit available. If you haven’t used a credit card in months, and then you attempt to make a purchase, it could be declined. I’ve had a card declined when my husband used his card to buy something online minutes before I tried to make a purchase in Las Vegas. My husband also had a card flagged as a potential fraud and declined when he last tried to purchase fireworks in Wyoming.
Many credit card issuers are cracking down on fraud, and that means that there are likely to be an increasing number of “false positives” for identity theft when you use your cards for something a little out of the ordinary.