My credit Score started to drop when I received a call from American Express indicating they were going to reduce my credit limit. I had no late payments and had a large amount of credit available. I did not see what harm it could do lowering the credit limit. However it started a snowball effect. I sold some stock and paid off a part of another credit card and was immediately notified that my credit limit would be reduced almost by the amount I had paid. Then as I continued to make payments on other cards they were being reduced as well. Reason being given was my debt to credit availability was too high. This in turn affects my credit score by lowering it and forcing the rate I could borrow money at to a higher Interest rate.
