Velocity Banking Warning | Minimalism and Money

WARNING - Please watch this if you are considering doing Velocity Banking and are currently behind on your credit card payments.

[thatcutecapricorn]

Don't give up on your you tube channel. I just found your channel and we need your presence.

[eddieladson]

That is a terrible situation you are in. Keep your chin up. This too will pass. You will over time rebuild your credit. I suggest using credit unions. I use them and they haven't tampered with my credit limits as I work down my debt. Christy Vann had the same warning a few months ago. Thanks for your video.

[AdventurerPrimefire]

This is how banks can get you. You did the right thing and are in a better spot to succeed then they take you legs out from under you because they still control your capital. When you do velocity banking while banks tighten across the country realize it is not you but the economy as a whole. Please have an emergency fund to pay your minimum payments that can't be covered with the card so that you have some form of protection.

[ericjones]

Hello young lady. Great topic. I'm not sure how high your credit score is but, I use velocity banking with credit cards and my open line of credit. I think it is great to use them as a combination to avoid the issue you just had with the credit cards. The open line of credit from a credit union really helps me keep everything in rotation. Even when I want to put money into an investment. I'll pull from my open line of credit and then just sit my job check inside the open line instead of using my credit cards. With the economy tighting up, we have to find other combinations to incorporate into our financial lives. If your credit score is low, try and raise it and go to a credit union to get an unsecured open line of credit. That way you have a back up to the credit cards. Good luck.

[Sci-Fi_Fan]

Wow. Thanks for the heads up. Rooting for you and hoping that you keep going and see your way through this. Be encouraged and don't give up.

[tiffanyfisher]

Try calling all the credit card company and ask them to put it back to the original credit limit or at least lower the interest. Worst they can say is no. Also ask why this happened and how it can be avoided next time. You were using your credit responsibly and did nothing wrong!

[myauntnelly]

Thanks so much for the warning. I have three cards with chance and got three letters stating that the limits had been dropped. I’m going to hold on to cash and pay the cards down in smaller increments instead of dropping a lot of cash at a time. All of my payments were on time and they still dropped the limits… ugh!

[PamDalton-soby]

You can call the bank and dispute the decrease. I have heard that people were very successful and getting there limit back by calling and talking to their bank.

[ask_why]

Thanks for saying goodbye and not just disappearing.
Be well.

[jeremiahlewis]

Don’t give up on velocity banking, I’ve been using it for six months now and I am debt-free. I just subscribe to your channel and I think you are a great inspiration and I love your T-shirt. 👍🏾

[MrMyers]

Try tranferring your ENTIRE paycheck on a credit card of your choosing that you want to use as your primary operating account (In place of your checking account). If you overplay, say that $500 limit with a $2, 000 payment, you’ll have a negative balance -$2, 500 Balance (A negative looks like a bad thing but its actually you overpaying your balance and giving the bank credit.) Continue to use this card to pay your regular expenses. After a few months, the bank will raise your credit limit, especially if you keep your balance anywhere between 10% or lower utilization.

[luvfinance]

WOW. I heard of that happening. I check regularly on my credit card accounts because on certain ones I don't feel as though I spend enough. There are annual fee credit cards that might not be so strict (but don't quote me on it). I personally try my best to stay away from credit cards with fees but if it has a benefit or a higher credit limit than my other credit cards I might do it. Thanks for the warning.

[thedreamachiever]

Thank you so much for letting us know.

[trinitybruns]

The full pay off that isn’t automatically set up to be automated monthly. Yeah. You can’t do a full pay off like that. It’s yet again another red flag.

[trinitybruns]

If you’re going to pay it off completely. Set up auto payments set to pay balance in full. Let them do it through the system or pay it down over a couple of months.

[donaldhatcher]

Real estate can be risky.. are you ready to take on unforeseen repairs, and renters not paying ? Why not sell and get back in it later?

[jfrederick]

These creditors want us to stay in debt, unfortunately. Hopefully the limit was raised for you. Such a bummer. I'm chunking small amounts here to avoid (hopefully) this scenario.

[pufstoy]

They may have seen something negative on your credit from some other creditors. They've been doing this to many ppl. Happened to my friend after paying down a good amount of the balance. He wasn't doing velocity so it stings just the same.

[JasmineGary]

I’ve never heard of credit limits being lower! Wow!!

[maedixon]

Yes... you are correct... small payments often only... no chunks of money...