First banks got tough on second mortgage lines of credit, now credit card holders are getting hit.
Nearly two-thirds of all banks are cutting their customers' credit limits, sometimes without much warning. Banks are required to notify card holders if they reduce the line of credit, but the warning often comes in tiny print, making it easy for the cardholder to unknowingly go over their limit. When that happens, the cardholder gets hit with fees and their credit score suffers.
Some tips to stay on top of the credit card crunch:
