New Credit Access Lines Can Actually Damage Your Credit Score

One Chase customer recently wrote to the Money Matters column of, with a concern about her Chase Freedom Visa card. The company had said that there would no longer be a credit limit on the account, but a ‘credit access line’ instead, which appeared not to have a limit at all. This raises a number of concerns for customers in the same situation.

It’s important for customers to note that the line is still legally considered a credit card, and even if the literature seems to suggest there is no credit limit involved, you may still be able to see the credit access line limit on your monthly statement. If card issuers are offering these kinds of perks with the hope of avoiding the new CARD act, few courts would agree with those changes, as issuers would still have to follow the same rules and regulations.

What’s more, though, is that a credit access line could actually damage your credit score, making it seem as if you’re using all of your available balance.