Complaint Review: Best Buy Store Card -

If it were me, I would rather have the control over my own credit and who I wish to have credit with, and if Synchrony is Best Buy's CC backer, then absolutely I would close it before they do.  Then I would consider a bank credit card with some incentive like a rebate for its use, so you can collect something for using it.

Credit scores does not care who closes the card. The affect(if any) on your score will be the same. Your creit report will be noted as to who closed it. But the only time that woould even be looked at is if you are looking for a major purchase(house) and are borderline in your credit score to get a more overall picture. However, if they see your history with them is good that really won't matter either.

But I think you are missing the point. You seem to think this is unique to Best Buy or Store  Cards in general. But EVERY credit card does this. You can read review after review on this site from most Major Credit cards and hear people complaining about their Credit Limit being lowered. Sometimes it is no more than just a bank deciding to lower their risk overall.

Sometimes it is a review of the person's credit file. Many people are under the FALSE impression that once they have a credit card the bank only cares about your history with them. That can not be farther from the truth. When you get a card you also give the credit card the right to review your credit at any time. So if you have a series of late payments on OTHER cards they will consider that as to how much of a risk you are, even if you are perfect with them. And yes you gave them this right as well.

But when you get ANY Credit Card you agree to certain therms. Those terms inculded a specific interest rate and credit limit. You also agree that they have the right to change these terms and yes this includes them increasing or decreasing your credit limit based on how much risk they are willing to take on you.

More specifically to your post. For whatever reason Best Buy no longer wants to take that much of a risk on you as they did. However, there are many cases where if you go into the store and ask to purchase an item higher than your limit, there is a chance they would "change their mind".

Would it be better that I close it or if I let them close it for none use or does it make a difference?

Best Buy credit does have some strange criteria. They are considered a subprime card so it probably is in your best interest to close it. You don't lose the history. It stays on your credit report for up to 7 years.

So if you have other credit cards and closing it won't effect your overall utilization it is probably better to close it just so you don't have to deal with their reducing your credit line. 

My husband and I have had our Best Buy card for 10 + years and during that 10 + years they have lowered our credit limit to equal the balance we had on the credit card, which made us maxed out on that card. Our scores took a big hit because of that. 

This is a curious statement.  How long have you had a balance on that card?  I mean if it's been years, then I sort of see why they're doing it.  Credit card companies make money off of your continued use of the card (both off of you and Best Buy, in this case). 

When a CC company starts reducing your credit, then it means you as a holder of credit are risky to a CC company.  In fact, the credit card company would rather decrease their income from your use of a card, and have you pay the balance down to zero, than to keep you as a credit customer.  There is no other reason to reduce your availability of credit.  They are telling you in a not-so subtle way they don't want you as a credit customer.

They offer no incentives to encourage spending. And right now our limit is so low we couldn't buy half the stuff in there even if we wanted to.  That would be consistent with their desire to not have you as a credit customer.  If I remember correctly, the credit card backing Best Buy is Synchrony....I think....  They should be the ones your complaint is directed to.

They have not lowered our extremely high interest rate (not even by measly1%), even though we have excellent credit and perfect credit history with them. They have not raised our credit limit back up even after we use it on a regular bases.  Well, there is no real reason for them to lower the interest rate, nor is there an incentive for them to do so.  The fact you have a perfect credit history with them, or use your card on a regular basis is irrelevant, since the CC company can also review your behavior with other credit cards you may be holding.

  If you have been less than perfect with other CC companies, then yes, the store CC can also reduce your limits.  They can do this because it's in the agreement you signed stating that they can perform periodic reviews of your credit.

The only reason I keep them is, it will hurt our credit if the account closes, because we loose that credit history.  Correct, but if you have other credit cards, the hit would be minimal, and your score would recover quickly.  If you've been bad with other CCs as well, then the hit would be bigger.

In fact, I will never apply for another store card period.  Smart move.  You have no incentive to hold a credit card that's limited to a specific store.  With all of the CCs out there offering rebate incentives, airline miles, etc..., there is no reason to get a CC without an incentive attached to it...