I have had an American Express credit card for about 2.5 - 3 years. I have never made a payment late and usually pay off the balance the following month. My credit limit was up to $6,000 at one point, but I put a semester of tuition on it for two weeks or so and the next month they dropped my limit down to $2,000. They said my debt-credit ratio was too high. As of right now, my limit is still currently at $2,000. My first question is why they allow me to have a credit limit that high if they are going to allow me to use it all? Were they just trying to screw me over? A couple days ago, I got a letter in the mail from American Express and they said they were going to raise my APR to 28.24%. I don't remember what it was prior to that, but I think it was somewhere around 11%. The reason for this is that they had a check returned. The check I wrote them was returned because my bank locked my account because someone bounced a $3,600 check on me. The person who wrote the check added sufficient funds a couple hours after I cashed the check according to the person I talked to on the phone. She wouldn't tell me that directly, but her exact words were, "The check was ISF when the check was cashed, and a couple hours later the account had the money available. Use your imagination to figure out what happened." They however didn't correct this error for ten days when it could have been taken care of in one day, and all of my money in the account was locked, not just the $3,600 that the check was for. I was not aware of the fact that my account was locked in the first place or that they locked all my money. I also called them about a dozen times trying to get this figured out once I did realize my account was locked, but it seemed like nobody knew why it was locked, and they just kept giving me different numbers to call. There was also two times where they told me the account would be unlocked the following day and didn't happen. I got a call from someone from American Express sometime during this 10 day period when my account was locked and they notified me that my check did not clear. I resubmitted the payment and they told me that it would go through before the payment due date and that there would be no penalty for this. As you can see I ended up getting my interest rate bumped up, and they also gave me a pretty big fine. Is there anything I can do about this? I plan on paying the card off and will never use this card again because of the outrageous interest rate. Would it be a bad idea to close the account? I know it will initially hurt my credit score, but will it hurt it long term? I have another card with a $1,500 limit and another with $500 that I don't use. My biggest concern is that I don't hurt my credit score, but they do give me a periodic finance charge if I don't use the card. Am I just going to have to suck it up charge gas to it once in a while to avoid the periodic charge? As for my bank (Guaranty Bank), Is it normal for a bank to lock an account when I was the one receiving the bad check? I can understand them freezing the $3,600, but not the whole account. Plus like I said before, it took them ten days to fix something that should have been done in one. Is there anything I can do to recoup some of these fines I racked up? I had to pay fines for three different returned checks in addition to the interest rate being increased on the AE card plus it was pretty embarrassing having checks returned or my debit card denied at a store. I wrote the checks prior to depositing the check that was ISF and I had sufficient funds in the account to cover the amounts otherwise. My main concern is what I should do with the credit card. Any advice would be appreciated.