I had a similar experience to BK. Using revolving credit to run my business. Would run it up, then pay it off and then do it again. Did this numerous times, never late on payment. Then Pres Obama announces new banking regulations, and give the banks 6 months. They decided I was over leveraged - even though I was well under my max amount, and current on all payments - they decided to raise my interest rates. Red flags. Then they reduced my credit limits to just above the amount I had out. More red flags. That in turn made it look like I had maxed out my credit. Even more red flags. So, they raised my interest some more. I went from paying zero -7% on my debt to 26.99-29.99 %! Oh, and as they started jacking me around, my excellent credit score got torched - preventing me from taking out a line of credit that would have allowed me to pay off all my revolving credit. I was current and managing my debt, until they started screwing with me - forcing me into default. Uh, duh!
