Wells Fargo told customers that it plans to shutter all lines of personal credit in the coming weeks, CNBC reported on Thursday. The bank reportedly sent a letter to customers saying it'll no longer offer the lines of credit, which range from $3,000 to $100,000 and serve to help fund things like home repairs and renovations or to consolidate credit card debt.
The bank's letter to customers warned that account closures "may have an impact on your credit score," according to CNBC. Current customers should expect to receive 60 days' notice of the account closures and remaining balances will need to be paid off with minimum payments at a fixed rate.
Read more:Â Wells Fargo is closing your personal line of credit account. Here's what happens next
"As we simplify our product offerings, we made the decision last year to no longer offer personal lines of credit as we feel we can better meet the borrowing needs of our customers through credit card and personal loan products," a Wells Fargo spokesperson said.Â
"We realize change can be inconvenient, especially when customer credit may be impacted. We are providing a 60-day notice period with a series of reminders before closure, and are committed to helping each customer find a credit solution that fits their needs."
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