After the report, which came out just before the closing bell, JC Penney stock start falling, ending down 10 percent. (Click here to track the company's shares in after-hours trade.)
While the Post reported it couldn't confirm the reason for the credit problem, it said insiders speculated the company's financials made the company skittish. (Read more from the New York Post's article here.)
"CIT met with (Penney officials) yesterday," according to a source close to the situation quoted by the Post. "I assume they got a thorough briefing and didn't like what they heard."
Following the report, a CIT spokesperson said, "We do not comment on specific customers."
JC Penney did not immediately return CNBC's requests for comment.