Personal Finance & Money Stack Exchange
Personal Finance & Money Stack Exchange

Questions tagged [credit-limit]

34 questions
67
votes
7 answers

Is there a "catch" on my "increased credit limit"?

Today I received a letter from the bank that issued my credit card. Basically it says that, since I'm "one of their best customers" my credit (card) limit has been increased. This is the second time that they have done this. The first time I didn't…
Diego
  • 837
  • 1
  • 6
  • 10
24
votes
8 answers

Asking bank to reduce APR instead of increasing credit limit

My credit card just notified me that they raised my credit limit (unsolicited). This would do well to my utilization and thus improve my credit scores overall. However, my overall utilization across all credit lines is already less than 10% (with…
perennial_noob
  • 1,946
  • 3
  • 15
  • 35
20
votes
8 answers

What's the average credit limit?

For a number of reasons, I recently asked my credit card company for a credit limit increase. I was hoping they'd propose a new limit to me, but they instead the reverse happened: they asked how much I wanted. I decided to play it conservative; the…
jldugger
  • 7,437
  • 3
  • 35
  • 57
19
votes
2 answers

Does high credit utilization, coupled with paying off my balance in full each month, increase my chances of an automatic credit limit increase?

The conventional wisdom I've heard is that spending close to your limit and paying the balance off in full each month will often lead to the credit card company increasing your credit limit automatically. I assumed this was because they expect that…
John Bensin
  • 15,048
  • 3
  • 72
  • 112
15
votes
2 answers

Am I using my credit card wrong?

For the last five years I've had a baby Visa card ($500 limit) that I've paid off religiously; I haven't paid a cent of interest and I plan to keep it that way. To build credit (and to get a cash rebate, however miniscule) I put my large expenses…
BeganHe
  • 151
  • 1
  • 3
14
votes
5 answers

How often can/should I apply for a credit limit increase?

I just got my first personal credit card 8 months ago, and I'm occasionally hitting/getting close to the credit limit. I've never missed a payment or had to pay a single fee, and I'm using the card for everything. I tried to get my credit limit…
Zelda
  • 243
  • 1
  • 2
  • 7
13
votes
2 answers

Is there any reason to not request a CC limit increase?

I have had the same card for quite some years now, approaching 10. I have requested a few limit increases for the sake of convenience because buying a computer or international airfare tends to be the majority of a smaller limit or in excess. I do…
enderland
  • 4,186
  • 2
  • 21
  • 45
12
votes
3 answers

Available credit more than credit line

I have a credit card with a credit line of $400. I have the whole $400 available to spend right now. I received a refund of $400 from a company. That makes my total available balance go up to $800. So I have $800 available to spend on a credit card…
Crazy Cucumber
  • 465
  • 5
  • 14
10
votes
3 answers

What does high credit utilization really mean?

I've heard and read that high utilization of credit hurts, but what does that mean exactly? Does that mean high utilization month-to-month, or simply high utilization at all, even when paid off in full at the end of the month? Scenario: At the…
Miles
  • 241
  • 1
  • 7
9
votes
4 answers

Negatives to increased credit card spending limit?

My credit card company is giving me credit increases despite me not asking for them. Are there any drawbacks to an increased spending limit? For reference I spend 25$ per month on this card, pay it off in full every month, and use it when traveling…
Joe S
  • 624
  • 1
  • 5
  • 14
9
votes
3 answers

Will it hurt my credit to accept a credit limit increase?

I got an email from Citi offering me a credit limit increase on my 4 year old card: Subject: Good News About Your Citi Card - Please Open Immediately It's our job to make sure your Citi card is the right card for all of your plans. **So we are…
Brad Koch
  • 326
  • 1
  • 2
  • 12
8
votes
2 answers

My bank wants to lower my credit limit on my credit card. Will this impact me negatively?

I have a credit card upon which I buy my day-to-day purchases, and pay off in full every month, in order to build a credit history. I have a credit limit of £4050. My bank (the issuer) emailed me today, saying that because the most I'd ever managed…
Adam Barnes
  • 299
  • 1
  • 8
7
votes
1 answer

Effect of going over the credit limit on a credit card to your credit score?

If I have a credit card balance that is over the credit limit, and I don't go under within 30-days, the provider will report the overage to the reporting agencies. If you have generally good credit (above 700) how much of an impact will the overage…
RHPT
  • 630
  • 1
  • 5
  • 13
6
votes
3 answers

What should my credit limit be?

I have two credit cards (through the same bank). The first I got at age 18, and the 2nd I applied for while in grad school for better rewards. I use credit cards (primarily the more recent one) for routine monthly expenses and I pay them off in…
Michael McGowan
  • 1,096
  • 7
  • 15
5
votes
4 answers

Can I pay off my credit card balance to free up available credit?

Is it possible to pay off my balance more than once in a payment period in order to increase the amount I can spend in a payment period? I just got a credit card to start rebuilding my credit. I have a very low credit limit, it is much lower than…
clifdensprit
  • 151
  • 1
  • 1
  • 5
1
2 3