Ryan H asked:
I have worked hard and now have spotless credit, and have paid off most of my credit card debt. However my existing credit cards have low limits and that is hurting my credit score. I was wondering if it is better to apply for new cards, or to request limit increases on my current cards.
OLLIE
I have worked hard and now have spotless credit, and have paid off most of my credit card debt. However my existing credit cards have low limits and that is hurting my credit score. I was wondering if it is better to apply for new cards, or to request limit increases on my current cards.
OLLIE
LAWRENCE
max ‘em out.
Comment by SEYMOUR — December 26, 2009 @ 3:34 pm
BEAU
request for an increase in credit .., that shud work fine..,
or else apply for some cash back cards
Comment by HUNG — December 29, 2009 @ 10:31 am
BURT
request a limit increase on your oldest card. You don’t want to get new ones, longevity helps.
Comment by HUMBERTO — January 1, 2010 @ 2:17 am
MARK
use the cards and pay the balance promptly, your limit should be reviewed regularly and increased provided you have demonstrated an ability to pay.
Comment by DELMAR — January 3, 2010 @ 11:33 pm
ELDON
Usually if you charge on a low limit card and then pay it off, charge and then pay it off, they will automatically up your credit limit. I started out with a $1000 limit on a card that racked up air miles. I was in a car wreck and had double digit thousand $$$ worth of medical bills. I put those $1000 at a time on the card and then would pay them off a couple days later using online bill pay, then charge another $1000 pay off 2 days later and so on. That card limit went from $1000 to $40,000 in less than 6 months. (I was doing this to get the air miles – least something good came out of the wreck)
Comment by VANCE — January 6, 2010 @ 2:59 pm
JOAQUIN
no dont get new card(s) having more lines will ultimately hurt it, and a big part of your score is how long you stay with your accounts, hence keep em and request a increase.
Comment by PERCY — January 9, 2010 @ 11:37 pm
BEN
Its probably not hurting your credit score like you think it is. What you need to do is keep to the cards you have, make a purchase or two every month, then pay them off on the next billing cycle. You don’t gain interest carges, and its reported to the credit bureaus. Call your cust. serv. rep. at the credit card company, and tell them you would like to up the limit. Usually, an increase of a few hundred dollars doesn’t even make it to the bureaus, but one of about a thousand and more will. So ask, all they can do is tell you no.
Comment by FIDEL — January 10, 2010 @ 4:03 pm
ENRIQUE
it’s because you have multiple cards… All I know is don’t ever use more than have of your credit limit on the card, this helps your credit rating which in turn can raise your borrowing amounts.
Comment by ELMO — January 13, 2010 @ 8:24 pm
DREW
YIKES!
What the h*ll?!?
Credit cards are only going to get you into trouble no matter how good you are with finances. Pay them off and throw them away. Only buy things you can pay CASH for. Do things the way your grandparents did it…save money and actually own your stuff. It ***** to live a life that belongs to the bank.
Comment by ROYCE — January 16, 2010 @ 7:12 pm
VINCENT
Normally, they give you 6 months with that low limit credit and after 6 months of using that card, they should allow you to do an increase.
When I was a freshman in college (3 years ago), I opened a credit card with a limit of $500 and after 6 months, I was able to get an increase up to $1500. I was using the card and paying back before its due date. When you open a credit card, you should use it once in a while and pay back on time. Good luck!
Comment by CRAIG — January 19, 2010 @ 11:41 am
ELI
If you have cards already, then just use them and pay on them every month on time for a while. The credit card companies want tom see that they can make money off you. Meaning if you spend $250 and pay it right off, they make no money. But if you spend $250 and then pay $50 per month they’ll make a few bucks in interest, not alot, but something. then they’ll want to increase your limit to see if they can get you to spend more. This doesn’t mean you have spend more. But play their game to get your limit up. Don’t live beyond your means though because all of your hard work will have gone to waste.
Comment by HARRIS — January 21, 2010 @ 9:53 am
SHANE
Some credit cards (store variety) are ridiculous as the only way that you can get more credit is to charge more (Macy’s and Mervyn’s work that way). If you have a bank card, and you have had them at least 6 months to a year, then if they don’t raise your credit limit, and they should, then you can call them to request an increase. If they don’t then you should ask them how long until they can raise your limit, and they should tell you. This only applies if you are talking to customer service.
If you go to the card’s website, some of them have a link where you can request the credit line increase.
Only ask for a credit line increase on your current card if the interest rate is low. If you pay off your card balance every month, then the interest rate is inconsequential.
Good luck.
Comment by CASEY — January 23, 2010 @ 9:39 pm
PEDRO
Over the decades, the various credit card companies have been vying so hard for my wife’s and my business that I can’t remember how it all got started. I think it just came from exactly what you’re doing, paying your bills ON TIME. Over the years, they keep sending you “balance transfer” offers which include lower interest rates and higher lines of credit. Let me suggest to you that now, as the economy has been somewhat sluggish, the lending institutions’ lines of credit themselves have been stretched to the limit, but, as I understand from yesterday’s article, the Fed has loaned 200 BILLION dollars to these major lending institutions (credit card banks) around the world, in hopes of stimulating the economy. Yesterday’s stock market revealed some of the impact they were hoping for, so, don’t be surprised if you start hearing from some of your credit card banks about “balance transfer” offers, which will mean lower interest rates possibly, and a higher line of credit. But watch out for your ever increasing balance if you pay only a small amount on your “balance due”. It’s a spiraling “death roll” for those not watchful about how much they spend. It all is sometimes just a bit bigger issue than the individual and their bill-paying habits. Good luck, and God Bless you.
Comment by OWEN — January 25, 2010 @ 8:29 am
DONNIE
Ya know…they get you whatever you do. I did the same thing and they STILL refused to allow me more credit limit. I don’t know how the companies really base their ‘limits’ on true scores. I do know that my ex husband had better credit than I did, despite his name on things we owned. For some reason because I was a divorced woman I tended to receive any negative dings than he did. So odd our scoring system. I think now that we are in a recession, that companies are more stingy with credit anyway. Good Luck
Comment by ROCCO — January 28, 2010 @ 8:24 pm
BOOKER
request a credit line increase
Comment by NORMAND — January 28, 2010 @ 11:23 pm
KENT
Call up each company that you currently have a card with and request an increase. Only apply for one more card if you are unable to get any increases.
As you already seem to know, it can actually be beneficial to keep old accounts open – if you use them responsibly.
Comment by SHELDON — January 30, 2010 @ 10:45 am