Having a credit card limit increase is one of the most exciting thing that happens to an ardent user of a credit card. It feels like a money raise at work and a great moment on your credit life. It’s a good offer for users that are rebuilding a bad credit score and for one that is new to credit. It shows that you’ve been responsible and accurate with your credit spending.
The advantage of getting an increase in credit limit is that it allows for more purchases and it’s a good development in your credit score in as much that you don’t go out for shopping spree and over use your new available credit. Note that, your thirty please percent of your credit score is dependent on your level of debt, your credit utilization or the amount of available credit that you’re using. If your maintain the same balance or pay it down, a credit increase will limit your credit utilization.
The following steps will enhance the increase of your credit limit and also raise your credit score.
Get an increase from your card issuer
Most of the credit issuers allows you to make request on your credit limit from your online account. Simply log into your account and search for the menu options to request for your credit limit increase. While some credit issuers automatically increase your credit limit. To achieve this simply call at the customer service center to speak with a center representative for increase in your credit. Card issuers may ask for some important documents such as monthly income, the credit limit that you’re requesting for and the reason for increase on your credit limit.
Get a New Credit Card with a Higher Credit Limit
Most cases, apply g for a new credit card is the shortest way for an increase in credit limit. Search, choose and apply for a new credit card with your present issuer and when it’s approved, take a portion to your new credit card line to your previous card that you desire an increase. It’s possible if you have an average credit.
Increase your security Deposit
In using this option to increase your credit limit, you have to pay more towards your security deposit. Or to increase your credit limit on any secure credit card quickly put a call through to the customer service and find out the basic steps to take based on the increase of credit limit.
Keep away from credit limit increase fees.
Beware of those credit cards fee charges on increase of limit. For example, credit One Bank Visa Platinum credit card charges up to $u49 when you make request for increases. While the First Premier Bankcard charges 25% of increase on your credit limit every time you get approval. Note that, this two banks help to build poor credit score.
Don’t Ask for too much increase
When requesting for an increase in credit limit, do not ask for too much of an increase, it is seen as a red flag signal and it may cause you a denial and you’ll wait for more months. Do not ask a center representative on the amount or percentage Increase you should request for. Though there’s no set standard for request but 10 to 25 percent increase request is a good one.
Bank transfer Advantage
When requesting for credit limit increase especially with Bank, you can entice them with a balance transfer. It means that you will be transferring your balance from one credit card to another. Many issuers these days, offers zero percent interest on transfer up to one year or more. This means that, you’ll not be paying interest for those period of times or years, if you move your balance from one card to another. But you must check out if there’s any fee on the card and if it equals the same amount on your card then it’s not worth the deal. And if you cannot made full payment on time interest will be charged on your account from your new issuers and not the old issuer.
Issuers after every six months always review account generally. Those that are responsible on their account transactions and in good standing will receive limit increases periodically. All this by making prompt payment, and when you swing pay up the balance in full the each month.
A Higher limit on credit can easily make you spend spending unnecessarily so be watchful on your spend, always maintain your credit utilization under 30 percent and continue to use credit only for emergencies.