topic Re: how to make the leap from $500 CL to higher in Credit Cards

how to make the leap from $500 CL to higher

pat0812 — Tue, 09 Oct 2012 03:49:10 GMT

Hello,

I started to build my credit 5 months ago

as of know i have the following cards

1) $500 secured wells fargo

2) $400 walmart store card

3) Capital 1 unsecured $500

all in low UTI and always PIF

no negative on my report

How do i make the leap to higher credit lines? On my secured card i don't count too much on it and capital one i heard they are horible with CLI

What cards should i apply for in the future to get higher credit lines ?

Re: how to make the leap from $500 CL to higher

Dustink — Tue, 09 Oct 2012 04:28:36 GMT

Talk to your bank, the one you have a checking account with. See what they can offer you. After six months ask for an increase. After another six months apply for a different card. Then repeat until you have the cards and limits you want.

You are doing pretty well for six months. After a couple years, as long as you have good income and PIF you will have some great cards.

This was my credit card path:

US Bank College Card $500 5/2011 Started at $300, then increased to $2500. Then later line swapped to $500

US Bank Select Rewards $1000 3/2012 Started at $3500, then line swapped to $1000.

Capital One Best Buy Store Card $3000 3/2012 Started at $1200, then grew to $3000

Capital One Journey $1500 3/2012 Started at $1000 then credit steps to $1500

US Bank Flexperks Signature $5000 6/2012 71k flexpoints accumulated...Applied and was declined unless I line swap from my other lines. I did this for approval.

Chase Freedom $5000 10/2012 Was just approved

Amex HHonors $2000 10/2012 Was just approved

As you can see all of my accounts are new. I only have one card that is over a year old. As long as you keep up with your cards, you can grow your credit quick.

Re: how to make the leap from $500 CL to higher

charyot77 — Tue, 09 Oct 2012 04:31:21 GMT

If you cant afford to put a few grand into a secured card, then you'll just have to slowly gain trust from creditors until someone eventually gives you a larger limit.

Capital One is horrible with CLIs but they will give you at least one (I think it is usually 50% of your original limit).

If your Capital One card hasnt gotten its credit steps boost yet, your card's limit should be increased to $750 (and that's where it will probably stay).

The good news though is that other (prime) creditors may try to match your highest limit, so you could be starting at $750-$1000 limits.

Before I got that captial one card, I was still very early in my re-building process and I was only getting approved for $300 cards (no fee cards at least). Since Capital One approved me for the $500, I havent been approved for anything less than that.

Capital One actually gave me a 2nd increase on my platinum card (originally the card was $500 - then $750 - then 18 months later jumped to $2750!) and because of that huge jump, other creditors that I applied to approved me for similar limits (around $3K).

I think once one creditor takes a chance, the floodgates open.:smileyhappy:

I'm in a similar place as you, only I'm trying to get to the magic $5K card limits (for Visa Signature and World Mastercard accounts). My current highest limit is $4K...oh so close! :smileysad:

Re: how to make the leap from $500 CL to higher

CruzImperial — Tue, 09 Oct 2012 04:36:26 GMT

Right off the bat, I could tell you to forget about Cap One increasing your limit.

In the other hand, I see that GE Walmart card growing pretty fast at 4-6 month mark if used regularly and pif.

Furthermore, another option is WF. They could graduate you the secure card and raise your limit as well.

I would suggest you try for Citi, Discover and Amex at 1 year mark AAoA with low util (1-9%). Amex can easily raise the limit, I got my BCP on August only with 2K limit and is now standing at 6K!, my highest CL yet. Not to mention the backdating they offer (Ideal to increse lenght of credit history).

Also, try to look up cards that give CLI with soft pulls (majority of GE cards) and you may use regularly for the lowe's 5% cashback for example.

Re: how to make the leap from $500 CL to higher

Dustink — Tue, 09 Oct 2012 04:43:04 GMT

charyot77 wrote:
If you cant afford to put a few grand into a secured card, then you'll just have to slowly gain trust from creditors until someone eventually gives you a larger limit.

Capital One is horrible with CLIs but they will give you at least one (I think it is usually 50% of your original limit).

If your Capital One card hasnt gotten its credit steps boost yet, your card's limit should be increased to $750 (and that's where it will probably stay).

The good news though is that other (prime) creditors may try to match your highest limit, so you could be starting at $750-$1000 limits.

Before I got that captial one card, I was still very early in my re-building process and I was only getting approved for $300 cards (no fee cards at least). Since Capital One approved me for the $500, I havent been approved for anything less than that.

Capital One actually gave me a 2nd increase on my platinum card (originally the card was $500 - then $750 - then 18 months later jumped to $2750!) and because of that huge jump, other creditors that I applied to approved me for similar limits (around $3K).

I think once one creditor takes a chance, the floodgates open.:smileyhappy:

I'm in a similar place as you, only I'm trying to get to the magic $5K card limits (for Visa Signature and World Mastercard accounts). My current highest limit is $4K...oh so close! :smileysad:

Great info!

Have you tried any line swapping to get to the magic $5k limit? That is how I did it.

Re: how to make the leap from $500 CL to higher

charyot77 — Tue, 09 Oct 2012 04:47:45 GMT

Dustink wrote:

Great info!

Have you tried any line swapping to get to the magic $5k limit? That is how I did it.

No as I'm not even familar with line-swapping. I was going to ask you what that is exactly. My $4K card is with US Bank (a plain platinum) and I have another card with them that's for $300 (a secured card that they unsecured recently). I'm hoping that the $4K one can get an increase so that I can get a Visa Signature card while hopefully the smaller card will have an APR decrease so I can use it to carry balances should I need to.

Re: how to make the leap from $500 CL to higher

Dustink — Tue, 09 Oct 2012 05:09:55 GMT

Once it has been 6 months since you have done anything with US Bank, as in no new accounts or CLI's. You can apply for the card you want, either the cash+ or the Flexperks signature. If they decline, call them and get in touch with the underwriting department. They may even push the app through without any problems, but if they tell you the same thing they told me. Which was essentially, we have given you too much credit already you are cut off. I told them, I am willing to lower the limits on my current cards and swap the limit to get this new card. That worked for me, and it might work for you as well.

Re: how to make the leap from $500 CL to higher

MountainHiker — Tue, 09 Oct 2012 09:14:01 GMT

pat0812 wrote:
Hello,

I started to build my credit 5 months ago
as of know i have the following cards

1) $500 secured wells fargo
2) $400 walmart store card
3) Capital 1 unsecured $500

all in low UTI and always PIF
no negative on my report

How do i make the leap to higher credit lines? On my secured card i don't count too much on it and capital one i heard they are horible with CLI
What cards should i apply for in the future to get higher credit lines ?

One of the BEST path to higher limits is to put more money in your secured card.Creditors look to see how you manage your cards.If you can put a few thousand in your secured card that will work in your favor for $2K-$5K potential approvals. If all they see is toy limits in your credit file they will determine this limit bracket is where they should start you. Go BIG or GO HOME is the way to approach building higher limit cards.

Re: how to make the leap from $500 CL to higher

SoCalBound — Tue, 09 Oct 2012 12:53:53 GMT

If I had to do my credit building all over again, I would have increased my initial secured credit card deposit, it would have saved so much time. If you can swing it, do it, if you can't swing it, try very very hard to.

Re: how to make the leap from $500 CL to higher

Jlu — Tue, 09 Oct 2012 14:03:39 GMT

I went like this:

First Premier ---> Capital One ---> GE Capital ---> Barclays ---> Chase Freedom ---> Discover More ---> Anything you want basically

Re: how to make the leap from $500 CL to higher

pat0812 — Tue, 09 Oct 2012 21:38:43 GMT

If I add my secured deposit to $2500 till when do I need to keep it? Once I get another card that is high can I lower Again my secured card?

Re: how to make the leap from $500 CL to higher

SubseaEngineer — Tue, 09 Oct 2012 21:47:32 GMT

The method I used was to take the unsecured card, use it as my primary purchase point: gas, utilities, groceries, restaraunts, etc.

Fill it to close to the limit, then pay off. Do the same thing multiple times each month.

Then call and point out that you have the cash to pay it off, but you are having to make multiple payments a month. If the rest of your credit history isnt too bad (no recent BK, CO, etc) then it shouldnt be too hard to get them to approve the convenience increase, which will make it easier for you to use the card (and them to earn transaction fees).

Re: how to make the leap from $500 CL to higher

lloyd1981 — Mon, 29 Oct 2012 23:50:03 GMT

Be very careful. If your current cards have a link titled something like "Request Increase" (Chevron-GE Bank or Barclay), have income data ready and, if you have had the card of 9 - 12 months and always paid the statement amount on time, a request may well bring you an increase. You'll have to fill in income and job data, but can generally receive a response in minutes.

If you have a card like Chase and there is no online link, maybe a phone call would do - ask what the requirements are. If you email your request and they advise you that they will need to check your credit, take a pass. They will "hard pull" and your credit may be increased by some small amount if you are already above the 680 or so level, but then you may be subject to a drop of 15 - 25 points in your FICO score.

Happened to me. I have had a business AmEx card since 1980. Never behind. Been Platinum for years, no matter it now costs $450.00 for the priviledge - I use the services and its worth it. I generally pay 100% of active cards as soon as the online statement is available. Since a miserable set of circumstances set me back 4 years ago, I had climbed back to 690, with a raise in points after financing a car through Toyoto financing. FICO advise raising credit limit would be a good idea. Chase has an "other named" bank facility check your credit and two days after a $500.00 increase, my score dropped to 673, where it has lingered for three months.

So much for FICO advice.

Re: how to make the leap from $500 CL to higher

maiden_girl — Tue, 30 Oct 2012 00:13:35 GMT

Jlu wrote:
I went like this:

First Premier ---> Capital One ---> GE Capital ---> Barclays ---> Chase Freedom ---> Discover More ---> Anything you want basically

LOL

+1. We all have to start some where. I managed to skip First Premier and went straight to Cap1 tho. Smh...it still felt like bad sub prime lending tho.

Re: how to make the leap from $500 CL to higher

distantarray — Tue, 30 Oct 2012 00:32:56 GMT

Orchard secured --> Achieva Credit Union secured --> Amex BCP $5500 --> Navy Federal $17,000 --> Chase Sapphire --> Chase Freedom

Re: how to make the leap from $500 CL to higher

Hockeypnc1 — Tue, 30 Oct 2012 03:26:20 GMT

Wait what is a line swap???

Re: how to make the leap from $500 CL to higher

zeusta20 — Tue, 30 Oct 2012 04:54:17 GMT

I agree with what a lot of the others are saying. Wait 6 months.

07/08-Wells Fargo. They stared me off at 1000, then raised to 1800, then raised my limit to 2500. I currently have the college card with them, but I'm working on converting it to a regular unsecured card so I can have a higher credit limit.

08/08-1st Financial Bank. They started me off at 800, then raised my limit to 1300, then 3300, then 3900, then 4900. Although they've increased my limit quite a bit, I wouldn't recommend them. I got them when I first started building credit. Not a company i'd recommend, however, the only reason why I still have them is because Its one of my oldest cards.

06/12-American Express Green Card-No preset spending limit

07/12-Citi Bank Preferred Card-Since this credit card is still fairly recent, I haven't had any increases yet. But they started me off at 2200. (also a no present spending limit though).

I only plan to have 5 credit cards total. And my last credit card, I'm working on trying to obtain the Chase Sapphire Preferred Card. But As far as advice on raising the limit, its pretty simple. Just pay on time, NEVER be late. Don't max out the cards or even come close. And DO NOT try to raise it multiple times. Waiting 6 months is the bare miinimum i'd say..."Patience is a Virtue".

Re: how to make the leap from $500 CL to higher

CruzImperial — Tue, 30 Oct 2012 06:14:07 GMT

To be honest, I managed to get away from the toy limits with the help of STORE CARDS.

That's right, how sad... but true, nevertheless. The lady who put $9999 as my monthly income in the hhgregg CC application surely did me a big favor. $5K instantly and surely would had been more if she would had raised the expected purchase amount.

Btw, I filled the form with my actual monthly income but looked like she just wanted to approve me no matter what lol

Just shows what a nice CS lady flirting with the customer is up to hahaha

Re: how to make the leap from $500 CL to higher

Benton — Tue, 30 Oct 2012 06:16:00 GMT

Google "largest credit unions". Credit Unions are under represented among the previous posts. Generally Credit Unions offer more favorable interest rates for purchases and cash advances. You are eligible to join many around the country - not limited to your own locale. Look beyond the big name banks and you will find better values and a willingness to grow with you.

Good luck.

Re: how to make the leap from $500 CL to higher

Dustink — Tue, 30 Oct 2012 06:25:14 GMT

Hockeypnc1 wrote:
Wait what is a line swap???

In my case I took a $5,000 from $2500 limit and a $3500 limit. This left me with a $5,000 limit on one card, $500 and $1000 on others. Simply put, it was moving my lines around within my bank. It got me a card with a $5,000 limit, then I was able to get other cards with good limits because the banks noticed I could handle that $5,000 limit card.