03-04-2013 05:38 PM - edited 03-04-2013 05:49 PM
Thanks for the replies. Here's my concerns:
I still have a couple of years to to go to finish up my undergraduate degree and then I have 2.5 years of graduate school after that. My income won't be changing anytime soon so it's not like I can call them and ask them to raise my credit limit with out any reasoning. I would use my credit score as leverage but it's not going to get much higher than it already is with a $300 credit card. I've already had $500 revolving account that's been paid full every month since 2007 so I don't think this new credit card will help my credit score any. I understand why my credit limit is low. My question is, what leverage will I have to convince them to raise my limit in the future (next year) if my income stays the same? Or should I expect to have a $300 credit limit until I graduate in 5 years?
If I had the chance to redo it I would have told her I made $10,000 and she wouldn't have questioned me. Instead I made the mistake of giving her my W2 which only showed $4000 even though i'm really making $10,000.
Will closing this credit card hurt my score if I just opened it? I haven't received the credit card yet, but it should be here in a few days. I was actually starting to lean towards the chase freedom card anyways and i've heard people get higher credit limits from them. I just opened a checking, saving, and credit card with fifth third all because of this.
edit: I appreciate all the advice!
03-04-2013 06:37 PM - edited 03-04-2013 06:40 PM
I don't think I need 2 credit cards. Plus isn't it bad to have an open credit card if I'm not using it? I'd have to keep using both cards. I'm new to this, maybe I should apply for freedom and keep fifth third? I'm not sure, i just don't want to be stuck with this $300 limit card that i'm forced to use for the next 4-5 years. From what i understand, if you don't use the credit card you have it looks bad on the credit report.
I'm trying to make sure I don't make a mistake that i'll regret later on.
03-04-2013 07:15 PM
03-04-2013 07:20 PM
I'd seriously app for Freedom.
Even with that low of an income, you should get a higher limit
I'm not so sure about that one. Chase typically likes to see 1 years experience on a card. Some people have gotten in with 7-8 weeks. IMHO, I don't think OP has much of a chance just opening up a first card.
03-05-2013 03:39 AM
Once they have approved me and mailed me the credit card is it too late to day anything? I don't want it to show up on my credit report that I had a credit card and canceled it.
If i go apply for chase freedom right now will they see that I just applied for one at Fifth Third? Will it have any negative impact? Also isn't it bad applying for 2 credit cards in the same week?
03-05-2013 04:08 AM
your credit score has already taken any ding that it's going to take for the INQ as well as the new account. And there is no specific negative as far as having a credit card and not using it. Like others have said - as long as there is no AF - keep the cc and let it grow with you.
03-05-2013 04:09 AM
03-05-2013 04:09 AM
I agree with letting it grow and be patient as many have said. Id also like to add this:
Suppose you max that $300 limit every month. You would be spending 3600 annually, or 75% of your reported income through that single card. As a bank, I would view that as being a high enough limit for your first card.
I think many people here started out the same. Your income will grow, so will your limits. Keep your head up!
+1. You can't really expect much more with that as your income.
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