Annual incomes for different limits...

[Pilotdude]

I am new here and after seeing a LOT of folks posting cards with 10K - 30K limits at places like Penfed, Chase, NFCU, Amex etc etc, I am wondering something:

What sort of annual income are these issuers requiring to issue limits such as those?   I mean, surely they would not be issuing those levels of limits to people making less than a certain level, right?

Just curious really.  I see a lot about limits but not so much about salaries to obtain the limits.

[rudy0720]

I amke 110K and have not broken a 10K credit line. Be careful not to believe everything you read here

[Cdnewmanpac]

It isn't just about income. People with high limits usually have some mix of long history (20+ years), great scores (750+), higher income (100k+) and/or long-standing relationship with the issuer. This excludes NFCU, who seems to have hired all the defense contract writers from the 1980s to decide peoples' limits. You don't have to have each of those criteria, but I haven't seen someone with high limits who doesn't have at least one.

There are many people on this board whose total available credit vastly exceeds their annual income. Most of them are not lying. My income is about 40k higher than my wife's, but her lowest limit card (Wells Fargo) exceeds my highest limit card (usaa) by 3k. So if you see someone with huge limits, the question is not just "how much do you make?", but also "how long have you had that card?", "how old are you?" and "what are your scores?"

[thom02099]

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@Pilotdude wrote:

I am new here and after seeing a LOT of folks posting cards with 10K - 30K limits at places like Penfed, Chase, NFCU, Amex etc etc, I am wondering something:

What sort of annual income are these issuers requiring to issue limits such as those?   I mean, surely they would not be issuing those levels of limits to people making less than a certain level, right?

Just curious really.  I see a lot about limits but not so much about salaries to obtain the limits.

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There's not really a definitve answer to your question.  It can vary from card to card/issuer to issuer/consumer to consumer.

Some cards are marketed primarily for higher salaries.  I've read multiple places, for example that the CSP card is aimed at salaries of $120K and more.  I don't make that, but have a CSP. 

Likewise, AMEX Zync was initially marketed to a target group of college age professionals, those getting out of college and looking for their first AMEX card.  Obviously, salaries are going to be a bit less for a college student or recent grad.  But then Zync became something of a "cult" card, and now even moreso since it's not available.

Discover right now seems to be mass marketing to the general public, so their income requirements may be more relaxed. 

Anecdotally, there may INDIVIDUAL requirements of at least $30K for some cards, $50K for others.  The card companies nearly always look at the individual income and not household income.  I never use my household income (over $100K) to apply for cards. 

[Pilotdude]

Yea.  I figured limits included other elements besides income.  I was just wondering if there were some sort of rhyme or reason to the minimum standards issuers might be using to initially screen applicants or something.

I mean I would think that if you app for CSP with an annual income of 20K you probably won't get it, even with a great score and history...but then again...my own score right now is far above that of my boss who makes well over 250K per year. 

Maybe there is no set system to determine this. 

I am sure history with the issuer, other issuers, amount of credit already used, age of accounts etc etc all play a part.

[thom02099]

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@Pilotdude wrote:

Yea.  I figured limits included other elements besides income.  I was just wondering if there were some sort of rhyme or reason to the minimum standards issuers might be using to initially screen applicants or something.

I mean I would think that if you app for CSP with an annual income of 20K you probably won't get it, even with a great score and history...but then again...my own score right now is far above that of my boss who makes well over 250K per year. 

Maybe there is no set system to determine this. 

I am sure history with the issuer, other issuers, amount of credit already used, age of accounts etc etc all play a part.

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Exactly!  More to approval than just salary.  With the above, that person making $20K might be able to get a Sapphire...dunno about a CSP though.  My best guess is they have a minimum income requirement in the high 20s-low30s.  But then it could be more dependent on those other factors. 

[pkosheta]

It's may seem odd, but income certainly affects the max credit you can get with an issuer. but in terms getting the highest limits based on your income every issuer is different.  Some may max you at 10k others 25k others give u a big fat DENIED.  For example, I'd hope I'm at the max with chase , the idea that they gave me a 5k card seem appropriate but the auto raise to 15k makes me very 'ummmmmm ok' since my annual income is sub 50k.  For some reason (perhaps 17 years of perfect payments) Credit card issuers love me and can't help but give me love. Everyone will have vastly different experiences, so don't try to figure out why they do what they do.

[antae]

I would think length of credit history is also factored.  I just hit my 20th year of PIF every month of credit history.  I'm sure AMEX factored this into my BCP limit (only have 1.5 year relationship w AMEX).  My income is in the 100k range usually.

[daybreakgonesXe]

I remember reading a really great article explaining how credit cards can be granted. it's an algorithm that takes into effect any of the following factors: credit score, actual report variables (such as: # of BKs, # of baddies, # of on-time payments, credit history etc.), and income. Certain combinations result in a particular limit and rate. God I really wish I had that article! It even had a very basic "chart" for you to kind of get a feel for how it works if you just considered credit score and income. Certain incomes may not even qualify for a card with a decent score, some higher incomes but lower scores will grant a card, and obviously the higher your income and credit score, the higher the limit. Of course, YMMV especially between creditors!

[antae]

That algorithm would be interesting to see for sure.