Closing Target

[Anonymous]

@Bpearl
Target has no luv button, no luv. 😢

[Anonymous]

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@Anonymous wrote:

Target just doesn't give high limits. They don't believe in allocating more credit than their average customer will utilize. 

I wouldn't close the card. You've only had it 7 months. Credit Analysts know that many store cards won't come close to the limits given on major cards.

One could justify a $15,000 limit at Barney's or Neiman Marcus. Not at Target or Kohl's. 

You'll be ok.

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In theory I agree with what you are saying in regards to the fact that maybe a 10k limit on a Target card seems a little excessive to give out. But the thing is, with a $500 limit, you could easily run through that in a month, making your card's utilization rate look high and close to maxed out. I say that because where I live Target is also a major grocery store. If the OP (or anyone else) were to use the card for shopping (groceries included) with such a small limit, it could easily be close to tapped out.

No one wants their utilization rate that high on any one card. Target should make their card more useful to the consumer. Especially one who has a handful of 5k-10k cards at their disposal. I do understand what you mean about Target not giving larger limits, but the OP may be better closing the card rather than not really using it due to the abysmally low limit and fear of high utilization on the card.   

[Anonymous]

In my view, best to avoid the Target so-called Debit card, which is really a check card. Big difference in that transactions don't go through VISA / MasterCard, but rather are drawn out of one's attached bank account much like an electronic check, often sometime afterwards - not instant. Can be hours or less to days depending on the funds transfer network they utilize. There are many complaints of people having their bank accounts go negative resulting in overdraft fees, bounced checks, etc due to using a Target Debit card.

If continuing to shop at Target and seeking the extra 5%, stick to using the Target Credit card. Sure the $500 limit is lousy, but you're far more protected.

[Anonymous]

Bpearl : there isn't a luv button. The income verification will update their systems, but that probably takes time. What I would do is call the backdoor number and tell them that your thinking about closing the card, they'll put you on the list and by the next statement have your fingers crossed