Maybe this has been asked and answered, but if you have high credit limits on your major cards and you only use, say 5 or 6% of it and PIF each month, has anyone ever had ther credit limits decreased because they have low usage? I have a PenFed with a 23k limit and I've never had more than a 1k limit of which was paid off two billings later. Since then, I charge gas and PIF each month so they really aren't making much interest off me.
Since these people are in business to make money, do they look at your spending habits and say, "low utilization, maybe she doesn't need such a high credit limit". I know they can decrease your limit for missed payments, etc. Reason I ask is beacause for more than a few years I had a Macy's Platinum Star Rewards store card and last year, they sent me a letter saying I hadn't spent enough to maintain it and they sent the Gold card.
I didn't care about that but I wouldn't want my major cards decreased!
I didn't care about that but I wouldn't want my major cards decreased!
I can run some charges up for you if you want them to see a lot of activity 
Yes, I have heard of this happening but I have never experienced it. I, like you, have some CCs with high CLs, and I have balances that currently report util between 12-15%. This, without any AA from the CCCs. It will interesting to see if others have had AA taken against them for being in the same situation.
MsQueenB wrote:
Maybe this has been asked and answered, but if you have high credit limits on your major cards and you only use, say 5 or 6% of it and PIF each month, has anyone ever had ther credit limits decreased because they have low usage? I have a PenFed with a 23k limit and I've never had more than a 1k limit of which was paid off two billings later. Since then, I charge gas and PIF each month so they really aren't making much interest off me.Since these people are in business to make money, do they look at your spending habits and say, "low utilization, maybe she doesn't need such a high credit limit". I know they can decrease your limit for missed payments, etc. Reason I ask is beacause for more than a few years I had a Macy's Platinum Star Rewards store card and last year, they sent me a letter saying I hadn't spent enough to maintain it and they sent the Gold card.
That's something I'd wondered, too... I'm sure some of the less responsible lenders out there would like to see customers regularly maxing out their cards (and showing no realistic signs of paying them off in a great hurry), but for the PIF-ers/rarely carry a balance-ers, with cards from the kind of lender you want to keep happy... I wonder if there's some kind of optimal usage they'd like to see you getting out of it, some sweet spot that's not in any danger of maxing the thing out, but also not clear proof that you have no need for such a high credit limit. (Of course, the fact that you have NO NEED of a high credit limit is probably what makes the good CCCs GIVE you a high credit limit!)
My highest credit line is $7,400, and I've never had a balance higher than about $1200 on there at any point - usually it runs closer to about $500 maximum at any given time as I make payments on the thing so regularly, it doesn't have time to build up a balance.
There must be some kind of spending-to-limit range that keeps 'em happy - bet it differs wildly between issuers, though!
My highest credit line is $7,400, and I've never had a balance higher than about $1200 on there at any point - usually it runs closer to about $500 maximum at any given time as I make payments on the thing so regularly, it doesn't have time to build up a balance.
There must be some kind of spending-to-limit range that keeps 'em happy - bet it differs wildly between issuers, though!