Credit Cards

[FutureBillionaire]

I'm considering reducing the limit on my credit union card.  The rewards are terrible, but it is my highest limit card. I would rather have more credit on cards that have rewards.  Thoughts?

[adavis425]

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FutureBillionaire wrote:

I'm considering reducing the limit on my credit union card.  The rewards are terrible, but it is my highest limit card. I would rather have more credit on cards that have rewards.  Thoughts?

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Why?  Lowering that limit doesn't guarantee higher limits on other cards. I wouldn't do it, but that's just me.

[pdog661]

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FutureBillionaire wrote:

I'm considering reducing the limit on my credit union card.  The rewards are terrible, but it is my highest limit card. I would rather have more credit on cards that have rewards.  Thoughts?

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It may actual make it harder to get higher limits on your other cards.  Some creditors will match the highest limit you have.

[FutureBillionaire]

Hmm.  I also worry about some creditors saying that I have too much available credit.

[bs6054]

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FutureBillionaire wrote:

Hmm.  I also worry about some creditors saying that I have too much available credit.

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Well, the notable one for that is Penfed, and you already have their cards!   Another time to reduce CL is if you want another card with that issuer but feel that the combined limit will be too much, but often there you can transfer some CL to the new card.   So I guess another vote for "Don't!"

[kevinjjc]

I vote against reducing the credit limit. Higher limits beget higher limits.

[FutureBillionaire]

I appreciate all the feedback.  I probably won't get any bigger limits with Discover anytime soon, but I have enough credit on the cards that I use most. It just stinks to have my highest limit on a card that I don't even carry anymore.

[flowfaster]

I want to lower my store cards down a bit(maybe 5-6K a piece) and I changed my BoA card to a sig visa so it doesn't report the limit.  I am now approaching 3x my reported income in revolving credit lol.  I fear a mortgage/auto lender will be like **bleep** dude?  Also, I plan on getting in with Penfed sometime in the near future.  So yes, I believe reducing your CL may be called for in some rare situations.  Overall utilization, is obviously not a factor at this point.