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Frequent Contributor
TheConductor
Posts: 421
Registered: ‎07-24-2012

Re: What's the limit for a toy card?

I would say a card has a toy limit if it doesn't provide enough credit for the customer to comfortably charge and pay-in-full his monthly expenses with one payment.

If we're looking for a reasonably objective definition of "toy limit", I'd say this is it.

There's still going to be some variance based on one's lifestyle and geographic location, but this makes a good rule of thumb.

 

Could the average single person put all of their monthly expenses other than rent/mortgage on that card and be within that limit? If not, it's a "toy" limit.

 

For a college kid spending a gap year living in Thailand, that $500 Capital One card is hardly a "toy" limit since her expenses are easily going to fit within that limit.

But for any typical single person living in a mid-size or larger US city, however, the same card is probably a "toy".

 

As for those who adjust their perception of toy limits as their own credit limits increase, I respectfully submit that perhaps we should have a different term. When your max limit is $9000 and you get a $2000 CL on a new card, that's not really a useless limit, but it certainly feels like an affront.

 

Ergo, I suggest that perhaps the true bon mot for those situations is: insulting limit.  :smileylol:

Starting: EQ 622 (myFICO 7/7/12), EX 696 (TU FAKO 8/14/12), TU 621 (CK TransRisk 7/24/12) Current: EQ 675 (myFICO 9/26/13), EX 712 (CreditSesame FAKO 10/9/13) , TU 696 (WalMart 10/3/13) Goal: 700+ x3
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Dream Wallet:Barclaycard Arrival WMC (replace C1 Venture), Amex Platinum (replace Zync eventually), Andrews FCU Global V (chip + PIN for travel). Otherwise, pretty happy with my portfolio now.
Valued Contributor
creditnocash
Posts: 2,164
Registered: ‎07-23-2012

Re: What's the limit for a toy card?


TheConductor wrote:
I would say a card has a toy limit if it doesn't provide enough credit for the customer to comfortably charge and pay-in-full his monthly expenses with one payment.

If we're looking for a reasonably objective definition of "toy limit", I'd say this is it.

There's still going to be some variance based on one's lifestyle and geographic location, but this makes a good rule of thumb.

 

Could the average single person put all of their monthly expenses other than rent/mortgage on that card and be within that limit? If not, it's a "toy" limit.

 

For a college kid spending a gap year living in Thailand, that $500 Capital One card is hardly a "toy" limit since her expenses are easily going to fit within that limit.

But for any typical single person living in a mid-size or larger US city, however, the same card is probably a "toy".

 

As for those who adjust their perception of toy limits as their own credit limits increase, I respectfully submit that perhaps we should have a different term. When your max limit is $9000 and you get a $2000 CL on a new card, that's not really a useless limit, but it certainly feels like an affront.

 

Ergo, I suggest that perhaps the true bon mot for those situations is: insulting limit.  :smileylol:


lol thank you for this. 

500 on one cards is too little for me for obv reasons. 

i pay about 1000 a month in bills not including regular spendings. 

but im just as fine as putting it through debit vs credit but im trying to build credit.

my debit card has a 10000 limit for purchases. so its like an automatic charge card =)

 

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