10-06-2012 03:57 PM
I've heard that about Barclay...I'm more concerned with the other two. But I figure the 6 month mark isnt until January, and at point I won't be as worried about util. Does that make sense as far as those two checking accounts before then?
Read previous comment, and try to chill out. You're going to give yourself a stroke.
As long as your utilization doesn't shoot up and STAY up, they could care less. They WANT you to use the cards. If you don't, they make no money. As long as you are utilizing and paying as you described above, I would be surprised if your limits don't increase. They'd certainly stand little chance of decreasing.
+1 Most of the time that I've heard of limit decreases over the past couple years has been to people who have carried balances for a long time that nearly maxed their cards and then slowly paid them down, so called "balance chasing". For awhile, during the worst of the recession, lenders were cutting limits much more frequently, but this isn't really the case anymore.
10-06-2012 03:58 PM
Thanks for the advice guys...and I will calm down. Its just with the unpredictablility of everything, I always want to prepare for the worst.
10-06-2012 03:59 PM
I'd never heard the team 'balance chasing'...so basicly that means you max your card out, pay essentially the minimum, and the CC's view that as a red flag (not worried about this one, just curious!)
10-06-2012 04:01 PM
Yeah, it's when the lender keeps cutting someone's limit to right above their balance as they slowly pay off their maxed out card.
10-06-2012 04:03 PM
10-06-2012 04:04 PM
Look at it from a lender's point of view. If you have these open lines that have had low utilization forever, and suddenly they all shoot up, and you start making minimum or close to minimum payments, that tells a lender: This guy is in trouble, and it might be a good idea to limit my exposure to him. Ergo they lower the limit on your account with them.
If you have open lines that get utilized and paid regularly in large chunks, that tells a lender: "this guy spends a lot of money, and I can see that my competitor has offered him better terms that I did, so if I want his business, I need to get off my backside and make it worth his while, either by lowering his rate, giving him more credit or both.
You fall into that second category from what you have told us about your use habits, so IMO anyway, you have zero to worry about. You're the sort of customer that they fight over, not the sort they fight to get rid of.
10-06-2012 04:23 PM
10-06-2012 04:36 PM
Thanks... That makes sense so I'm less worried now. I was just over-reacting to recent inquiries and a large purchase... But I always pay off or pay large each month.
If you REALLY want to have some fun with them, pay off a card, and then let it collect dust for a bit while you use a competing card from a different lender. They'll fall over themselves asking what they can do to get your business. When they do, you tell them what you want. Make demands, and they usually give in. Remember, they are making money off of you, so it is up to THEM to please YOU, not the other way around. You can always take your business elsewhere.
10-06-2012 10:59 PM
IMPORTANT INFORMATION: All FICO® Score products made available on myFICO.com include a FICO® Score 8, along with additional FICO® Score versions. Your lender or insurer may use a different FICO® Score than the versions you receive from myFICO, or another type of credit score altogether. Learn more
FICO, myFICO, Score Watch, The score lenders use, and The Score That Matters are trademarks or registered trademarks of Fair Isaac Corporation. Equifax Credit Report is a trademark of Equifax, Inc. and its affiliated companies. Many factors affect your FICO Score and the interest rates you may receive. Fair Isaac is not a credit repair organization as defined under federal or state law, including the Credit Repair Organizations Act. Fair Isaac does not provide "credit repair" services or advice or assistance regarding "rebuilding" or "improving" your credit record, credit history or credit rating. FTC's website on credit.