Saaws,
Technically there is no spending limit on a no pre set spending limit IE a credit limit on this account. In a sense you cannot go over that limit. With this type of account you have what some people call a shadow credit limit. This is used to calculating the monthly payment if your shadow credit limit is $5000 say and you balance is 5700. You payment for that month would be 700 + a minimum monthly payment. While these type s of account(s) seem nice I do not like them. Search no preset spending limit and FIco scoring and you find some interesting articles. I had two no pre set spending limit accounts I have closed one and am thinking about doing the same with the other. In my opinion this type account hurts your score more than it helps.
FICO Scores XPN v8 802 V2 831 (SDFCU) TUC 803 v8 EFX 807 (10/2023)
Discover 09/90 19,000, JCPenney 10/2008 4,700 US Bank Cash 12,000 Citibank Custom Cash 5/2015 11,100 State Dept. FCU 15,000 06/2023 , 02/2024 Redstone FCU Signature VISA 10,000 Banking: Ally Bank Credit Unions: Lafayette FCU Fortera FCU State Department FCU Pelican CU
Pelican State CU Redstone FCU
