Valued Contributor
Posts: 3,406
Registered: ‎12-19-2012
Re: Can Someone Tell Me.....
It is more to show the lender you are paying off in full a generous balance every month. They in turn, increase your limit. The next lender sees the higher limit, and wants to give you at least that initially, if not more. You show the new lender your pattern, and they increase your limit. Then third lender sees the higher limit and wants to match it...and so on and so forth. There are cards that you won't get approved for if your credit report doesn't show you have successfully managed at least $5000 in credit limit. The Chase Sapphire is one of those cards, as the min limit granted upon approval is $5000. I know this is true because I got denied that card because I wasn't currently carrying $5000 in credit limit. So how do you get there? Look at the beginning of my post.

And yes, there are many avenues to excellent credit. But what I outlined is how to use credit cards to your maximum benefit from that particular type of trade line. Credit cards can help a lot but it is not the full picture. Having diverse accounts, also boosts your score. JM-AM, you also have a mortgage, which is the most prestigious line of that helps your score tremendously.

I know exactly what is holding my score back from the 800's:

1. Not having a mortgage
2. A Ch 7 reporting, will delete Aug 2013
3. An unpaid collection
4. Not having an average credit limit greater than $2000. I have a $2500 limit card, but the average limit of all my cards is less than $2000.

By managing my credit cards the way I am, paying on student loans that are 13 years old never late, and paying on my second auto loan since bankruptcy and the previous one is closed paid as agreed; I am maximizing my score potential at this time.
Cards: Orchard Bank ($1100) | Cap1 Cash Rewards ($2500) | Chase Freedom ($1000) | Best Buy ($2500) | Discover It ($1000) | Barclay Rewards ($2500) | Current scores: EX FAKO: 684, CK TU: 649, FICO EQ: 680, FICO TU: 698, FICO EX: 658 Happy Homeowner Since 2/6/13! Smiley Happy Last App: 4/5/13 Gardening until July 2014