topic Re: Best high limit cards for 2021. in Credit Cards

Best high limit cards for 2021.

clipperskipper — Wed, 06 Jan 2021 01:20:14 GMT

Hi folks, I'm just curious what the best high limit cards are recommended for 2021, $30K and up. I don't pay fees, as there are way too many free cards available. I have five cards currently, some since 2005, with a total cl of $37000, the highest is Chase Freedom unlimited, @$21.6K.

I tried getting CLI's on the other cards over the years, to no avail. The response was that I don't run the balance up high enough. Duh! I usually have a 1 or 2 % balance each month.

Thanks!

T/U 830 EXP 825 01/21

Re: Best high limit cards for 2021.

K-in-Boston — Wed, 06 Jan 2021 01:38:48 GMT

Most bankcards from essentially every lender (with some credit unions capping lower off the top of my head) can be $30,000 or more, often much more, depending on your profile, income, and assets; the "best" really just depends on what you want out of a card.

If you're not spending more than about $740 a month across all of your cards, is there any reason for higher limits?

Re: Best high limit cards for 2021.

Remedios — Wed, 06 Jan 2021 01:43:22 GMT

At 1% or 2% use you really should be more worried about getting CLD than CLI given the limits on your cards.

Re: Best high limit cards for 2021.

wasCB14 — Wed, 06 Jan 2021 04:39:03 GMT

A bank has little incentive to extend vastly more credit than you realistically might use in good times.

In the best case, the credit sits unused and makes them no money.

In the worst case, you lose your income, run up the balance, and default.

Re: Best high limit cards for 2021.

Anonymous — Wed, 06 Jan 2021 04:40:29 GMT

@clipperskipper wrote:
. I don't pay fees, as there are way too many free cards available.

Not your main point, but this is somewhat similar to saying "I never take planes as there are so many city buses" or "... as walking is free"

i.e. while there are some AF cards (e.g. rebuilder cards) that offer nothing that free cards don't, most of the annual fee cards discussed here can offer real advantages far exceeding the fee.

And, more on topic, issuers may well give higher limits on premium annual fee cards

Re: Best high limit cards for 2021.

wasCB14 — Wed, 06 Jan 2021 05:08:15 GMT

[Mod cut: Quoted post has been removed for violation of the myFICO Terms of Service.]

One common factor in those instances is a high number of different lenders. It's easier to get a $20k card from each of ten different lenders than to get one $200k card.

Re: Best high limit cards for 2021.

Slabenstein — Wed, 06 Jan 2021 05:54:54 GMT

[Mod cut: Quoted post has been removed for violation of the myFICO Terms of Service.]

I've never had nor do I have access to a high income or monster limits, so members that do can answer more particularly, but I don't think many people of whatever profile divide their monthly spend evenly by their number of cards and then charge that to each card every month. Rather, for the members you see here with a large number of cards with high limits, I expect some of the following to have been part of their history in getting them:

1) Long-term high income, such that the spend they put on the cards they do use substantially in a particular month can come to a reasonable portion of the limit.

2) High spend (at least relative to me), possibly supplemented by business or reimbursed work charges.

3) Card rotation, both long-term and short-term. Short-term, a card may be in the sock drawer or see minimal use for a few months and then be switched out into active rotation so that, ultimately, most cards see reasonable activity. Long-term, they may have accumulated multiple high limit cards over time just through the normal consumer credit card cycle. It often happens that a consumer is attracted to a card's rewards structure, uses it substantially for a period during which they are approved for CLIs, and then lets it fall out of rotation when spend patterns change or a newer card offers more attractive rewards. If you're doing this with a high income and strong profile, you can end up with multiple high-limit sd'd cards, in addition to your current active lineup.

4) Long credit history. Kind of touched on this above, but I expect a lot of the MyFICO high achievers have maybe a couple of decades or more of reported credit history. In addition to building up high limit cards over time, this combined with high income and a generally strong profile supports higher starting limits.

5) Limit reallocation and card combination. With the issuers that allow this, disuse of cards from the same issuer over time can lead to the credit that issuer has extended becoming concentrated on a single card if the cardholder is one who opts to reallocate and close. I think also for some issuers, like Chase and Discover, this can be the most direct way to build up a large limit with HPs.

Ofc this is all just supposition on my part. Those here who have actually done it are the ones who can really tell you how it's done.

Re: Best high limit cards for 2021.

Anonymous — Wed, 06 Jan 2021 06:45:13 GMT

Ask your local financial institution about corp charge cards. I can (probably would never) run six figures through ours in one swipe and it'd be processed as credit so it's technically what you're asking for.

Re: Best high limit cards for 2021.

Andypanda — Wed, 06 Jan 2021 05:56:54 GMT

@K-in-Boston wrote:
Most bankcards from essentially every lender (with some credit unions capping lower off the top of my head) can be $30,000 or more, often much more, depending on your profile, income, and assets; the "best" really just depends on what you want out of a card.

If you're not spending more than about $740 a month across all of your cards, is there any reason for higher limits?

I like to have a high credit limit in case of high valued expense. I had some major house repairs done a couple of months ago. Iwant to get rewards for tge expense no matter how high.

Re: Best high limit cards for 2021.

Anonymous — Wed, 06 Jan 2021 07:21:45 GMT

@K-in-Boston wrote:
If you're not spending more than about $740 a month across all of your cards, is there any reason for higher limits?

I can think of a few

Re: Best high limit cards for 2021.

lyTENciL — Wed, 06 Jan 2021 08:43:48 GMT

If high limit is all you are after, Navy Federal is known for throwing around monster SLs, up to 25K instant approval. You'll have to qualify for membership first.

You tagged your post with Balance Transfer, so good BT terms might narrow the field considerably. Others will have to speak to that.

Re: Best high limit cards for 2021.

clipperskipper — Wed, 06 Jan 2021 14:35:56 GMT

I spoke out of place with regard to the age of cards, the oldest being 36, with an average of 17 years old. I guess it was the fact that a higher credit score, would assure a better mortgage rate. I should have a better mix, however I don't have a car payment, student or other loans, so that's out. I own four homes, have paper on two of them, and three are income generators. I made $130K last year from my salaried job, pay bills on time, and never carry a card balance. There was an on nerdwallet, where two guys had 850 scores, and did so by having $100K in available credit. In August, 2018 I got a Chase Freedom unlimited, $21.6K right out of the gate. My Fico score increased by 13 points the following month.

As others suggested, multiple cards could work, but don't forget, a hard inquiry will dock you six points. Last February I tried to buy another house, a foreclosure auction that was literally right around the corner. In order to do so, I needed a pre-approval letter from a lender, so I followed a lead from the Agent I was working with. Kid wanted everything, two years of 1040's with all of the forms, checking, savings, Roth IRA, 401K, you get the point. Then he gave me crap for having a middle score of "only 825, and you have a $900 credit card balance". Wow. He reluctantly gave me a pre-approval letter for $200K. I just found this lowly unusual.

Re: Best high limit cards for 2021.

Anonymous — Wed, 06 Jan 2021 14:38:12 GMT

@Anonymous wrote:
@K-in-Boston wrote:
If you're not spending more than about $740 a month across all of your cards, is there any reason for higher limits?
I can think of a few

Right, but can the issuer!

Re: Best high limit cards for 2021.

AverageJoesCredit — Wed, 06 Jan 2021 14:43:27 GMT

@clipperskipper wrote:
I spoke out of place with regard to the age of cards, the oldest being 36, with an average of 17 years old. I guess it was the fact that a higher credit score, would assure a better mortgage rate. I should have a better mix, however I don't have a car payment, student or other loans, so that's out. I own four homes, have paper on two of them, and three are income generators. I made $130K last year from my salaried job, pay bills on time, and never carry a card balance. There was an on nerdwallet, where two guys had 850 scores, and did so by having $100K in available credit. In August, 2018 I got a Chase Freedom unlimited, $21.6K right out of the gate. My Fico score increased by 13 points the following month.
As others suggested, multiple cards could work, but don't forget, a hard inquiry will dock you six points. Last February I tried to buy another house, a foreclosure auction that was literally right around the corner. In order to do so, I needed a pre-approval letter from a lender, so I followed a lead from the Agent I was working with. Kid wanted everything, two years of 1040's with all of the forms, checking, savings, Roth IRA, 401K, you get the point. Then he gave me crap for having a middle score of "only 825, and you have a $900 credit card balance". Wow. He reluctantly gave me a pre-approval letter for $200K. I just found this lowly unusual.

Wow with your profile, income, etc i would think you'd have the pick of the litter on ccs. With homes, plural, holy fico lol, and great score and income, dont let a hp scare you. Even if it drops a score 6 points , which not every hp does, it shouldnt really matter ifyour score is in 800s. No difference in a 850 and 820 imo though im no score expert. If you want high limit credit cards all you need to do is find the right lender. Ie Chase. Id bet youd get a high limit again from Chase. Might even check out Boa. Best of luck and thanks for stopping by

Re: Best high limit cards for 2021.

Slabenstein — Wed, 06 Jan 2021 15:39:57 GMT

@clipperskipper wrote:
I spoke out of place with regard to the age of cards, the oldest being 36, with an average of 17 years old. I guess it was the fact that a higher credit score, would assure a better mortgage rate. I should have a better mix, however I don't have a car payment, student or other loans, so that's out. I own four homes, have paper on two of them, and three are income generators. I made $130K last year from my salaried job, pay bills on time, and never carry a card balance. There was an on nerdwallet, where two guys had 850 scores, and did so by having $100K in available credit. In August, 2018 I got a Chase Freedom unlimited, $21.6K right out of the gate. My Fico score increased by 13 points the following month.
As others suggested, multiple cards could work, but don't forget, a hard inquiry will dock you six points. Last February I tried to buy another house, a foreclosure auction that was literally right around the corner. In order to do so, I needed a pre-approval letter from a lender, so I followed a lead from the Agent I was working with. Kid wanted everything, two years of 1040's with all of the forms, checking, savings, Roth IRA, 401K, you get the point. Then he gave me crap for having a middle score of "only 825, and you have a $900 credit card balance". Wow. He reluctantly gave me a pre-approval letter for $200K. I just found this lowly unusual.

TCL is not a scored metric on any FICO version, so raising it wouldn't have any direct effect on your scores, if that's what your concern is. TCL is the denominator in your aggregate utilization, which is scored, so it can have an indirect effect, but if your monthly reported utilization is already extremely low then raising TCL likely wouldn't do anything for your FICOs.

ETA: A new card would also lower your mortgage scores by some amount, if you haven't opened a revolver in the last maybe 15 mo's. (Don't know the exact segmentation point for new account/no new account on those versions.)

Re: Best high limit cards for 2021.

K-in-Boston — Wed, 06 Jan 2021 17:12:57 GMT

@Andypanda wrote:
@K-in-Boston wrote:
Most bankcards from essentially every lender (with some credit unions capping lower off the top of my head) can be $30,000 or more, often much more, depending on your profile, income, and assets; the "best" really just depends on what you want out of a card.

If you're not spending more than about $740 a month across all of your cards, is there any reason for higher limits?
I like to have a high credit limit in case of high valued expense. I had some major house repairs done a couple of months ago. Iwant to get rewards for tge expense no matter how high.

Perfectly good reason (as would be "I just want them"), and that makes sense. That is much more than the 1-2% you mentioned. Were these home improvement store purchases or money paid directly to contractors or skilled workers? If home improvement, you may consider getting the Lowe's consumer credit card. In addition to 5% back or some very generous 0% promo periods, those cards can grow rather quickly and $35,000 is not that uncommon around here after a year or so with a decent profile and income. Otherwise, you have an enormous number of revolving card products to choose from. If the IRA and 401k you mentioned later are with a brokerage like Merrill Lynch, you may consider looking at a partner bank to leverage that. NFCU as mentioned is also known for rather high approvals for clean (and sometimes not so clean) credit profiles.

As for the credit scoring, usually the effect of a new account opening is far more severe than inquiries. It depends on what your reports look like, but there are cases where neither of those would actually cost points and the overall affect may even be an increase in scores if positive factors (like reducing your revolving utilization percentage greatly) that are weighted more are being met.

As for the mortgage scores, in the real world there should be no difference in creditworthiness and rates for someone in the 760s vs someone with "perfect" 850s. Find another lender. 800s are great for buffering against changes like new accounts, swings in currently reported utilization, etc. but they are not required nor a guarantee to get approvals at the best terms.

Re: Best high limit cards for 2021.

clipperskipper — Wed, 06 Jan 2021 18:30:00 GMT

Yes, mostly home improvement. I started an LLC last year for all of the real estate, plus opened both Lowe's pro, and Home Depot commercial accounts, in the LLC. I also hold an HIC license in Mass.

The Roth IRA is at TD, been there since the mid-90's, and I put in the maximum annually. The 401K is at Principle, but moving to Fidelity, should be finalized by tomorrow. I put the maximum in this as well, plus 6% company match. I don't understand what a partner bank or leverage is, sorry. I need to look at all of my accounts, as there is at least one that I forgot about, and there's $100K sitting in both a checking, and savings account earning squat. I'll also search for another lender.

Re: Best high limit cards for 2021.

clipperskipper — Sat, 30 Jan 2021 03:03:58 GMT

Back on track with this, as I got tied up on the Street for some time, as I don't trade indivual stocks (Gamestop), lol!), Moving on, I did get a new Citi card from a placecalled Wayrair, $7500 cl, wow. As others have suggesyed, obtain several smaller cards.

Re: Best high limit cards for 2021.

Kforce — Sat, 30 Jan 2021 04:01:00 GMT

@Slabenstein wrote:
TCL is not a scored metric on any FICO version, so raising it wouldn't have any direct effect on your scores, if that's what your concern is.

I had 850 Fico's with 4 cards and < $100,000 total CL

Credit scores of 850 do not require large CL's.

Re: Best high limit cards for 2021.

FinStar — Sat, 30 Jan 2021 04:14:54 GMT

Thanks for the update @clipperskipper and congrats on the Wayfair approval 👍

Locking this thread as you have been approved. Feel free to start a new thread in the Approvals section for this one (and any other future approvals) if you wish to do so.