topic Re: Credit limit transfer in Credit Cards

Credit limit transfer

Anonymous — Thu, 04 Mar 2021 17:25:17 GMT

I have 3 American Express cards. Due to new airline rules, I have no intention to fly Delta again so I want to transfer my credit line to my clear card. Does transferring the credit limit and leaving a 500 limit on the Delta card effect my score negatively? I guess my concern is, does Fico see that as a credit limit decrease?

Re: Credit limit transfer

Ficoproblems247 — Thu, 04 Mar 2021 17:47:33 GMT

The decrease would have no bearing on your FICO score unless it in some way caused you to cross a utilization threshold on that card. Nothing to worry about otherwise.

Re: Credit limit transfer

Anonymous — Thu, 04 Mar 2021 17:51:24 GMT

Thank you. I pay them off monthly, so I don't owe anything in any of the cards. I appreciate the help.

Re: Credit limit transfer

4sallypat — Thu, 04 Mar 2021 17:55:28 GMT

Can I ask what airline changes is causing you to change products ?

Here I was looking at getting the Gold or Plat Delta Amex...

I fly Delta 100% of the time for domestic, and will fly their alliance airlines internationally.

Re: Credit limit transfer

Anonymous — Thu, 04 Mar 2021 17:58:38 GMT

It's all the political drama

Re: Credit limit transfer

Brian_Earl_Spilner — Thu, 04 Mar 2021 18:00:03 GMT

Amex is an example of a lender that looks at the limit of your other cards. They're not the only one. If it's your only $500 limit card after the transfer, it can be a detriment when applying for credit or limit increases in the future.

Re: Credit limit transfer

Anonymous — Thu, 04 Mar 2021 18:03:56 GMT

Way back when I first got the card, I accidentally applied for the clear card when I wanted the blue card. So I originally transferred the credit limit from the clear card to the blue card and it has remained at a $500 credit limit since then, that's been about five years ago. I do use that card though to keep it active. The clear card is my only card that has a low credit limit, Basically I guess I would just be swapping the status of the clear card with the Delta card and still have one with a $500 limit.

Re: Credit limit transfer

Anonymous — Thu, 04 Mar 2021 18:05:02 GMT

Maybe it's best that I just work on building up that limit as well? I haven't requested an increase on that card in the last five years

Re: Credit limit transfer

Ficoproblems247 — Thu, 04 Mar 2021 18:30:58 GMT

@Anonymous wrote:
Maybe it's best that I just work on building up that limit as well? I haven't requested an increase on that card in the last five years

Since AMEX only allows for 1 approved CLI every 181 days, the most prudent course of action would be to focus your efforts on a larger limit card and request 3X the current amount (provided it does not take that individual limit over $35,000.) If approved for a large increase than you could once again move limits around to accommodate your other AMEX cards, as they allow you to move them once per 30 days.

Re: Credit limit transfer

Anonymous — Thu, 04 Mar 2021 18:33:58 GMT

Sounds like a plan, thank you.