topic Re: High Limit Cardholders (Questions) in Credit Cards

High Limit Cardholders (Questions)

Drew — Tue, 30 Jul 2013 15:21:41 GMT

Hello All,

I have a few questions for those who have credit cards with $10,000+ credit lines. I think this would really help me align my expectations with reality.

Did you apply for cards in sequential order or did you apply for cards all at the same time?
Did you establish high limits on current cards before applying for a new card?
Did you have a specific high balance percentage showing on each card? (e.g. $3,000 or 30%)
Did you alternate usage of the cards or did you use one card for everything when trying to get a higher credit limit?
Lastly, what does your AAoA and credit score look like?

Re: High Limit Cardholders (Questions)

navigatethis12 — Tue, 30 Jul 2013 15:31:31 GMT

1. All at the same time in two waves.

2.Not really trying to, it just happened. American Express gave 10,000 when the other highest line was 2380.

3. No. The high balance on all cards is about 3-6000 I suppose, but I don't try to utilise it just so it wil report.

4.I use most cards every month for general purchases. The two I really wanted the increase on I used a lot, but the others not really. The one's that were approved for 10,000 or more from the start I don't use that much at all.

5.Average age of accounts is probably 1 year or less, I know it isn't 2. Credit scores are around 730-780 depending on the bureau. Length of credit history is 3 years but I received the first 10,000 limit at 18 months and the next somewhere around 2 years of age.

Re: High Limit Cardholders (Questions)

Anonymous — Tue, 30 Jul 2013 16:12:02 GMT

1. I tend to go on mini app "sprees" consisting of 2-3 new credit card applications and several CLI requests on the same day. I try to space out the mini app sprees so there's at least 6 months of "gardening" time in between, but if there's a great limited time offer I will not hesitate to jump on it (e.g. Chase Freedom with 35k, Ink Plus with 60k, etc.).

2. I had 1 credit card (Citi Dividend) that I used exclusively for almost 5 years that I slowly built from a $500 CL to $10k before I started applying for other cards (notably, Chase cards).

3. I try to keep my per card utilization under 20-30%, but if a single card runs up to 40-50% I won't give it a second thought. I always PIF, but generally let the statement balances report.

4. I use whatever card gives me the best rewards with very little consideration given to future app sprees. Things tend to work themselves out; I think people overthink credit strategy too much on this forum. I try to use my dormant cards at least once a year so that don't get shut down though.

5. AAoA is about 4-5 years last time I checked, and credit scores are right around 800.

Re: High Limit Cardholders (Questions)

Drew — Tue, 30 Jul 2013 15:52:52 GMT

@navigatethis12 wrote:
1. All at the same time in two waves.
2.Not really trying to, it just happened. American Express gave 10,000 when the other highest line was 2380.
3. No. The high balance on all cards is about 3-6000 I suppose, but I don't try to utilise it just so it wil report.
4.I use most cards every month for general purchases. The two I really wanted the increase on I used a lot, but the others not really. The one's that were approved for 10,000 or more from the start I don't use that much at all.
5.Average age of accounts is probably 1 year or less, I know it isn't 2. Credit scores are around 730-780 depending on the bureau. Length of credit history is 3 years but I received the first 10,000 limit at 18 months and the next somewhere around 2 years of age.

What was the timeframe inbetween the waves?
Did American Express play a major part in the higher credit limits that followed?
Did the high balances result from carrying balances over from month to month?
Did you revolve balances on cards that were below $10,000?
The first wave of cards are all at $10,000+ limits? I assume the approvals for the second wave resulted in immediate approvals for $10,000 limits?

Also, how many cards do you have in total?

Re: High Limit Cardholders (Questions)

navigatethis12 — Tue, 30 Jul 2013 16:03:49 GMT

@Drew wrote:
What was the timeframe inbetween the waves?
Did American Express play a major part in the higher credit limits that followed?
Did the high balances result from carrying balances over from month to month?
Did you revolve balances on cards that were below $10,000?
The first wave of cards are all at $10,000+ limits? I assume the approvals for the second wave resulted in immediate approvals for $10,000 limits?
Also, how many cards do you have in total?

1. Ten months. I forgot that I just did a three month spree for some cards as well, so six months this time.

2. Not really. They decreased it for non use and I was still able to get high limits so they didn't really help at all.

3. No. I did max out a card once(0% interest) and left it for about one month, but I paid it off because I didn't like being maxed. I 95% of the time pay before the statement closes on all card.

4.I don't revolve balances at all.

5. No, just American Express. The second time only two applications were 10 and above, even though I had high limits at the time. The third(this time) all(6) except one(8,000) were 12,000 and above.

I have 29 cards with 7 being business cards that don't show up on personal reports.

Re: High Limit Cardholders (Questions)

SnackTrader — Wed, 31 Jul 2013 01:41:36 GMT

While I will be happy to reply to this post using the numbered format later this evening, I just want to point out something from this analysis that is missing. That is: Income is a humongous determinant in credit line assignment. All else being equal, a higher income will lead to higher credit lines.

Now, if you are able to build a long and successful credit history with a smaller income, there is a chance for higher credit lines as well. But that takes plenty of time. The real key to high credit limits is high income, low debt, no baddies. There are other ways to get there, and I'm sure that the gradual loosening of credit availability that has been occurring will help, but those other ways will always be subject to lender-specific circumstances that are less likely to be universal.

Re: High Limit Cardholders (Questions)

SnackTrader — Wed, 31 Jul 2013 01:42:18 GMT

Edit: Fixed my previous post. This post is now pointless...sorry.

Re: High Limit Cardholders (Questions)

Smug — Tue, 30 Jul 2013 17:17:13 GMT

i closed all my small cards, 300. 500 and got my first 5K card, the rest was easy

Re: High Limit Cardholders (Questions)

09Lexie — Tue, 30 Jul 2013 17:40:11 GMT

1. Mini-spree
2. No
3. Never let a high balance report when applying. Most I've ever used of my CL's is 15%
4. Rotate based on what I'm buying. Not trying to get a higher CL
5. AAOA over 6 yrs. CS usually low 700's. still recuperating from last spree current CS are in my siggy.

I have 17 open cc's.

Re: High Limit Cardholders (Questions)

sr383 — Tue, 30 Jul 2013 17:46:14 GMT

I've heard that 2x salary is possible, but I can't imagine what I'd do with such a limit. Beyond my anticipated mortgage, there's only about $2,800 a month in spending to go around, assuming I could route every cent of it through a cash-back card. So a 30K limit would be ample, even if everything were going to one card.

By the way, if anyone knows a card that offers 5% back on mortgage payments, please let me know.

Re: High Limit Cardholders (Questions)

SnackTrader — Wed, 31 Jul 2013 01:48:02 GMT

1. Got my first card in June 2012. Got Amex (originally $4,500), Citi and Chase in December. Barclays in May 2013.
2. My first card was a CapOne at $3,000 that did not grow during the first 6 months.
3. My high balance was somewhere near $2,200 due to a few plane tickets hitting within the same month. So that's like a 70% high balance percentage. I was putting major money through that card. After getting that card, my way up to the high limit Amex was the 3X CLI which they gave me to $13,500. CapitalOne followed with a CLI to $9,000. All of the cards I got during the December spree gave higher limits than my $3,000 Capital One.
4. I always just use whatever gives me the most rewards. I put less than $1000 on all my cards every month.
5. Credit score was about 778 on EX when Amex approved me. TU was 750ish when Barclays approved me. AAoA has remained about 4 years this whole time.

Re: High Limit Cardholders (Questions)

Anonymous — Wed, 31 Jul 2013 02:02:44 GMT

@sr383 wrote:

By the way, if anyone knows a card that offers 5% back on mortgage payments, please let me know.

There's a whole series of cards that (sort of) do this, for a limited amount of time, via Amex Bluebird!

Re: High Limit Cardholders (Questions)

sr383 — Wed, 31 Jul 2013 02:37:30 GMT

Hmmm. I think this calls for a new thread: Reducing your mortgage by 5%. ...

Re: High Limit Cardholders (Questions)

Anonymous — Wed, 31 Jul 2013 02:51:27 GMT

@sr383 wrote:
Hmmm. I think this calls for a new thread: Reducing your mortgage by 5%. ...

Nothing magic, just search Bluebird threads and how to load with 5x cards.

Re: High Limit Cardholders (Questions)

Anonymous — Wed, 31 Jul 2013 03:00:34 GMT

1. I apply for everything within a day or two of each other, six months apart would be best. I'll probably wait 2 years before doing any new apps though.

2. Two different ballgames imo. I CLI all of my lines during garden time.

3. Did you have a specific high balance percentage showing on each card? (e.g. $3,000 or 30%) - I keep my util <16% at all time. This goes for all cards.

4. I use one card for gas/groceries, one card for bills and dining and the another card for large purchases. I keep the USAA Amex as an OD protection card. I don't overload a certain card at any one time just because I want a CLI.

5. 1.9yr AAoA as of now. 740 range on all scores.

Re: High Limit Cardholders (Questions)

CreditScholar — Wed, 31 Jul 2013 03:14:44 GMT

@Drew wrote:
Hello All,

I have a few questions for those who have credit cards with $10,000+ credit lines. I think this would really help me align my expectations with reality.

Did you apply for cards in sequential order or did you apply for cards all at the same time?
Did you establish high limits on current cards before applying for a new card?
Did you have a specific high balance percentage showing on each card? (e.g. $3,000 or 30%)
Did you alternate usage of the cards or did you use one card for everything when trying to get a higher credit limit?
Lastly, what does your AAoA and credit score look like?

1. Sequential order. I've never applied for more than one card at a time, and never more than one every 6 months. One new card every 1-2 years is the norm for me.

2. My first 10k limit was when I was 21, so I've pretty much always had high limits. I find it easier to obtain high limits when you already have other cards with high limits. Between 18-21, I only had 1 card with the bank whom I had my savings/checking with. This helped me get started. Spending patterns did the rest, as my classic turned to gold at 19, platinum at 21, and signature at 25.

3. No, although I typically use between 10-30% of my limits at any time. A few times a year my util spikes (60%+), but I always let my balance report and then PIF. If I'm planning to apply for a card, I'll lower my util the month before by paying before the statement cuts.

4. Up until I started travelling internationally, I always used just one card. Since then I use 2-3 cards at a time, based on what gives me the best rewards.

5. My AAoA is ~8 years, and my FICOs have been in the lower 800s since my mid-late 20s.

Re: High Limit Cardholders (Questions)

flgamegirl — Wed, 31 Jul 2013 04:14:30 GMT

Sequential. I apply for cards as I need them or as special offers come up
My cards usually start with a high limit that goes up only slightly over time. I didn't try to increase credit limits before applying for new cards. Amex lowered one of my inactive cards when I applied for a new one.
I don't carry a balance on my cards unless I get in on a 0% deal.
I used to alternate. Now I just stick with 2 cards that offer me the best perks.
My score fluctuates between about 782 and 802. All but one of my accounts are over 5 years old, with some being over 15 years old.

My lowest limit is Victoria's Secret: $790. My bank cards and Amex range 10-20,000.

Re: High Limit Cardholders (Questions)

_jb_ — Wed, 31 Jul 2013 14:55:04 GMT

1. I didn't know anything about App Sprees until last winter, so I guess my first two (Capital One, NFCU) were sequential, but 6 years apart. The other cards in my signature were all opened within about a 2 week window. I only have 2-3 cards that I am interested in at the moment, and one of them is just for the signup bonus (miles), and they will probably be applied for at the same time (maybe in the Spring, since I have no real need for them at the moment).

2. My first card was a $500 limit, which moved to $1500 on its own after about a year, and then was moved to $7500 via the EO this past winter. NFCU started me with $25,000. Chase (Sapphire Preferred) and Discover started me with $9,300 and $9500, and I got auto CLI from Chase this past week to $12,500. My lowest is my Chase Amazon.com, which started at $1,000 and is now at $1,300 (bleh).

3. I don't worry about utilization at all since I am not looking for more credit at the moment. It usually stays below 10% anyways just due to my bill paying habits. My CSP has reported a $7,000+ balance twice since I have had it, but it has been paid in full prior to any interest charges. I attribute that (and the shear amount of money I have moved through it) to the recent $3,300 CLI.

4. My go to card is the CSP, with the Chase Amazon.com card getting all Amazon purchases (a couple hundred a month due to my work location), NFCU and Capital One each getting a bill a month, and my Discover getting used when I want to buy something from their online mall (flowers for mom usually).

5. AAoA is 8+ years, with my oldest account being 13+ years old. Current scores are in my Sig.

Hope this helps!

Re: High Limit Cardholders (Questions)

Anonymous — Wed, 31 Jul 2013 15:09:37 GMT

Also, note that getting high limit cards isn't monotonic.

18 months ago, all my cards had CLs over 10K, 5 over 20K. Then Barclays gave me the MC Rewards with a CL of $4.7K (so not even a world one!)

After 6 months, it got bumped to 7.2K, still my lowest card. Then I got a Citi Forward, with a CL of 7K.

And then after that I got cards, including two from Citi, with CLs ranging from $15K up. So very hard to predict what will happen.

Re: High Limit Cardholders (Questions)

jefftca925 — Wed, 31 Jul 2013 15:39:27 GMT

I've found that most issuers seem to correlate CL to income as well as credit history. This is especially true since the introduction of the Card Act a few years ago. I have quite a few 10K+ CL cards but none over 15k as my income is moderate. Also, each issuer will have a maximum "exposure" threshold that they will assign based on income across all products for each cardholder.