topic Re: Credit Limit Question in Credit Cards

Credit Limit Question

keithbward — Wed, 16 Jul 2014 01:14:36 GMT

Have a question for the credit card gurus out there. Do the limits I have on other cards play a factor on the opening limit other creditors may give you from your experience? Is it also a "bargaining" chip for recons on limits and credit limit increase requests?

Re: Credit Limit Question

gdale6 — Wed, 16 Jul 2014 01:18:16 GMT

yes

Re: Credit Limit Question

MT936 — Wed, 16 Jul 2014 01:19:22 GMT

Yes it does as some lenders are more willing to give you a higher limit if they see you have managed high limits in the past. As for using them as a bargaining chip, it is usually unsuccessful and I would not recommend doing so

Re: Credit Limit Question

hizzaah — Wed, 16 Jul 2014 01:20:04 GMT

Sometimes if you get a low opening limit, you can recon and ask for a limit more in-line with your other cards. Sometimes it works, sometimes it doesn't matter to them.

Re: Credit Limit Question

nachoslibres — Wed, 16 Jul 2014 02:02:56 GMT

Sometimes, sometimes not. It all depends on what bank it is, what cards you have with that bank, how many inquiries, etc. etc. etc. But for most people I'm sure higher limits on other cards would help when applying.

Re: Credit Limit Question

xsvspd — Wed, 16 Jul 2014 02:37:17 GMT

I'm constantly seeing people say thay to get the CSP, you have to already have a limit above 5k. This may be a factor for some, but wasn't in my case when I was approved for CSP at 11k, my highest limit at the time of apping was 3k.

Re: Credit Limit Question

MT936 — Wed, 16 Jul 2014 02:45:12 GMT

Yea the 5k limit on an existing account in order to be approved for the CSP is false. I used the chase pre approval tool and was pre approved for both the CSP and Marriott visa signature when my highest reported limit at the time was 4000 on my Amex. I applied and got approved for the Marriott for a 7500 Limit

Re: Credit Limit Question

s_haliz — Wed, 16 Jul 2014 02:46:39 GMT

@keithbward wrote:
Have a question for the credit card gurus out there. Do the limits I have on other cards play a factor on the opening limit other creditors may give you from your experience? Is it also a "bargaining" chip for recons on limits and credit limit increase requests?

I would say yes. But it plays differently with different credit card companies. Some may give you a credit below your minimum credit limit. Other may give you higher than your highest limit and some may grant you in between.

Re: Credit Limit Question

nachoslibres — Wed, 16 Jul 2014 02:57:27 GMT

@xsvspd wrote:
I'm constantly seeing people say thay to get the CSP, you have to already have a limit above 5k. This may be a factor for some, but wasn't in my case when I was approved for CSP at 11k, my highest limit at the time of apping was 3k.

The 5k number that gets thrown around is that that is the minimum CL one would get with CSP. So....if Chase deems someone isn't worthy of a $5k credit line then they will deny them the CSP, but that doesn't mean they had to have a $5k CL on other cards in order to get approved for a $5k credit line. BUT, someone who may have been approved for a Freedom card with a $3k CL would have been denied for a CSP, not approved for a CSP with a $3k CL. Hopefully that makes sense.

Re: Credit Limit Question

Transmogrifying_Bee — Wed, 16 Jul 2014 04:36:33 GMT

@nachoslibres wrote:
@xsvspd wrote:
I'm constantly seeing people say thay to get the CSP, you have to already have a limit above 5k. This may be a factor for some, but wasn't in my case when I was approved for CSP at 11k, my highest limit at the time of apping was 3k.
The 5k number that gets thrown around is that that is the minimum CL one would get with CSP. So....if Chase deems someone isn't worthy of a $5k credit line then they will deny them the CSP, but that doesn't mean they had to have a $5k CL on other cards in order to get approved for a $5k credit line. BUT, someone who may have been approved for a Freedom card with a $3k CL would have been denied for a CSP, not approved for a CSP with a $3k CL. Hopefully that makes sense.

Minor point, but I get the impression from reading these pages (especially those regarding CSP), is that the "minimum 5K" income number DOES get mentioned quite a bit as an approval criteria for the CSP card, not just as the minimum starting CL. Fortunately such postings are being challenged by more and more readers, who correctly state (as does nachoslibres) that others with lesser incomes HAVE been approved for tthis card!

Re: Credit Limit Question

core — Wed, 16 Jul 2014 08:50:36 GMT

@Transmogrifying_Bee wrote:
Minor point, but I get the impression from reading these pages (especially those regarding CSP), is that the "minimum 5K" income number DOES get mentioned quite a bit as an approval criteria for the CSP card, not just as the minimum starting CL. Fortunately such postings are being challenged by more and more readers, who correctly state (as does nachoslibres) that others with lesser incomes HAVE been approved for tthis card!

Freudian slip there, T.B.? There was a time, long ago, when I treated a CL as "income". Unsurprisingly, that did not end well.

Or are you really saying that they are approving people with virtually NO income for the CSP?

Re: Credit Limit Question

Burned2manybridgesB4 — Wed, 16 Jul 2014 08:35:15 GMT

@gdale6 wrote:
yes

+yes....income is a major factor with matching, and card competition.

Re: Credit Limit Question

takeshi74 — Wed, 16 Jul 2014 13:49:00 GMT

@keithbward wrote:
Do the limits I have on other cards play a factor on the opening limit other creditors may give you from your experience? Is it also a "bargaining" chip for recons on limits and credit limit increase requests?

It can play a part but that doesn't mean that creditors match limits which is what many seem to assume.

@keithbward wrote:
Is it also a "bargaining" chip for recons on limits and credit limit increase requests?

You can always try but creditors have differing criteria so what one creditor is willing to extend to a given person may be irrelevant to another creditor.

Additionally, one's credit isn't static. Just because your credit supported a limit of X when the first creditor approved you doesn't mean that your credit is identical down the road when you apply with another creditor. Given all these factors IMO it's pointless to rely on limits from different creditors in this regard.

Re: Credit Limit Question

Florida1990 — Wed, 16 Jul 2014 13:54:42 GMT

It works some times most of the time all I have gotten was low limit cards. Oh well atleast I got a relationship with them.

Re: Credit Limit Question

Transmogrifying_Bee — Thu, 17 Jul 2014 05:15:57 GMT

core, you are correct! I guess I was up too late when writing that message. Just like I'm doing right now . . . !