topic Re: Requesting a CLI on a maxxed out card in Credit Cards

Requesting a CLI on a maxxed out card

JSS3 — Sat, 09 Aug 2014 01:39:00 GMT

It's often stated that we should make sure our credit profile looks as clean as possible when apping for a new card. Making sure your UTIL and inquiries are low and that any negatives are gone. Do the same rules apply when requesting a CLI? On one hand, I'd imagine you'd not want to be seen as too risky to extend more credit to, but on the other, if a card is maxxed(which 3 of mine happens to be; with all others showing a zero balance. 3 out of 12 cards are carrying balances), a CLI would give me a lil more cushion. Would this be a legit reason the creditors will go for upon asking for a CLI on a maxxed card?

27% overall utilization

98.6% utilization on card 1

93.49% utilization on card 2

81.75% utilization on card 3

(Cards are Citi, Chase, and Cap 1)

FYI: 2 out of 3 maxxed became this way because I did a balance transfer and needed two cards due to the limits on both not being high enough for the amount I needed. I transferred from a 12.99% card that was getting about $80/month in interest from me to 0% cards.

PPS: No, I'm not someone recklessly using credit. My boiler broke in the dead of winter and I needed almost $8,000. Prior to that, I was around 3-4% utilization.

I'm specifically thinking of contacting the Cap one EO on this for the very first time. I've had my card since Feb '13 and only received an auto CLI after completing the credit steps program. Nothing since. These three cards will have to stay this way for a few months. I plan to throw around $200/month each on two of them and $400/month on the last one. Only thing is, the latter card is my go to card, so as I pay it down, I'll then be using it the following month as to keep all my debt regulated to only 3 cards for now. Two cards will remain untouched... just paid down on and one card as my go to.

Re: Requesting a CLI on a maxxed out card

Anonymous — Sat, 09 Aug 2014 01:53:29 GMT

Just speaking from recent experience with Chase, I have a freedom card with a CL of 2,000. That number has not changed since I got the card. 3 times in the past 6 years I've asked for a credit limit increase and was denied for some different reason everytime. The last time I asked for a credit limit increase I was speaking to one of the bankers from the local branch I go to and basically flat out told him I'm planning on closing the card, closing my accounts with Chase and moving all my money elsewhere where I feel more valued. He got on the phone to get me a credit limit increase and even let them know I was sitting there waiting for the answer and they still denied me. I have a 720+ score and my util rate was around 35% at the time. But like I said they always came up with a different excuse. I moved all of my money out of Chase that day and now only have a checking account with them for a side business I have. I'm waiting until I secure an auto loan before I close my cc account with them. I've read quite a few stories that let me know I'm not the only one who's never got a CLI from Chase.

Re: Requesting a CLI on a maxxed out card

JSS3 — Sat, 09 Aug 2014 02:00:18 GMT

@Anonymous wrote:
Just speaking from recent experience with Chase, I have a freedom card with a CL of 2,000. That number has not changed since I got the card. 3 times in the past 6 years I've asked for a credit limit increase and was denied for some different reason everytime. The last time I asked for a credit limit increase I was speaking to one of the bankers from the local branch I go to and basically flat out told him I'm planning on closing the card, closing my accounts with Chase and moving all my money elsewhere where I feel more valued. He got on the phone to get me a credit limit increase and even let them know I was sitting there waiting for the answer and they still denied me. I have a 720+ score and my util rate was around 35% at the time. But like I said they always came up with a different excuse. I moved all of my money out of Chase that day and now only have a checking account with them for a side business I have. I'm waiting until I secure an auto loan before I close my cc account with them. I've read quite a few stories that let me know I'm not the only one who's never got a CLI from Chase.

Yeah Chase wouldn't give me a CLI even after taking a HP. They said I needed 1 year with a card that's over $5,000. I had cards like my Paypal, Home Projects, and Walmart cards with those limits but they weren't a year old. I had to transfer my limit from one Chase card to another in order to do the BT and now it's maxxed.

Re: Requesting a CLI on a maxxed out card

B335is — Sat, 09 Aug 2014 02:42:26 GMT

How many months have you been carrying the high utilized cards' balances and are you just making the minimum payments or more? Generally speaking, I don't know that many lenders would be willing to extend more credit until utilization gets below 50%.

Re: Requesting a CLI on a maxxed out card

Trivolve — Sat, 09 Aug 2014 03:11:10 GMT

Wanting to cushion your util is no concern of the bank, since it has to take on significantly more risk for someone with maxed out util. That's a pretty weak reason to give a credit analyst IMO.

However, I think ur overall utilization is still OK. I've gotten 3x CLI on AMEX with 95% utilization on that card (i have 0% promo APR), while having an overall utilization of about 30%.

I think you can justify wanting a CLI by saying that you simply want to leave the balances on the 0% APR cards. Also, your age of those 3 accounts and your last CLI with them matter too.

Re: Requesting a CLI on a maxxed out card

JSS3 — Sat, 09 Aug 2014 11:04:18 GMT

@B335is wrote:
How many months have you been carrying the high utilized cards' balances and are you just making the minimum payments or more? Generally speaking, I don't know that many lenders would be willing to extend more credit until utilization gets below 50%.

On Chase,(which is the one I did the majority of the BT transfer to), this will be the first month of having the balance on it. I'd always buy things from amazon and pay in full so it was at a 0 balance. My statement just cut and this new maxxed limit is there now. 5,900/6,000

On Cap1,(where I transferred the rest that couldn't go on Chase), this will also be the first month of it being maxxed BUT there was a balance on that card of 2,000 in June and then 1,900 in July. Now it's up to 3,270/3,500

On Citi, (that's my main card),I've been carrying a balance on that for a while. I put everything on that card. I've had this card for 5 months and it's been at 50% for the first 3/5 months. Then 65% and now 80%.

I never pay the mimium payments. The least I'll go is 100 if things are really tight, and even then I don't like such a low payment. I'll pay anywhere from $200-300 to upwards of 1,000 on a card per month. Chase, Cap, and Citi have received a 1,000 payment at times. Citi gets the bulk of my money(1,000, $700, $500, $900 payments).

Chase already denied me a CLI last month when I had a 0 balance(prior to doing the BT) so I wasn't planning on hitting them up for a CLI. It's been only 5 months since getting my Citi card so wasn't planning on asking for a CLI. I was setting my sights on Cap1(the EO route) and was wondering if it was absolutely neccessary to micromanage the account down to good util in order to ask for one.

Re: Requesting a CLI on a maxxed out card

JSS3 — Sat, 09 Aug 2014 11:14:38 GMT

@Trivolve wrote:
Wanting to cushion your util is no concern of the bank, since it has to take on significantly more risk for someone with maxed out util. That's a pretty weak reason to give a credit analyst IMO.

However, I think ur overall utilization is still OK. I've gotten 3x CLI on AMEX with 95% utilization on that card (i have 0% promo APR), while having an overall utilization of about 30%.

I think you can justify wanting a CLI by saying that you simply want to leave the balances on the 0% APR cards. Also, your age of those 3 accounts and your last CLI with them matter too.

Yeah, I never know what to say to them.

The account I wanted the CLI on is Cap 1. I've had the card 1 year and 6 months.(Feb '13) Received auto a year ago(Aug '13) from $500 to 3,500.

Re: Requesting a CLI on a maxxed out card

score_building — Sat, 09 Aug 2014 13:20:42 GMT

Cap1 is a conservative lender, and yes the best time to place a request is with UTI tweeked or they're unlikely to play ball via EO.

Re: Requesting a CLI on a maxxed out card

Anonymous — Sat, 09 Aug 2014 19:34:10 GMT

I guess the key to Chase might be to use them as your main bank. I had a $500 CL Freedom opened 8months ago and took a HP to get it up to $4000. But I also have a checking and savings account with them, so that must have helped.

Re: Requesting a CLI on a maxxed out card

lg8302ch — Sat, 09 Aug 2014 20:44:43 GMT

I did get my CLI on my Cap1 by mentioning that I like their BT offers but would not be able to accept because of the CL .. had 5K and was granted 10K just like that. I simply mentioned that I do not need a BT for less than 5K and would never max out my card... so there it goes my nice BT offers from Cap1. Looks my SM went to credit analyst and came back with a CLI. After the CLI I even got a nicer BT offer which I could not resist in accepting.

Re: Requesting a CLI on a maxxed out card

jamesdwi — Sat, 09 Aug 2014 20:46:29 GMT

probablay the best thing you can do is keep paying it down as much as possible, chase for one has sent out invites to SP CLI's on maxed card, my son switched jobs a few months back (former Blockbuster employee), his new job pays less, and he managed to get his Freedom card to 110% UTL, he recieved such an offer via the mail and he accepted and they gave him a 2k CLI, on a maxed out card. With chase I think your best chances are to just accept that you are maxed out keep paying, keep your score improving, and UTL going down until they offer a better solution. And hope they see this as a short term issue and don't balance chase you.

Re: Requesting a CLI on a maxxed out card

JSS3 — Sat, 09 Aug 2014 21:48:36 GMT

I kind of figured they'd be open to giving you increases because a maxxed limit shows you need more. This give me hope. I'll only be in this situation for six more months.

Re: Requesting a CLI on a maxxed out card

ezdoesit — Sat, 09 Aug 2014 22:34:23 GMT

@JSS3 wrote:
I kind of figured they'd be open to giving you increases because a maxxed limit shows you need more. This give me hope. I'll only be in this situation for six more months.

I feel worse that someone charged you $8000 to do a boiler. The only way I charge that much is if there also an indirect fired water with that even then it might not be that much.

Re: Requesting a CLI on a maxxed out card

JSS3 — Sat, 09 Aug 2014 22:40:42 GMT

@ezdoesit wrote:
@JSS3 wrote:
I kind of figured they'd be open to giving you increases because a maxxed limit shows you need more. This give me hope. I'll only be in this situation for six more months.
I feel worse that someone charged you $8000 to do a boiler. The only way I charge that much is if there also an indirect fired water with that even then it might not be that much.

LOL. I also converted from Oil to Gas. The whole process was painful. So glad that nightmare is over!