So I have pretty good credit, latest Wal-mart FICO from a few days is 770. No lates, income a little over $50K (I'm young and just starting out)
Most cards are in the $2,000-$3,000 range with CLs, because I've never requested a CLI on any of them. My most recent card, Amex Blue Cash, started with a $12,500 limit, which was very high compared to my others when I got it about 8 months ago.
A few days ago, I decided to apply for a CLI on my Amex because I just wanted to see if my high credit score would allow me to go higher and Amex was the only way I could test it without a hard pull (I've been told they do soft pulls only for CLIs). I requested 20K, and was denied due to "income too low for requested limit." Honestly, I kind of agree, and if I recon'd I'd have no real good reason as to why I really need the 20K limit, I just kind of wanted to try. So my questions are:
1. Should I do the recon? Does having high limits really matter? I don't plan to ever put $20K on my card in one month anyway (I PIF each month).
2. Did it hurt anything to be denied for the CLI? Could Amex lower my limit or close my account now?
3. Could it have been a hard pull anyway?
Starting Score: 583 (CreditKarma, 2009)
1. High limits beget high limits, they make it easier to control utilization, etc. So there are benefits. But if you are just starting out making $50K and have a $12,500 limit already, I say that is pretty good. I probably wouldn't recon it, but there's no harm in doing so.
2. It did not hurt anything to be denied the CLI. I can't imagine Amex taking AA against you.
3. Highly doubt it was a hard pull.
1. Not really necessary to do the recon. You didn't have to burn a hard pull and you already expressed you really had no need. 12,500 CL is pretty good for a starting limit and your income.
2. Didn't hurt a thing to request or be denied for gthe CLI (wouldn't hurt to recon for that matter)
3. Based on my understanding it was definately a soft pull.
@BlueHusky wrote:So I have pretty good credit, latest Wal-mart FICO from a few days is 770. No lates, income a little over $50K (I'm young and just starting out)
Most cards are in the $2,000-$3,000 range with CLs, because I've never requested a CLI on any of them. My most recent card, Amex Blue Cash, started with a $12,500 limit, which was very high compared to my others when I got it about 8 months ago.
A few days ago, I decided to apply for a CLI on my Amex because I just wanted to see if my high credit score would allow me to go higher and Amex was the only way I could test it without a hard pull (I've been told they do soft pulls only for CLIs). I requested 20K, and was denied due to "income too low for requested limit." Honestly, I kind of agree, and if I recon'd I'd have no real good reason as to why I really need the 20K limit, I just kind of wanted to try. So my questions are:
1. Should I do the recon? Does having high limits really matter? I don't plan to ever put $20K on my card in one month anyway (I PIF each month).
2. Did it hurt anything to be denied for the CLI? Could Amex lower my limit or close my account now?
3. Could it have been a hard pull anyway?
You might have to prove to AMEX that you can handle the current limit. Since they started you with a relatively high initial limit (mine was 2k, later was able to bump it up to 6k after 61 days) they might give you a higher limit after 6months. Just a thought from their perspective.
I would wait till you are eligible for another CLI that limit you have now is stellar.
