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My Amex Gold card arrived today. I'm new to a charge card and with NPSL I thought I'd check to see what my limit was. I checked my spending power to find out it was only 2,000. My other Amex BCP has a 10,000 limit on it. I'm a bit confused... How does Amex determine what your spending limit is? What can you do to increase the spending limit? Thanks in advance.
From this point forward, do not check your spending limit again unless you plan to spend more than $2,000 on a single purchase.
@UpperNwGuy wrote:From this point forward, do not check your spending limit again unless you plan to spend more than $2,000 on a single purchase.
Is that an order or a suggestion?
OP-
Here is the link to some info on the spending tool function that was recent and seems fairly reliable:
https://ficoforums.myfico.com/t5/Credit-Cards/Amex-The-Check-Spending-Power-tool/td-p/5478835
OP, congrats on your new card. Enjoy it and I hope it serves you well. As for the ability to check your spending power, this number can change as it usually adjust with your history with that particular card. There will always be an off chance that something will not be immediately approved, hence the check spending limit button.
If you have a charge that is going to be outside of your typical spending habits you can use this tool to let Amex know that the charge is coming. If the system tells you all is well then you know that you have a very good chance of the charge going through without issue. If it doesn't approve it, it's not the end of the world...kindly give Amex a call and let them know and maybe they will go ahead and override the system to allow the purchase.
The only time I've used the button and had to call was when I received my new Amex Platinum. I intentionally timed the application of the card with the purchase of a new vehicle for myself and my wife. I know the sales tax that must be paid would very well exceed the $5k spend requirement for the bonus. I receieved the card, within 3 hours of having it I was headed to the DMV. Used the check spending button in the parking lot for slightly over $6k and of course the system said it wouldn't approve. I gave a call to Amex, explained to them exactly what I was doing and where the charge would be coming from. I don't know what he did but it worked. The guy was even kind enough to ask if I wanted him to stay on the line while I made the purhcase. Of course the DMV was beyond crowded so I didn't keep him but he said that I could call in the event that the charge didn't go through for whatever reason.
As expected the charge went through without issue and just in case things didn't pan out, I made sure that I had my CSP and at the time, my CapOne Venture with me as a backup.
@Shadowfactor wrote:
The check spending power tool is used a single transaction and doesn’t reflect the overall amount you can spend on the card each month.
I thought this as well. but a couple of months ago, I used my Gold card at the grocery store and was declined. I called them up to ask what the hell was up and they said that the purchase would have put me past my spending power of $6300 (I hadn't checked what my spending power was at this point). I told them that I thought the NPSL meant that I can't exceed that limit on a single purchase/transaction, but the CSR told me that was incorrect and that I couldn't spend over that much in a month and I would have to make a partial payment at the very least if I wanted to keep using the card that month.
So that was a crappy situation..
Thanks for all the input, I really do appreciate it. I plan on using the card primarily instead of my ATM to meet the 2k spending requirement to get the bonus points. We'll see where it caps me off.
@severide wrote:
@Shadowfactor wrote:
The check spending power tool is used a single transaction and doesn’t reflect the overall amount you can spend on the card each month.I thought this as well. but a couple of months ago, I used my Gold card at the grocery store and was declined. I called them up to ask what the hell was up and they said that the purchase would have put me past my spending power of $6300 (I hadn't checked what my spending power was at this point). I told them that I thought the NPSL meant that I can't exceed that limit on a single purchase/transaction, but the CSR told me that was incorrect and that I couldn't spend over that much in a month and I would have to make a partial payment at the very least if I wanted to keep using the card that month.
So that was a crappy situation..
You likely hit your internal limit, which is what prompted a required payment.
The spending power tool and your internal limit can be the exact same thing but it doesn’t have to be.
@Anonymous wrote:Thanks for all the input, I really do appreciate it. I plan on using the card primarily instead of my ATM to meet the 2k spending requirement to get the bonus points. We'll see where it caps me off.
Congrats on the new card. Hopefully even after you meet the $2k spend requirement, you leave your no-rewards, high risk Debit card alone, do not use it for any transactions, and use the Gold for almost all transactions so that you get at least basic rewards and purchase security.