Is it possible to decline a CLI?

[wiivile]

If you receive a notice from your credit card company that they increased your CLI, is it possible to decline? I've read that it's a bad thing to have too much credit, especially if it exceeds your annual income, because lenders might think that you're higher risk if you have the ability to go out and suddenly put yourself in more debt than your income.

I have way more credit than I need (between just 3 cardss), but I still get CLIs. Is it possible to decline?

[KneelBeforeZod]

Yes, you can call most banks and ask for them to lower your credit limit. Discover used (or might still) have a link to do a credit limit decrease whereas others you call into the customer service line.

[Anonymous]

You can contact any CCC for a credit limit decrease. 

[Pway]

Yes it is possible to decline a CLI.  Once you notice it is there just call them and they will adjust your limit to the limit it was before the CLI.  As long as you keep your credit nice and tidy there is realy no worry.  Although banks can sense when there is some type of financial trouble one is having.  They begin to monitor reports more than usual, CLD or something to that degree. 

[Anonymous]

I think it would be pretty hard to do anything too drastic regardless of limits....alerts would go off, accounts may get frozen, CLD or balance chasing is a possibility.  Capital one is probably the one that will stick to their limit....alas thats the benefit of their triple pull!

[noobody]

I asked US bank, Chase,Barclay and Amex to lower my CL to fit my needs better, usually couple weeks before I apply new account from them, never have problem.

But i heard some bank would put you on NO CLI list.I do not worry about it as i do not need CLI from them any way.

When i do need more line, amex still grant me 3X cli and US bank send me sp 4.5K cli offer per account every year.

[takeshi74]

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@wiivile wrote:

Is it possible to decline a CLI?

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You can certainly decline and even request a CLD.

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@wiivile wrote:

I've read that it's a bad thing to have too much credit, especially if it exceeds your annual income, because lenders might think that you're higher risk if you have the ability to go out and suddenly put yourself in more debt than your income.

 Be careful with broad, sweeping generalizations like that.  It is is certainly possible to have too much available credit.  Any creditor will have a limit on what the creditor is willing to extend to a given credit profile.  No credit profile will get infinite credit.  However, the limit is going to vary from creditor so you can't just assume that $X is fine with all creditors and $Y is too much.

Do not assume that income defines the line either.  Many have multiples of their income in available credit and no issues.

The thing is that you won't find what that limit is with each of your creditors until you run into it.  Even if you do run into it you can reduce limits and close accounts as needed if you want to comply with that creditor.

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@wiivile wrote:

I have way more credit than I need 

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Don't assume that need is based solely on amount of spend.  Keep reported revolving utilization in mind as well.  Risk analysis involves far much more than just considering whether or not one can outspend income.  Having large amounts of unused revolving credit can be of benefit.  Besides, you'll get into trouble much earlier than the point at which you've spent the equivalent of your income.  Creditors monitor your reports and will respond as they see activity that exceeds their risk tolerance.