Question on recently obtained Higher Credit Limits

[Anonymous]

Hello all and thank you in advance for all information on this forum.

I recently entered the garden. Before I did that, I got approved for 14k on  a CSR and increased my credit limit across 4 other cars for a total of an additional $24,000 in credit.

I've tried to do my own research on having a lot of available credit, but saw no down side other than possible mortgages not approving someone for having too much available credit at ones disposal (I won't be buying a house in the near future).

I can only see my credit score going up by ensuring that my CC utilization will remain low at all times. I'm really only going to be using 2-3 cards from chase to reap in the UR points.

Did I make a bad move by getting all this credit even though I won't be using it?

[Gmood1]

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@Anonymous wrote:

Hello all and thank you in advance for all information on this forum.

I recently entered the garden. Before I did that, I got approved for 14k on  a CSR and increased my credit limit across 4 other cars for a total of an additional $24,000 in credit.

I've tried to do my own research on having a lot of available credit, but saw no down side other than possible mortgages not approving someone for having too much available credit at ones disposal (I won't be buying a house in the near future).

I can only see my credit score going up by ensuring that my CC utilization will remain low at all times. I'm really only going to be using 2-3 cards from chase to reap in the UR points.

Did I make a bad move by getting all this credit even though I won't be using it?

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On this forum, if you apped for 10 Chase cards you're a hero. lol

Now if their from other institutions..you will be smited down..kidding..sort of. "A lot" is really depedent on the individual. What you consider a lot may be small beans for some and a mountain of credit for others. There's nothing wrong with having extra padding. Maybe one day you'll want that home. It will be nice to have it in order to take advantage of discounts and not worry about the util so much. I'd rather have it and not need it than need it and not have it.

[Anonymous]

Congrats on your approvals for higher credit lines!!

[elim]

Welcome to the race my friend.  If you are ever told "you have to much available credit" by a lender, you can reduce your limits with a few phone calls that very day. Not a problem. 

Congrats on the healthy limits.

[SouthJamaica]

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@Anonymous wrote:

Hello all and thank you in advance for all information on this forum.

I recently entered the garden. Before I did that, I got approved for 14k on  a CSR and increased my credit limit across 4 other cars for a total of an additional $24,000 in credit.

I've tried to do my own research on having a lot of available credit, but saw no down side other than possible mortgages not approving someone for having too much available credit at ones disposal (I won't be buying a house in the near future).

I can only see my credit score going up by ensuring that my CC utilization will remain low at all times. I'm really only going to be using 2-3 cards from chase to reap in the UR points.

Did I make a bad move by getting all this credit even though I won't be using it?

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Getting credit limit increases doesn't hurt you, but getting new accounts creates a little downward pressure on your scores: (a) inquiries, (b) more recent new account, (c) shorter average age of accounts.

Also, apart from your scores, some banks and credit unions see a lot of new recent accounts being opened as a negative, but you've only mentioned one new account.

[Anonymous]

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@Anonymous wrote:

Hello all and thank you in advance for all information on this forum.

I recently entered the garden. Before I did that, I got approved for 14k on  a CSR and increased my credit limit across 4 other cars for a total of an additional $24,000 in credit.

I've tried to do my own research on having a lot of available credit, but saw no down side other than possible mortgages not approving someone for having too much available credit at ones disposal (I won't be buying a house in the near future).

I can only see my credit score going up by ensuring that my CC utilization will remain low at all times. I'm really only going to be using 2-3 cards from chase to reap in the UR points.

Did I make a bad move by getting all this credit even though I won't be using it?

---

As others have said, it's all relative.  Someone doing a 3xCLI on a $15K Amex will get $30K more on a single card, and that sort of thing happens a lot round here.

Now, IMO, util padding is WAY overstated here.   Util hits only matter if you are about to app for something and. providing you can PIF, by paying before statement reports, you can make util as low as you like.  So at most it is a matter of convenience, and even then only when you app, whereas from here you are likely to think it is rule #1 of credit card, GET A CLI NOW.

Now getting a CLI "for cause" is fine, so if your limit is so low that you have to pay many times a month, or if you need to be something expensive that is above your CL, then obviously it makes sense.   But getting it for util padding, not so much.

But it won't get you into harm with most issuers: sometimes there are reports of getting denied with "too much available credit" but that is often within an issuer, and reducing or moving CLs on recon can help.  But it's possible if your available credit is really large compared to income/assets, an issuer could decide not to give you a card, as there is a risk.  But I don't think you are there yet.