Request for increase in Limit

[babbles]

I was considering requesting an increase in my credit card limit.  Will lenders be able to distinguish that I requested an increase to my  same credit card that I've had for over 7 years now??   

[Anonymous]

Do you mean if they see the hard inquiry on your report?

There is a purpose box on credit reports for hard inquiries but just taking a quick glance on two of my reports, they’re largely not provided. 

That said, if a creditor sees a hard inquiry from a creditor that you currently have an account with and they don’t see a new account, they may discard that inquiry as a CLI request although in the grand scheme of things, a CLI is still credit seeking so it likely doesn’t make a difference what it was for to most lenders. 

[FinStar]

Which credit card OP?

[babbles]

Thanks for the quick reply, I meant when they see the hard inquiry, will they be able to tell I requested an increase to the same card from the same lender I have the card with  but I think you answered the question.  Points wise will I take the same hit as any hard inquiry you think?  thanks again!

[babbles]

the card is with Navy Fed but I just switched it to the Flagship from the platinum that didn't require an inquiry, thanks!

[Anonymous]

Yes points will be the same regardless of what the inquiry is for. 

Keep in mind not all creditors require a HP for a CLI so if you post back with which creditor like @FinStar asked, we would be able to advise further.

ETA: Nevermind, you answered it. NFCU definitely is normally a HP for CLI. 

[babbles]

Navy federal CU

[SouthJamaica]

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@babbles wrote:

I was considering requesting an increase in my credit card limit.  Will lenders be able to distinguish that I requested an increase to my  same credit card that I've had for over 7 years now??   

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No they won't distinguish. They will treat it like any other inquiry.

I had a bizarre situation with Barclays once. I had been routinely requesting, and being turned down for, a CLI on one of my Barclays cards which had a particularly low limit, not realizing it was a hard pull each time. Of course when I realized they were hard pulls, I stopped.

Then one day, I applied and got turned down for a different Barclays card. When I reconned the denial, they said it was because of all the recent inquiries, since they don't like to see an applicant looking for new credit. I pointed out to them that none of the inquiries they were looking at were for "new credit", they were merely unsuccessful CLI requests with them.  They said they understood my point, but their 'system' would not let them approve my application.

[babbles]

I chatted with Navy Fed and they said they will review my account at about statement closing time, 3/21 for an automatic increase based on what's provided by the credit bureaus.  How much of a bump do you think I will receive for paying 9k into my credit line with a total limit of 24k?  Balance is now, $9895.  It was $18862 right before I made the last week and has not been reported as of now. 

[Anonymous]

I don't know anything about NFCU, but even though that $9k paydown is a great look, you're still at > 40% utilization on a $24k line.  Generally speaking it's recommended that one wait until their utilization is below 30%, ideally below 10% before going for a CLI.  It's always lender-specific, though, so perhaps Navy won't take issue with your > 40% utilization considering a recent paydown.