Many credit card holders aspire for a higher credit card limit. The apparent reason for this is that it enables the purchase of otherwise unaffordable merchandise. First and foremost, credit cardholders need to remember that to get a higher credit card limit. They must abide by the terms and conditions of the credit card company or bank. But, to help you more, we are giving you some other ways to increase your credit card limit.
Below are seven other ways to increase your credit card limit:
- The most important thing to do for getting a higher credit card limit is to prove your creditworthiness. It is the first thing that banks and companies look for when giving a higher credit limit.
- Attract positive attention from the credit card company or bank by paying finance charges once in a while. Obviously, this is not advisable on a repeating basis. And should only be used as a last resort to increase your chances of getting a higher credit limit.
Proving to credit card companies and banks that you are a genuine “borrower” can convince them to get a higher credit limit. But be careful because this strategy also means that you will be paying finance charges, which can accumulate in a hurry.
And always remember, a higher credit card limit means greater purchasing power. Still, it also increases the risk of your having to pay higher interest charges and other processing and late fees.
- Always spend within your credit card limit because doing so means you can control your expenses.
- Use your credit cards regularly. Don’t keep your cards for emergency use only. If you use your credit cards sparingly, banks and credit card companies will not understand your spending and pay-back behavior. Under these circumstances, most banks and credit card companies will be reluctant to give you a higher credit card limit.
- Never make minimum payments. Instead, try to pay for the entire outstanding amount. It will usually give you a better chance of getting a higher credit card limit.
- Avoid late payments as much as possible. Not only will your increase payment increase, but you may also have to pay an additional fine for not clearing bills on time. It will also dim your chances of getting a higher credit card limit.
- The best and simplest strategy for getting a higher credit card limit is to use your credit card wisely. Always keep in mind that credit card companies keep a record of your transactions and payment patterns. So always pay on-time.
The bottom line is that your performance in banks and credit card companies’ records will determine your chances. Whether you’ll get a higher credit card limit or not.