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Personal Finances / Credit Cards and Consumer Debt


Subject:  Re: How to get higher credit Date:  4/29/1997  2:50 PM
Author:  TMFBogey Number:  16 of 312185

indiana_jones wrote:
> What are some good stategies to increase your credit cards purchasing power.


Aside from the great answer you got from Bry, I'd only add that if you consistently pay your cards on time and even pay more than you have to, they will offer you the increases. I've known people who actually have to write to the card companies and ask that they have their allowable lines lowered.

Why would someone want their limits lowered? Believe it or not, having credit limits that are excessively large may disallow you from getting other credit that you really want. For example, if you have $30,000 worth of available credit on your cards, a mortgage lender or a car dealership may be uncomfortable with the amount of money you could conceivebly owe. They might reject you based on credit lines that are too large.

The last thing I would add is that if you ever request the credit card company to do something on your behalf, ie. lowering your credit line, closing an account, make sure you send the request registered mail with a return receipt requested (so you know that they received it), and make sure that you indicate that you want the credit reports to be notated to say that YOU requested the changes. Otherwise, it will just say that an account was closed or that a limit was lowered and potential lenders will be left wondering why this happened. With the notation, they'll know.


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