Want a Higher Credit Limit? Just Ask.
If you have ever found yourself lamenting about how you wish you had a higher credit limit on your credit card then chances are that you have never bothered to ask for a limit increase. The truth of the matter is that most credit card companies are more than willing to increase a cardholder’s limit based on a few different things:
1. The cardholder has consistently paid the bills on time.
2. The cardholder has never exceeded the credit limit.
3. The cardholder has never called to request a higher credit limit before.
4. The rest of the accounts on the cardholder’s credit report are in good standing.
And, perhaps most importantly….
5. The cardholder threatens to transfer the credit card’s balance to another credit card and close the account.
Credit card companies don’t want to lose business, especially the business of the customers who carry balances and make timely payments. In most cases it’s more cost effective for credit card companies to keep their current cardholders happy instead of losing them and needing to go convince some new folks to apply for credit cards.
This isn’t to say that you’re guaranteed to get a credit limit increase if you request one, but there are some tricks you can use to go about it in the best way:
1. Don’t wait around for the credit card company to increase your limit. Although most credit card companies do give periodic limit increases to customers in good standing, you can’t always count on this happening.
2. Don’t be afraid to call and ask for an increase. Instead of calling and meekly asking, “Would it be possible to get a credit limit increase?” you should confidently state, “I’m calling to request a credit limit increase.”
3. Be nice, but if the customer service representative can’t help you then thank him for his time and request to speak to a manager.
4. If all else fails, mention that you will be closing the card and opening a different account elsewhere if you don’t get the increase.
Be realistic. You can’t expect to call up a credit card company where you have a $2000 limit and demand an increase to a $15,000 limit. You especially can’t expect a credit card company to want to give you a credit limit increase if you are oftentimes late with your payments or if you constantly exceed the limit you already have.
One more thing: Don’t be the type of customer who constantly calls and demands things, whether it’s credit line increases, fee reversals, or whatever. You should know that calling a credit card customer service line usually results in a notation on your account, and that means that if you call up demanding a higher credit limit and the representative takes a glance at your account that is riddled with notations of you calling and badgering other representatives then they may just decide they’re better off without you as a customer.
Go ahead and ask for a higher credit limit, but don’t make it something you do every few months.
