How to Increase Your Credit Limit with Citi and Capital One
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So, you want to increase your credit limit and have no idea how.
This is a familiar problem among credit card users. Just ask any Capital One cardholder who has tried to do so and you’ll get the idea. They feel responsible enough to get a credit limit increase and the issuer balks at their demands. What can be done?
You may be surprised, but you won’t have to walk over hot coals with bare feet to get your credit limit increased. You won’t have to plant the issuer’s flag at the top of Mount Everest, either.
Getting your credit limit increased can be as simple as a phone call. It can also be more difficult than that. Let’s examine what you can do to increase your credit limit.
With attention spans closing in on zero and life becoming more hectic by the day for many people, patience may seem like a thing of the past. However, it can be a great asset when trying to increase your credit limit.
According to Barganeering.com, credit card companies won’t give you a credit limit increase until you’ve had their card for at least 6 months. During that time, it is best to use the card regularly. After all, if you are just using it for emergencies, will they really want to raise your limit so that you can rack up $100,000 in credit card debt after your car rolls into someone’s living room?
Just follow the terms and conditions closely and you should be in prime position to get a credit limit. Also, be sure to put your parking brake on and avoid parking on steep hills!
Determine How Your Issuer Awards Credit Limit Increases
Some issuers, such as Citi, allow customers to apply for a credit limit increase online. This is the simplest approach out there to doing so, as you can see which information they will want from you and bail out if you are not comfortable with it – thereby avoiding a hard pull on your credit report.
Others, such as Capital One, are much more tricky. Capital One checks accounts on their own to see if they qualify for a credit limit increase. They also indicate that they will not do so based on phone requests. However, business is a 2 way street, so calling and asking them to reconsider that policy can’t hurt. After all, you can just walk away and go to a more responsive issuer.
Of course, it is a good idea to read the terms and conditions carefully and check for mention of credit limit increases. Also, check the issuer’s website, as it may offer information on how to do so.
Determine How You Can Qualify for a Credit Limit Increase in the Future
This applies to all credit card companies, but Capital One is the most notorious for playing hardball with credit limit increases.
If you do not qualify for an immediate credit limit increase, speak with a customer service representative to find out ways to improve your chances. He or she should be able to offer tips on how to do so. Therefore, a few months down the line, you can try again and have better luck.
Even if you do qualify for a credit limit increase immediately, you still may want to find out how you can improve your chances for future increases. You may want an increase a year from now for whatever reason, so it can’t hurt to be prepared.
Speak Directly to a Credit Limit Specialist
The customer service representative that you speak to for 45 minutes may be a generalist. He or she may have an idea of what you are talking about, but it is best to speak with a specialist.
It is a good idea to speak with a credit risk specialist. At this point, you could state your case to the specialist. Tell the specialist why you think you have earned a credit limit increase (higher income, incorrect information on file, lower debt, etc.).
If you don’t succeed on your first attempt, trying again won’t hurt. This doesn’t mean that you should call the same customer service representative every 30 minutes until she has a nervous breakdown, it just means that you could try every month or so until it works out.
Ask the issuer if it will run a hard pull on your credit report before making repeated attempts. A hard pull could lower your credit score, so be careful in this regard.
If you are a Capital One customer or a customer of another issuer that has a rigid system of credit limits, you may feel like you are out of luck. However, by being a responsible cardholder and spending a little time on requesting a credit limit, you could do so without much hassle. Of course, it doesn’t always work out this way, but if you need an increased limit, you may as well try.
Credit Shout is a community of personal finance experts dedicated to helping you save money and make smart financial decisions. Learn how to master your credit card rewards, improve your credit score and start eliminating your debt.