I have a Capital One Platinum credit card. It's one of the ones you can get when you're 18 and have no credit history. Of course, this card has a credit limit of only $300. It has one "30 days overdue" mark on it from way back when I was 18 and dumb, but I pay it on time ever since. I've had it for six years now. Now I've heard that sometimes Capital One just increases your limit for you without asking, if you have a good history, or are a long time cardholder. Well, I am indeed a long time cardholder and I'm sad I haven't been a lucky chosen one. Is it because my balance is usually kind of high? I got good at paying it down to zero every month a while ago, but right now it's at ~200. My credit usage would look so much better if my limit was like $1000 because I don't spend that much. I don't want the extra credit to max it out, I won't. I just would like to have a credit card with a decently high limit to use for making large purchases online or for serious emergencies. I thought about politely asking CO about my credit limit, but I'm scared because of my income history. I've been on disability for the past year and am now off it and trying to set up work-from-home income. But I guess I can't really show proof of any income until I file taxes next year. So I figure they'd be wary to increase my credit limit because my income looks very low. Also, I applied for an Amazon credit card about a year ago and got rejected -- not because of my credit history but because of my income being too low, that's what it said. It was a few months after I left my minimum wage job where I made $10k a year. Am I screwed on getting more credit for the next year or so? Even if I went out today and got a job in a brick and mortar store? I just see kids who are so dumb with money getting $1000+ credit cards handed out to them like candy, and I don't get it...
From my experience, Capital One is one of the worst companies in terms of raising your credit limit. Generally, what you get when you sign up is what you'll keep. The way around that is by signing up for an entirely new card with them in the future. That said, you do take a mini credit hit just for asking for a credit hit so that's something you have to mull over whether it's worth it. That said, I may be full of it so it's best to either ask for more opinions or to verify it yourself. I've never asked them for a credit limit increase myself, but that's what I've -heard.-
It's not going to hurt you any to ask, so you might as well. And yes, if you went out and got a job that was providing you with more income, your chances of getting an increase would go up.
I'm not a fan of Capitol One. I would say go for it especially if you have the income to back it up. For the record, credit card agencies love it when you have a large balance. They make money of the interest that you pay. Raising you credit limit while keeping the same balance helps to increase your FICO score.
As long as you have the income to pay it off, there's nothing wrong with asking for a credit limit increase on a card that you've had for several years, especially if you have a history of paying them on time.
I wouldn't envy kids who get credit cards at a young age. Often times I feel the credit card company is gambling on the probability of the teenager overspending and putting themselves into debt with the company. It doesn't hurt to ask is my advice. I understand your position and some companies are weary to offer a credit line increase if you can't show proof of employment or income. It seems to me if you have a decent history with the company there should be no problem with a few hundred dollars increase in your credit line. Also, these companies look at your credit score and history with other card companies. If you have a decent reputation across the board, there might be a high chance they will grant an increase in your credit line.
I would ask. It sounds like the one blemish on your account is from some time ago and that is a low credit limit to have. I agree with you about Capital One being difficult in terms of credit limits. I have had my one CO card for 12 years (got it when I was 18), never missed a payment or been late and always kept the credit utilization at 25% max. I make a little over six figures and don't have issues on my credit report. I asked for an increase and when all was said and done they gave me an increase of $250 to bring my limit to $1950. If I hadn't had this card for so long I would close it.
Send them an email with your positive history of timely payments and explain them about your rising needs than it was 6 years back. Not revising your credit limit for 6 years even with your timely payments surprises me. Explain to them that you are now off the disability. If they accept it, it's fine else apply for a new one with a better firm.
It's not that easy to request for a credit limit increase particularly if you have a checkered paying history. You have to ensure you're a diligent payer who diligently pays bills long before their due date. However, if your credit score happens to be in good standing and you were never penalized from the time you started out then you have every right to request for a credit limit increase.
I have a new Chase Freedom Visa which came with a pretty low limit. I do the shopping for 2 households and it just wasn't quite enough. I went through one billing cycle and almost paid my bill in full. But the next month was already stacking and when I would go shopping one more time, I would surely be over limit. Just on a wild hair I called them to see if they could help me. To my surprise, within one minute they had increased my limit by 4X. Now I have way more than enough credit on that card.
I have a credit card from a different company At first, I was given a credit limit of 20k (in pesos) and since I am a good customer that I pay on time all the time, the credit card company has been increasing my credit limit every year. Now my allowed credit is up to 500k already although my purchases on that card is 20k monthly on the average. If you are not satisfied with your present credit card, I would suggest that you apply a new card from another company and surrender your present card. By the way, I am also exempted from the annual fee since every time they would add that to my monthly bill, I would immediately call not to renew my card anymore. That trick always works.
I wouldn't ask for a credit increase. That's exactly what credit card companies want. They initially make it a little hard to get more credit so make you think it's a good thing you are missing out on. Once they lure you in, and you fail to pay what you owe on time the interests you'll pay . . . My advice? If you can, don't use credit cards. I even saw an article on Bank of America's site urging people not to use credit cards. If banks advice you against it, then believe them. They know what they are talking about.
