Credit increases

I haven’t had a credit card since college, but decided to get one at the beginning of this year. I figured if I’m going to buy shit anyway, I might as well get some kind of bonus out of it. So I got one of the AMEX Delta Reserve cards (miles for money spent).

It is setup so the entire balance is auto-paid from my checking account every month so I don’t pay interest.

They have already increased the credit limit twice, without me asking for it. I have never asked them to raise it, and have never gotten anywhere near the limit each month. But now the limit is pretty damn high.

Out of the blue Ill get an email saying some shit like they periodically review excellent accounts and increase the spending limit.

Does it hurt me (my credit) in any way when they raise it like that?
Or does having a high credit limit hurt my credit?

I’m wondering if it is fine and I shouldn’t worry about it, or should I tell them to stop doing that shit?

 

It can be seen as a quick and easy way to put oneself into a lot of debt so, I believe for the most part that isn't "good" for your best credit score. I don't think it's necessarily bad though.

 

Yes and no. Yes, sometimes you'll take a small hit but not worth losing a minute's thought on.
Where it (high credit limit) helps you is that when "they" review your credit and they see you are using a fraction <less than 10%> of your credit, they get bonered up and will throw more money at you.
I'd suggest you get one more card, maybe a Visa (with your apparent credit, something like a Chase Sapphire preferred) and leave a small balance on occasion. Weirdly, carrying a <small> balance gives them a bigger boner than you paying it off every month.

 

Amex doesnt have a limit as far as I know.

 

Actually it is good. Your debt level, as a percentage of available credit, is lowered. If you pay it off every month, don't worry about it.

Create an account at www.creditkarma.com and track your credit rating. It updates once a week.

 

I asked the same question when I started getting those notes. As I understand it, it’s a soft pull, and not considered an application for a new line, or otherwise an ask on your part. And for that reason, it does not have an adverse effect on your score.

And while you’re at it, you can bump your credit score a bit by paying the existing balance before the statement closing date.

 

They actually do. You have to "earn" your right to go full on stupid.

 

It does not affect your credit rating.

 

Citi Mastercard has 2% back on everything. Buy from Amazon a lot? Their Visa Prime rebates on Amazon purchases is 5%

Certain Amex cards can earn Membership points.

There's a ton of opportunities.

 

auto pay? Do you review the statement after it closes?
Ive noticed lately that credit card companies are trying some real shady bullshit.
Citi is one of them. I pay off the balance before the statement closes (like 3 days) because
it seems to take them quite abit of time to "credit" the payments to the balance. So I pay the thing down to $100 even...
all the sudden there is $117 balance showing a day after. (17%??) So I pay that off... dont use the card at all. Now the next month I have a $6 charge for "interest fees" with a $0 balance when the billing period closes. I go back through previous statements and its like $30 here and $22 there for 6 months slipped in on the last day. Im like WTF... so I get on the horn. They were all apologetic and credited the amounts back plus gave me some bonus bullshit reward points.

 

Whatever you do if you get a second card and VISA, don't let it be capital one.

Discover card is pretty awesome if you can't find a visa you like.

 

Credit and credit cards are evil and isONE OF THE reasons AMERICA AND AMERICANS HAVE PROBLEMS $$$$$ IMO

 

I use that site too. My credit took a dip when I initially got the credit card, but it’s back up to 800 now.

I really don’t want to get a 2nd credit card if I don’t have to. I was nervous about getting this one. I am a really bad impulse buyer and went apeshit in college with credit cards.

At least this one is paid every month so I can’t get too stupid.

But it’s helped me rack up a ton of miles, especially with the house stuff. I just put $9k on it for appliances a couple of days ago. That will give me 9000 Delta miles.

 

I no longer have credit cards or credit! And I am paying extra because of it! How the hell should so many things be judged on your credit score! Bullshit

 

CreditKarma unfortunately reports scores that are massaged a bit for promotional purposes. Still, it's a good reading...

 

I mean there are more good things about credit cards than bad. Like paying for fuel. Paying bills. Paying expenses. Paying deposits.
Just because you have a $10,000 limit doesnt mean you have to run your balances up that high. Go ahead...change my mind!

 

Agreed it is BS. They use it for everything now. And I mean EVERYTHING. Nowadays credit is king.

 

I’m not here to change anyone’s mind! Just exercising my freedom of speech

 

No, no man. That's the LAST thing you want to do. If your limit for all your credit is X you don't want to run it higher than 9% of X. That is if you're playing the credit score game.

 

Thanks, tried that for the first time.