Barclaycard credit card limit!!

mummytwinton

appllied online for a Barclaycard cc to transfer a small amout from a cc that is running out.(0%)
had an email today to say my hubby had been given a limit of £10k, we only needed £4k so can't believe the amount they have given us?
seem strange when they say people can't get credit why have they given us so much?

Intergalactic_Floozie

Barclaycard and MBNA do it! I think they give you big credit balances cos they know the other CCs wont do it, in the hope that when their interest rates go up, you will be stuck with them as you will have to apply for 3-4 other cards to balance transfer and you might get knocked back if you do that so you have to stay with them when you have maxed it. Also are they one of those cards who ask for less than 3% making a big balance nigh on impossible to clear at minimum rates.

You're obviously sensible though, only having a small balance on your other card to clear. I didn't get wise til after the event!

YorkshireBoy

Do not be tempted to spend on the card if you're BT'ing to it. The negative payment hierarchy will mean your purchases will start to accrue interest long before the BT is paid off.

You might want to lower the limit slightly. Don't be tempted to reduce it too far though, because that could indicate to future lenders that you're maxed out and struggling.

mummytwinton

we are clearing money we put on a cc when doing work to our house, it was better than adding it to the mortage. all we are doing is paying it off over the next 6 months, so won't even need it for that, also when we take out a cc just for the 0% we never spend on it, just transfer

[Deleted User]

What does your husband do for a living?

Credit Limits are (normally:P) set based on the customers ability to pay, a creditor will look at your history and his (stated) income.

Footballers for example have credit limits of £100-150k