American Express Charge card Credit Limit?

Typhoon2000

Since MNA jacked my rate up to 34.9% yet keeping the £15,000 credit limit, I use my credit card like a chage card and pay in full evey month. This being the case, I wonder if getting a AmEx Charge card would be better for the rewards. My only concer is the what sort of limit I would get applied to the account. I earn aobout £45k and normally spend and repay about £1000 on my credit card a month. About 2 or 3 times a year I buy airtickets/ book hotels for elderly relativies you are not net savy using my credit and they give me a cheque. This means that on the odd months I can spend nearly £10,000. I am fine with my credit card as I know the credit available. But if I am only spending £1000 a month and suddenly try to spend £10,000 will AmEx decline the transactions as they base their limit on your normal spending habits or is there something else to it??

cifpower

There is no limit on a charge card as it must be repaid every month in full

Typhoon2000

I heard there was a limit based on your salary, and previous spending, they just dont tell you what it is and its flexible depending on your previous use.

M_Thomson

cifpower wrote: »

There is no limit on a charge card as it must be repaid every month in full

That is a myth. The poster above me is correct. They do have a limit, but will not tell you what it is. Otherwise, if they didn't people could spend £2 Million one month and how would they pay it back?

Hazzanet

Depends on spending. This is the highest I ever got to with an Amex Charge Card:

dzug1

M_Thomson wrote: »

That is a myth. The poster above me is correct. They do have a limit, but will not tell you what it is. Otherwise, if they didn't people could spend £2 Million one month and how would they pay it back?

There are people who could easily afford to pay it back, don't kid yourself. Maybe not you or me - but they exist.

TFD_2

I had Amex platinum personal and company charge cards 7 or 8 years ago. The spending was irregular and could go from a few hundred quid to a few grand, never had a problem. These cards are generally used by fairly high spenders, so I'd be surprised if they'd decline a large transaction if you have a good credit rating and some prompt payment history with them.

Maybe worth hanging onto the MBNA visa as a back-up in case this did happen, or if a merchant doesn't accept Amex.

ICan'tStandIt

Amex charge cards have what is called a "pattern of spend" and they do have a ceiling above which you cannot go, depending on your history in using the card.

They take into consideration things like any late payments, returned DDs and so on. If the account is brand new, they will probably credit score you and may ask for a bank reference depending how much you want to spend in the first few months.

Customer services can normally tell you if a transaction will go through or not, but they probably won't tell you the 'limit' on the account. Amex do however have credit risk departments that will tell you this.

M_Thomson

dzug1 wrote: »

There are people who could easily afford to pay it back, don't kid yourself. Maybe not you or me - but they exist.

You are misunderstanding what I am saying. I am saying if there was really no spending limit, then someone with an income of £30,000 could go out and spend £2 Million. That is why there has to be a sort of internal limit that Amex have. Of course if someone is a multi millionaire then they can afford to pay a larger amount back.