Increase in BC credit limit?

nat2607

Hi, I hope I'm posting in the right place. I went to the bank today to check my barclaycard balance and found that they had incresed my limit from £800 to £1600.
I didn't ask for this, and I am wondering what to do, I've just finished uni and am about to start my first 'proper' job. I admit I was a bit rubbish when I first got my BC four years ago, a couple of late payments but since then I set up a DD to clear the minimum payment and cleared the balance a couple of times.

Would it affect my credit rating if I asked them to lower it again? I'm not sure having such a high limit is a good idea? Also, I have no idea why they raised it without me asking, any ideas?

Thanks for any advice

SeanyP321

lol. Welcome to the world of credit mate. That is what they do (if you fit their mold). I had a £400 credit card when I was 18. I now have over £15000. Never asked for it, just was a good customer (for a long time).

My advice (and I'm no expert, but do know a bit about having a lot of credit) is... if thats the only credit you have, keep it... pay some bills once a month with it and pay it off in full.

Show you are not living on the credit available to you, but will give them some money (risk/profit ratio) = perfect customer.

just advice.

CannyJock

nat2607 wrote: »

Would it affect my credit rating if I asked them to lower it again? I'm not sure having such a high limit is a good idea?

1600 isn't 16000

If I were you, I would keep the 1600 limit but not treat it as a target to spend - it won't have any negative affect.

Look at it this way, your credit report will show that your existing card provider has considered you to be a sufficiently good risk that they have increased the amount of credit they will extend you.

Likewise, if you ask them to reduce your limit anybody else looking at your credit history doesn't know that it was reduced at your request - they could naturally assume that the card provider reduced it because they considered you to be a risk.

I would just leave it alone IIWY.

exel1966

nat2607 wrote: »

Hi, I hope I'm posting in the right place. I went to the bank today to check my barclaycard balance and found that they had incresed my limit from £800 to £1600.
I didn't ask for this, and I am wondering what to do, I've just finished uni and am about to start my first 'proper' job. I admit I was a bit rubbish when I first got my BC four years ago, a couple of late payments but since then I set up a DD to clear the minimum payment and cleared the balance a couple of times.

Would it affect my credit rating if I asked them to lower it again? I'm not sure having such a high limit is a good idea? Also, I have no idea why they raised it without me asking, any ideas?

Thanks for any advice

In your position I'd keep the new limit, you've earnt the increase by displaying that you can manage credit. In the grand scheme of things £1600 is a small limit.

As above, don't see the increase as a target to get as close as possible to, a mistake which many seem to make !

It won't neccessarily have an adverse effect on your rating it could infact improve because your current ratio of used to available credit will now be a lot lower.

However, you do not have to accept the increase and if it makes you uncomfortable then reduce it to an amount you're happy with, but I'd advise not to as you may not get it back again.

opinions4u

Keep the limit but don't use it.

Also, try to find a way to start clearing the balance in full each month.

You'll have more money as a result!

nat2607

Thanks for all the advice, I know it seems rather trivial but I don't know too much about how these things work. I think I'll keep it but not use it as far a possible.