Reducing credit limit every couple of months

skaps

I am currently paying back the min payment on my barclaycard cc every month and every time the balance reduces my £200 i reduce my limit. Does this help how much available credit is available to me? How soon does this show on my credit file?

jonesMUFCforever

Do you have other cards?
If not then take care to not cut your available credit - you may need it in an emergency.

skaps

I do have others I can use

patman99

Ideally in this climate you should have access to enough credit (savings, o/d and cc's) to survive for 4 months.
If you have, then it is safe to reduce your credit limit. Otherwise leave well alone.

System

The only problem I can see with this is that other lenders don't know whether it's you or Barclaycard lowering the limit.

It could perhaps look as if they are reducing your limit to mitigate risk.

I may be way out, but just a thought.

UNDERGROUND

The_Boss

UNDERGROUND wrote: »

The only problem I can see with this is that other lenders don't know whether it's you or Barclaycard lowering the limit.

It could perhaps look as if they are reducing your limit to mitigate risk.

I may be way out, but just a thought.

UNDERGROUND

I've just reduced the limit on three of my cards - NatWest £4600 to £1500, Abbey £4500 to £1500 and Halifax £8000 down to £4000 and then down to £500. My main card is Barclaycard at £3k limit.

I'd be interested in the response to this question. I presume the impact is minimal as I earn £32k and only have a few hundred quid on the Barclaycard, nothing on the others and a perfect repayment history over many accounts and many years.