Banks/BS' Still offering ridiculous credit limits...

Cheesedoodles

Hi,

I just applied for a Natwest credit card to transfer some of my other balances. They have a 0% for 16 months offer on (2.9% fee)

The application took me about 5 minutes to complete and I got a decision there and then.

They are offering me a whoopping £14k credit limit!!!

I didn't think it was possible to get such credit limits anymore. I only want to transfer around 3k...

I'm going to ask them to reduce it but I'm shocked. There was no checks that the salary I entered was correct...Looks like they based it on my salary less whatever they found on the credit report (credit cards and mortgages). I do have a reasonably good salary but still..this is whacky...

I just think it's insane that they can offer such limits in this day and age.

Has anyone else experienced the same?

[Deleted User]

As you imply if you dont like it you can ask them to reduce it,without knowing you income/commitments/avaliable current credit its difficult to comment really

BugsyBrowne

Cheesedoodles wrote: »

Hi,

I just applied for a Natwest credit card to transfer some of my other balances. They have a 0% for 16 months offer on (2.9% fee)

The application took me about 5 minutes to complete and I got a decision there and then.

They are offering me a whoopping £14k credit limit!!!

I didn't think it was possible to get such credit limits anymore. I only want to transfer around 3k...

I'm going to ask them to reduce it but I'm shocked. There was no checks that the salary I entered was correct...Looks like they based it on my salary less whatever they found on the credit report (credit cards and mortgages). I do have a reasonably good salary but still..this is whacky...

I just think it's insane that they can offer such limits in this day and age.

Has anyone else experienced the same?

Competlely agree the same happened to another poster the other day, he applied for a capital one classic and got £500 which I was in shock as I didn't think they gave these sort of limits, I would of thought he has asked them to reduce it by now..

Just think its insane TBH lol

iceage3

I applied for the leeds low rate card and got offered 250 because i had barclaycard!!!

izools

star-fire wrote: »

Competlely agree the same happened to another poster the other day, he applied for a capital one classic and got £500 which I was in shock as I didn't think they gave these sort of limits, I would of thought he has asked them to reduce it by now..

Just think its insane TBH lol

What about my flatmate who got a Capital One Classic through the post t'other week with a whopping ONE THOUSAND POUND limit!!!

And on a 25K salary, I mean, how will he ever possibly cope?

:rotfl:

Seriously though, 14K is a lot to be offered if you're on an average salary, but if you're on a 50K salary and your existing credit lines have cumulative limits of say 10K this would make perfect sense and seem reasonable, especially if you're in a very stable position and don't have a large mortgage balance.

But as you say, you can reduce it to something sensible. Just remember to do so as having all that available could get in the way of future credit applications.

BugsyBrowne

izools wrote: »

What about my flatmate who got a Capital One Classic through the post t'other week with a whopping ONE THOUSAND POUND limit!!!

And on a 25K salary, I mean, how will he ever possibly cope?

:rotfl:

Seriously though, 14K is a lot to be offered if you're on an average salary, but if you're on a 50K salary and your existing credit lines have cumulative limits of say 10K this would make perfect sense and seem reasonable, especially if you're in a very stable position and don't have a large mortgage balance.

But as you say, you can reduce it to something sensible. Just remember to do so as having all that available could get in the way of future credit applications.

Yeah good point I think I am pretty good with my repayments etc, and hoping to stick to just one credit card in the next few months, but to have a card come through the door with a 14k credit limit, it would for me be really tempting to rack up a massive balance then end up paying the minimum payment for the next 165 years.

Yes 14k limit is a massive amount of cash at your disposal,so is that a good thing to have or a bad thing.

Cheesedoodles

arenaman wrote: »

Decided to go for the Nat West one, accepted with 12k limit, more than enough for my BT's :T

Glad i could help by pointing you in the direction of natwest.. Seems like they have a massive amount of cash lying around. I believe banks are now required to actually have the liquid assets to cover all credit limits given...whereas before the crunch they didn't.

Still, these limits are high..

Niksan

I remember a couple of years ago applying for an M&S card to transfer my egg card amount to a 0% rate, and when the paper work arrived to sign they offered me a nice £50 credit limit, needless to say it was shredded and binned.

I agree with them being high, but I guess it depends on circumstances, if I'd get something that high I would ring to lower it, I got into the mess of owing lots with my first card because of the amount available when I was young and I wouldn't want that temptation again.

chattychappy

Cheesedoodles wrote: »

They are offering me a whoopping £14k credit limit!!!

Cheesedoodles wrote: »

There was no checks that the salary I entered was correct...Looks like they based it on my salary less whatever they found on the credit report (credit cards and mortgages). I do have a reasonably good salary but still..this is whacky...

What would you call a "reasonably good salary"?

You weren't coy about your limit, so don't let modesty intervene now...

Cheesedoodles

My salary is 40k....On top of that i do have £200k mortgage that is in my name and I pay for. My wife has history of bad credit, which has now been rectified...and her salary is minimal as she's a teacher., 1 x 10k personal loan (for a car) and then the 3k credit card debt.

So yes, I realize 40k is a good salary, but don't think I live a life of luxury...because I don't. With the debts, mortgage and a wife (wife's costs money! i still struggle at the end of the month, hence why I'm credit card tarting.

StephenM_2

I'm on a similar salary (though my outstanding mortgage is only 24k), and my bank have given me a 10k overdraft limit and 12k credit card limit and their online banking says that a £24k personal loan is available to me. So that's over a year's gross pay of unsecured credit available from just one bank.