Natwest - Low Credit Limit

andyros

Hi,

Recently I've been wondering why Natwest have never increased the credit limit on my standard mastercard, the limit is 2000 and hasn't been increased in 3 years.

I requested a copy of my experian credit report (statutory) and I see nothing out of the ordinary, although I only have two "Credit Accounts" listed, my mobile phone and the Natwest card. Also, I'd say I'm an above average earner.

Does anyone know the criteria for automatic increases? My girlfriend has a card with Halifax and they seem to increase her limit yearly (she's not a heavy user of the card though).

Is this something I could speak to Natwest about and get sensible answers (not just, "computer says no")?

Thanks,
Andy

stephane_2

Have you officially apply for an increase or are you just waiting for it to happen? If you apply for an increase & Natwest says no then there isn't much you can do. Normally if you manage your account properly they tend to give automatic increase. Are you close to your limit? Have you ever been late paying? If so then unlikely they'll accept an increase of your limit.

andyros

Not officially asked for an increase. I often hear of others getting their limits increased automatically (albeit not Natwest), now I'm starting to think I have a bad rating with them, as they haven't increased it?

I hover around 700 per month, always pay it off in full by direct debit.

Although I used to make manual payments that completely cleared the balance outside of the statements. So in week one of the month I might spend 200 but in week two I'd pay that off so the closing balance is zero but I've actually spent 200 during the month....maybe if they only take the closing balance into account it looks like I'm not actually using the card.

No late payments either, on the report all the payment status' are zero (payments up to date).

stephane_2

If you are paying the balance in full every month then that is probably the reason as to why you are not getting the increase....they would not see the point of it. Why do you want to increase your limit anyway if you pay in full each month?

jen245

You can apply for an increase online. Ive had my Natwest card for nearly 2 years and I also bank with them, and havent had any automatic increases, and I also pay my card in full each month.
Whereas, Ive had my Halifax credit card for just over a year, and have just had an increase without asking for one, again the card is paid in full each month. I dont think Natwest generally do automatic increases, so theres no harm in asking. The worst they can do is say no.

andyros

I had the same thoughts, they aren't really making any money from me.

No real need for the increase at the moment, my concern was maybe them not wanting to take the risk and increase the limit...not seeing me as credit worthy.

Anyway, thanks for the thoughts. I'll probably give it another six months and then contact about the increase.

Cheers

SnowTiger

andyros wrote: »

I had the same thoughts, they aren't really making any money from me.

No real need for the increase at the moment, my concern was maybe them not wanting to take the risk and increase the limit...not seeing me as credit worthy.

Anyway, thanks for the thoughts. I'll probably give it another six months and then contact about the increase.

It could just be down to responsible lending. Plenty of folk here have complained about irresponsible lenders foisting credit on them. Of course not wanting it didn't stop them spending it. :rotfl:

Your credit limit is £2,000. You spend £700 a month. You don't need a higher limit.

The fact that you're willing to let this sit on the back burner for six months demonstrates that.

I wouldn't treat credit cards like a game of Top Trumps. If you need a higher limit ask for one. Otherwise, if I were you I won't worry about how your limit compares to others.

BugsyBrowne

andyros wrote: »

I had the same thoughts, they aren't really making any money from me.

No real need for the increase at the moment, my concern was maybe them not wanting to take the risk and increase the limit...not seeing me as credit worthy.

Anyway, thanks for the thoughts. I'll probably give it another six months and then contact about the increase.

Cheers

Its Responsible lending and yes they may well think you're a risk for a even higher limit and think your 2k limit is quite sufficient.

Ps its got nothing to do with you paying your balance in full the reason they're not increasing the limit!!

stephane_2

BugsyBrowne wrote: »

Its Responsible lending and yes they may well think you're a risk for a even higher limit and think your 2k limit is quite sufficient.

Ps its got nothing to do with you paying your balance in full the reason they're not increasing the limit!!

And how do you come to that conclusion?

guesswho2000

stephane wrote: »

And how do you come to that conclusion?

I agree with Bugsy, I've had automatic limit increases on cards which are paid in full monthly, notably Barclaycard and Natwest actually!

fozmcfc

I've had 1 limit increase in about 10 years of having a Natwest card.

What I always find strange, is how people think because they don't get an increase, it means they are not credit worthy or it's an insult to them. Like SnowTiger says above, like a game of top trumps, my limits bigger than yours.

The only people who should really be interested in a credit limit increase, are those, who will use it, but keep on top of it and pay it off in no more than 2-3 months.

If the credit limit, is way above what the average balance on the card is, then why worry.

If anything increasing limits can be annoying, because it could mean, that you end up having too much credit available, even if not being used and may lead to other lenders turning you down, when you actually want/need credit.