Had a letter from Vanquis stating I have an increase..

CDaniels1987

It states my credit will be increased from £1000 to £2000 on 9th April, it also states I must make payment on time and stay in my limit which is all fine.

However how strict are they as I currently only have £14.00 available on my card, I have made a £50.00 payment a few days ago which is £8.00 above the minimum payment.

Will they look at this as being too close to my limit and not grant the increase? or is it literally as long as you dont go over your limit then its fine.

michael1983l

Is an increase in credit limit really a good idea for you at the minute, if you are paying off very little of your current balance on a month by month basis as it is. I am assuming you usually pay around the same each month?

MrSilk

They've increased your limit so you can spend more than you can pay.

My advice, accept the increase but DO NOT spend more on the card if you are having difficulties clearing the balance.

CDaniels1987

Oh I can afford to pay more, its just I am getting married in a few months so I have taken a step back by just paying £50.00 per month for now.

The credit increase would be used for emergencies only.

MrSilk

As long as you don't go over you're limit you are fine the limit is there for you to use

michael1983l

CDaniels1987 wrote: »

Oh I can afford to pay more, its just I am getting married in a few months so I have taken a step back by just paying £50.00 per month for now.

The credit increase would be used for emergencies only.

This is a genuine observation and not intended to offend, but if you can afford to pay more why is your balance so close to its limit? If a creditor looked at your credit file and saw you CC riding so close to its limit their immidiate assumption would be that your finances are over stretched.

CDaniels1987

MrSilk wrote: »

As long as you don't go over you're limit you are fine the limit is there for you to use

Many thanks for your reply

MrSilk

Also depends on how much of a leap this 'step back' is, what is your usual monthly payment?

CDaniels1987

michael1983l wrote: »

This is a genuine observation and not intended to offend, but if you can afford to pay more why is your balance so close to its limit? If a creditor looked at your credit file and saw you CC riding so close to its limit their immidiate assumption would be that your finances are over stretched.

Oh and I havent taken offence dont worry, I completely understand where you are coming from, its near the limit due to a large purchase I had to make 2 months ago, however due to the wedding coming up I have decided to just make payments just above minimum for now, however as of next months statement, I will be clearing off a lot more each month.

CDaniels1987

MrSilk wrote: »

Also depends on how much of a leap this 'step back' is, what is your usual monthly payment?

I dont quite get what you mean?

MrSilk

CDaniels1987 wrote: »

I dont quite get what you mean?

Sorry, what will your monthly repayment be after the wedding?, apposed from the current £50.