reducing credit limit

peggy78

Not too sure if this should be on this board or the C/C one.

I have two creditcards which I am desperately trying to pay off since I’ve had my LBM. I’ve been doing pretty well thanks to MSE. :j However, I am getting very frustrated that the creditcard companies are constantly increasing my credit limit without me asking for it. I don’t want this increase, it’s only tempting me to spend!:mad:

If I ask them to actually decrease the limit, will they do this and would they do a credit search for that? I want to improve my credit history as it’s not too good so want to avoid any searches for a while.

NatWest: outstanding balance: £3, 211 credit limit: £6,500
Virgin: outstanding balance: £5,744 credit limit: £8,600

I don’t use the cards at all, I'm just paying them off so I could suggest £3,500 for NatWest and £6,000 for Virgin (leaving a bit -just in case) and reducing the limits as I pay off more and more.

Any thoughts/suggestions?

Kevicho

Are you paying them off online or going to the bank with them to make payments?

The simplest way to avoid temptation is to cut them up, or put them in a baked bean tin full of water and put it in the freezer, that way itll take hours to thaw out, by that time the impulse will have gone.

The only other thing is to keep requesting they lower the limits as you go along.

CharliesAngel

Hi peggy78

They will be able to reduce your credit limit and if you tell them not to increase it in the future they'll also do this.

They don't do a credit search for it, but they may put a note on your file showing that you've asked them to decrease your limit - this isn't necessarily a bad thing as it shows you have less 'available' credit floating around and also may increase any future applications for things like mortgages and 0% transfers as it shows that you're not 'desperate' for more credit.

I'm doing exactly the same on three cards...

Hope this helps

CA x

CharliesAngel

Oh... and I'd be daring and reduce them to 3220 (NW) and 5750 (V)! They'll probably tell you that it's close to the outstanding amount, but that's the point!

CA x

postingalwaysposting

CharliesAngel wrote: »

Hi peggy78

They will be able to reduce your credit limit and if you tell them not to increase it in the future they'll also do this.

They don't do a credit search for it, but they may put a note on your file showing that you've asked them to decrease your limit - this isn't necessarily a bad thing as it shows you have less 'available' credit floating around and also may increase any future applications for things like mortgages and 0% transfers as it shows that you're not 'desperate' for more credit.

I'm doing exactly the same on three cards...

Hope this helps

CA x

i must add though some do it over the phone but many require it in writing to :rolleyes:

peggy78

Thanks very much for the advice. I'll be contacted both banks to get this sorted!

CharliesAngel

postingalwaysposting wrote: »

i must add though some do it over the phone but many require it in writing to :rolleyes:

hehe virgin and natwest didn't when I called them but u never know... think it depends which person u speak to... :rotfl: