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I have a friend that works for a large credit agency and we’ve had a handful of conversations about it. He said that it is fairly simple to do. Most people don’t even realize they have the option to request these things…

Contrary to popular belief, you’ve got 100% reason and right to just call them and ask. The worst thing they can say to you is “no.” He said that most people would just call up and ask what the process was for the increase and almost BEG for it. You don’t need to do that! It’s part of the contract that you have a right to do so.

They’re a company and they want to keep your business! If you have another card or 2, threaten to leave. You’d be surprised how many times they’ll say they need to contact their supervisor and come back with a better rate.

I personally have 2 cards. One that I pay off each month, and one that I keep “just in case”. I haven’t ever had to use it, and I don’t plan on having to use it in the near future. The first card you have should also carry some sort of rewards, whether it be skymiles or other discounts to have it. ESPECIALLY if you’re paying a yearly fee to have it. Make it work for you.

If you’ve got good credit, you may have had them voluntarily raise your limit. Clearly there is a reason for this too. Again, they’re a business, and if you’re paying off your card like a good person, you’re losing THEM money. They think they can bait you into buying more by giving you more. If you can pay it off, go to town I say.

Stay on this same pattern every 6 months. They’re likely to bend again. If you watch closely enough and read the fine print in the bills. Your rate is likely going up and you don’t know it. Most of the cards are “prime rate” plus “w.xyz%”. Prime rate changes almost as often as the weather, in a recession I can assure you that it likely hasn’t gone down too far; and more so your rate is probably going up.

I don’t worry about the rate on my card too much because I pay it off monthly. They don’t like me so much as I make them no money, but I still make the phone call twice a year to make sure they’re not bending me over on the credit limit. I get that bumped up every six months just to increase my “available debt”. I don’t spend more than I have though, so I don’t see that magical 35% number (some say 50%) hurting my credit, and shouldn’t ever because my limit goes up, but my spending stays the same.

Photo by: wili

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