Know How Your Credit Card Limit Is Rated
3. Time Factor
Time is another most important factor that your card issuer will consider. In case you have bought a credit card recently, the credit limit on it will be higher than the one you had it previously.
Sanjay Patel of Equifax says that "This could be because during these years the credit policy of the bank might have changed due to the financial crisis that hit many banks and financial institutions, forcing them to be more cautious with credit disbursals".
4. Revising Your Credit Limit
Credit card revision takes place depending on your credit policy. In other words, the credit card company will take into consideration whether you have paid your loan debts on time and will also consider your overall credit report.
Infact, your credit limit increase will be decided purely on this basis. The increase on the card limit will not be more than 1.25-1.5 times your existing credit limit.
Incase in the future you are offered with a credit card with a lower limit, than the one you have, then there are possibilities where the sourcing of information has been done differently.
Also Read:
How to Repay and Save On Home Loans?
