7 Ways to Get a High Credit Card Limit, Even If You Have Bad Credit

Looking to get a high credit card limit? Great news! This can be done with a little bit of hard work and insight into the world of credit card limits. After all, having a high limit credit card will give you more money to spend on whatever you want, right? Especially if you’re someone with a debit card, who can’t get access to a bank account.

According to CreditCards.com, as of February 2017, the average credit card limit is $525. That’s not so bad, right? If you think so, read on! There are a few things you can do to increase your chances of being approved for a high-limit credit card and how to choose the best credit card. You might be surprised at the amount of success you can have with this.

Here are seven ways to get a high credit card limit, even if you have bad credit.

Pay Your Balance in Full Every Month

If you have a good credit score, the easiest way to increase your credit card limit is to pay your balance in full every month. If you’re using a credit card in order to build your credit score, this is a must. In addition, it will help you to increase your credit score by showing that you’re responsible and trustworthy.

Even if you don’t think you’ll be able to pay off the entire balance every month, at the very least, make sure you pay the minimum payment by the due date. If you miss that, pay it straight away right after you get your next paycheck. This will send a strong message to the credit card company that you’re serious about paying off the balance.

Keep Your Credit Utilization Low

If you’re approved for a high credit card limit, the next thing you want to do is keep your total credit utilization low. What is your total credit utilization? This is the total amount of your credit card balance, plus all of your other credit obligations, divided by the amount you have in your credit card account.

You want to keep your total credit utilization below 30%. Anything higher, and you’re putting a strain on your credit score. Fortunately, there are some great ways to keep your utilization low.

  • First, pay your balance in full every month.
  • Second, pay your annual fee. Most credit card companies will waive your annual fee if you keep your utilization below 30%.
  • Pay off your balance as soon as possible. If you can pay all of your balance off as quickly as possible, you can keep your utilization low.
  • Make payments on time. If you consistently pay your bill on time, you can lower your utilization even further.
  • Make a payment plan. If you can’t pay off your balance in full every month, try setting up a payment plan. This will allow you to keep your utilization low and continue paying off your balance as fast as possible.

Consider Becoming an Authorized User

Another thing you can do if you have bad credit is to become an authorized user on someone else’s credit card. This means you can put your name on the account as a secondary user.

The credit card company will be able to see that you have a good credit score, and you’ll gain access to their credit line. You can then start charging things on their credit card and paying them back later. This is a great way to build your credit while simultaneously using someone else’s credit card.

Of course, you want to monitor your usage carefully. You don’t want to go over your limit and ruin your score. But this is a great way to get a high credit limit and card without hurting your credit score. 

Get a Secured Credit Card

Another easy way to get a high credit card limit is to apply for a secured credit card. These credit cards typically require a cash deposit or a certain amount of your own money before you’re approved for the card. The deposit acts as collateral if you don’t pay your bills.

The benefit of a secured credit card is that you can increase your credit limit very quickly. You don’t have to wait for your credit score to go up. You just get a higher limit right away. And if you pay your bills on time and keep your utilization low, you can increase your credit limit again and again.

The downside of a secured credit card is that you have to put cash or collateral down in order to be approved. And if you don’t pay off the balance each month, the interest rate will build up quickly.

Get a Secured Loan

Another way to get a high credit card limit is to do a secured loan. Typically, you have to put down a deposit, often one month’s worth of rent, for a loan.

This deposit acts as collateral if you don’t pay your loan on the agreed-upon timeline. But this loan is provided to you on the condition that you use it as a credible source.

You don’t get to choose which credit source you use. Make sure you pick wisely so that your credit score doesn’t take any damage. If you pick the wrong one, your credit score is going to take a hit.

Of course, you want to pay off your loan each month, and don’t pick a loan that offers a high-interest rate. Otherwise, your utilization will continue to rise.

Raise Your Credit Score

The last thing you can do to get a high credit card limit is to raise your credit score. This is a long-term goal for most people with bad credit, but it’s something you can do to raise your credit limit more quickly.

There are a few things you can do to raise your score. If you have a secured credit card, pay the balance off on time each month.

  • Get a new credit card. If you have an old credit card that has a poor credit score, get a new credit card with a better credit score.
  • Make fewer credit mistakes. Pay your bills on time and make fewer credit mistakes, like maxing out a credit card or making a large purchase that is not refundable.
  • Monitor your existing credit cards. Make sure you keep an eye on your current credit cards, so you don’t miss a payment.

Conclusion

You can still get a high credit card limit if you have bad credit. However, there are several things you can do to increase your chance of being approved. It all comes down to hard work and being proactive.

Always make sure you’re paying your bills on time, keeping your credit utilization low, and making your payments on time. You can also consider becoming an authorized user on someone else’s credit card and taking out a secured loan.