with a $300 credit limit can i increase my credit score?
i just got my credit card and i would like to know with that credit limit can i improve my credit score if i pay my bills on time and also how can i increase my limit
Public Comments
- With all credit cards/line of credit/loans/financing are capable of increasing your credit score..however it reflects poorly if there is constant inquires to the credit bureau that becomes a red flag that you may be fishing for too much credit. Keep paying those bills & you will be amazed..when you are paying a minimum always always add the interest in your statement that way it is paying the principle as well as interest..if you just pay min payment required you'll pay forever...
- I would think that even with a relatively low credit limit, you could still increase your credit score by ensuring that you pay all of your bills promptly & on time. This means NEVER missing a payment and NEVER or RARELY (very rarely) making a late payment. Once your credit score improves and the credit card company has you on record as being a prompt bill-payer, you might telephone and ask for an increase to your credit limit. Wait until you have built up some good credit history through on-time payments, and then call the credit card company and ask them to increase your limit to whatever amount you want, or even, ask them what would be the maximum amount your new limit could be, considering your credit rating. The maximum amount they'll be willing to lend you may also depend on what other outstanding debts, liens, or loans you have under your name; as well as how many (if any) other credit cards, lines of credit, or loan applications you have on your file at the time of your request. It might be a good idea, as well, for you to obtain a copy of your credit report, to review and for your information. Usually, a copy of your credit report can be obtained for a very low fee. It would be well worth it for you to see your credit report so that you could know how your credit stands, that way you'll be able to focus in on targeting & improving any specific problem areas (late bill payments, getting rid of lines of credit or credit cards you don't use much, etc etc etc) and have the best chance of improving your overall credit score. Do a Google search on "credit report", to gain access to various agencies which can provide you your credit report and credit score. Hope this helps!
- I ACTUALLY HAD A CREDIT CARD WITH A 300 DOLLAR CREDIT LIMIT TO START OFF BECAUSE MY CREDIT WAS SHAKY. AFTER PAYING ON TIME FOR ONE YEAR I ASKED FOR INCREASE AND GOT IT. I NOW HAVE A 1000 DOLLAR LIMIT. WHAT I DID WAS KEPT PAYING IT OFF IN FULL EVERY MONTH. FOR INSTANCE THE MONEY I HAD TO PAY MY CELL PHONE BILL OF$150 I WOULD CHARGE TO MY CREDIT CARD AND THEN I WOULD SEND THAT $150 TO MY CREDIT CARD, PLUS A N EXTRA DOLLAR OR TWO FOR INTEREST. YOU DONT WANT TO KEEP IT MAXED OUT AND MAKE MINIMUM PAYMENTS BECUASE THAT HURTS YOUR CREDIT SCORE. YOU WANT TO HAVE 50% OR LESS ON THAT CARD AT ALL TIMES. GOOD LUCK
- One key for those just starting out is to always carry a balance. Now, when I say this I don't mean max it out, and then make minimum payments! You want to carry anywhere from 10-30% of the limit. On $300 you would want your balance anywhere from $30 to $90 every month and MAKE your payments ON TIME! In about six months, call them up and ask for a limit raise. Credit card companies want customers who actually USE credit. If you are paying the balance every month, they are NOT making money on you, therefore you are not a high quality customer. Sucks, but it is what it is! Make that call every six months! (twice a year) For more strategies, check out the free book below!
- You can increase your score. You can get your limit raised after a time of paying on time. I would use your card every month for something that you were going to buy. (groceries, gas, etc.) Pay it in full every month. After a while you can call and ask to have it raised. If they won't raise it they should tell you when they will.
