Applying for a creditline increase?

Question

My question is that I want to consolidate my total 8000 debt onto one credit card by asking for an increase in my lower APR credit card which is 5.99%, but they keep denying it. They keep saying I have too much revolving credit. If I payoff one of my lower credit card, which I am about to do soon for about $4000, and ask for a credit increase will they give it to me? Also if I pay off all the 8000 debt and ask for an increase, will the credit card companies give me the increase right away? I've had these credit cards for almost 4 years now. I just never understood credit increases.

Answer 1

Normally, credit cards with extremely low APR's have other short-falls to compensate for the low interest charges. For example, the Pulaski Bank Visa (which has a 7.99% APR) only has a maximum credit limit of $10,000. This limits the amount you can actually benefit from the card. Could this be the case with your current credit card?

If so, you might consider transferring your existing debt to a 0% APR credit card with a low APR after the intro. This will allow you to benefit from the 0% intro-- and hopefully give you a lower APR than your other higher rate cards.

One offer you might consider is the Rewards Advantage Platinum Visa from First National. It has a 0% intro APR for 12 months-- plus, a relatively low ongoing APR of 9.99%. You can find this offer (and other low APR offers) here:

http://www.asapcreditcard.com/0-apr.html

Hope this helps. GOOD LUCK!

Answer 2

You could ask for a lower interest rate on you other card. Tell them you are considering transferring the balance to the lower rate card. They don't have to know you can't. They will just assume you have an offer for a new card. Everyone does these days, don't they? Don't worry about understanding credit increases. Most of the people at the credit card company don't either.

Answer 3

If you do, it can hurt your credit score. JMHO