How to Increase Credit Limit?

Do you have a credit card with a low credit limit? Here are some steps you can take to get an increased credit limit.

1. Always Make Your Payment On Time

The quality of your credit history is a crucial component of your credit score, which directly impacts the amount of spending power provided to you by the card issuer.

For this reason, ensure you’re conscious of your payment deadlines and dutifully pay at least the amount required by the due date noted on your statements.

Apply this same practice to your mortgage, car loan, student loan, lines of credit, and other loan products you carry.

Most creditors report each payment you make, whether late or on time, to the credit bureaus, which compile the details to construct your credit score.

By making timely payments over an extended period, you’ll realize an improvement in your credit score, which can translate into a larger credit limit.

2. Pay More Than The Minimum Amount Required

While contributing at least the minimum payment on your credit card balance will keep your account in good standing, it may not be enough to bump up your credit limit.

By paying more than the minimum (preferably the total balance) each month, you signal to your card issuer that your finances are in good order and that you can easily handle your payments.

Conversely, only paying the bare minimum each month indicates you may struggle to manage a larger outstanding balance, which invariable results from a higher credit limit.

As a result, they’ll be more hesitant to raise it.

3. Make Improvements In Your Financial Situation

By making strategic tweaks to your income, expenses, and liabilities, you can enhance your financial standing, improving your chances of securing a credit limit increase.

Getting a higher-paying job will boost your income, leaving you with more money each month to service debt payments and reducing the risk of default.

Likewise, refinancing your mortgage to reduce your monthly payments or moving into a cheaper apartment to save on your rent expense will lessen your financial burden.

You can also decrease your reliance on other revolving credit accounts you currently use, which will lower your credit utilization ratio.

In general, a lower ratio should result in a positive credit score movement.

4. Ask Your Card Issuer For an Increase

One of the quickest and most efficient ways to raise your credit limit is to submit a request to your card issuer.

Usually, you can contact them by phone or through a specific portal on their website.

Here are a few rules of thumb to follow before asking for a credit limit increase:

  • Keep your account in good standing by always making timely payments
  • Wait at least one year from the date you first opened your account
  • Observe good spending habits and keep your credit utilization ratio at a reasonable level

In addition, if your card issuer has already raised your credit limit during the last 12 months or reduced it, they’re unlikely to accept your request.

You’ll need to be patient and wait.

Keep in mind that you’ll likely be subject to a hard credit inquiry, which may result in a temporary dip in your credit score.

Did You Know?

Your card provider may automatically raise your credit limit over time if you use your card wisely.


Mark is a freelance writer who specializes in covering personal finance topics related to investing, mortgages, credit cards, and more.

He is passionate about educating people on how the financial markets work and providing tips to help them better manage their money. Mark holds a bachelor’s degree in finance from the Northern Alberta Institute of Technology and has more than a decade of experience as an accountant.

Outside of writing and finance, he enjoys playing poker, going to the gym, composing music, and learning about digital marketing.