High Risk Credit Card Payment
Is it bad to have a high credit limit?
I want to increase my credit rating, so I have been putting small purchases like trips to the grocery store on my card. I pay it off every month. I have had this card for over five years, and have never missed a payment. My limit has been slowly increased over the years and is now $5,000, but my balance is never over $500.
Do creditors veiw you as a high risk if you have a high limit on your card?
No. In fact, credit card companies that have better incentives and low to no interest are looking for applicants that can maintain in good standings when trusted with high credit limits.
I recently applied for a credit card that required I already be in good standings with another credit card company having a minimum $10,000 credit limit on my card. However, I also keep one card with the lowest minimum ($300) for my riskier purchases (online transactions and such) so that if the number gets stolen the thief won’t get more than $300 in goods and I will be alerted sooner.
Bonds & Interest Rate Risk
