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/biz/ - Business & Finance

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12981266 No.12981266 [Reply] [Original]

Everytime I log into my discover card account there’s a button for requesting a credit line increase. It’s seems like they’re goading me into making a request. If I never get close to maxing out my cards is there a reason I should still try to increase it for credit score reasons? I have a combined credit line of $20k between three cards but only ever use about $500.

>> No.12981307

>>12981266
I periodically get letters from my bank telling me they’ve approved me for a bump from $5k to $8k. I ignore them for the same reason you do: my balance is never near my limit as it is.

>> No.12981328
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12981328

>>12981266
Cut up those credit cards, they are the cigarette of the financial world

>> No.12981355

>>12981266
higher available balance + lower credit utilization is usually better.

>>12981328
and how do I buy a house Dave without credit?
>just save up 300k

then I can get a house just in time to retire!

>> No.12981396

>>12981266
Yes.
It will lower your credit utilization percentage and potentially raise your credit score.

>> No.12981413

>>12981355
>>12981396
But do I want the smallest possible credit utilization? Is there not a too small?

>> No.12981431

>>12981413
Yes. Think of it this way.
Your credit limit increases to 10,000 from 8000 but your existing balance is still 500.
Your credit utilization percentage decreases leading to an increase in your credit score.

>> No.12981443
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12981443

>>12981355
If you apply for a mortgage without a credit score, you’ll need to go through a process called manual underwriting. Manual underwriting simply means you’ll be asked to provide additional paperwork for the underwriter to review personally. Your loan process may take a little longer, but buying a home without the strain of extra debt is worth it! I would recommend Churchill mortgage

>> No.12981482
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12981482

>>12981431
>>12981413
>>12981396
>>12981307
You should want your credit score to be zero

>> No.12981495

>>12981431
I get how it would reduce credit utilization I was just under the impression that too little utilization was bad too. But I’m not seeing anything about that on google so I was probably wrong