Increasing Your Credit Card Limit in 2024
Now, let’s dive into your First question – how to increase your credit card limit? A credit card limit is essentially the maximum amount that the bank or financial institution permits you to borrow. Most people look for ways to increase their credit card limit for an array of reasons, like handling emergencies or earning more rewards.
Importance of Credit Cards in Daily Life
Credit cards have become indispensable in our daily lives. But, before delving into the ways of increasing your credit card limit, it is vital to understand – what is credit card? A credit card is a powerful financial tool issued by banks and financial institutions, allowing users to make purchases and transactions without the need for immediate cash payment. The issuing bank lends you the money to complete your transactions, which you are required to pay back within a stipulated timeframe, or else you accrue interest on the outstanding amount.
Here are some ways to effortlessly increase your credit card limit in 2024.
1. Maintain a Healthy Credit Score
Maintaining a good credit score is a positive indicator of your creditworthiness for financial institutions. Late payments, outstanding debts, and poor credit history equate to a low credit score. Improving your score is key and can make you eligible for a higher credit card limit.
2. Increase Your Income
If you’re earning more than you were when you received your credit card, update this information with your bank. A higher income often correlates with a higher credit limit.
3. Keep Your Credit Utilisation Ratio Low
This ratio is the difference between your credit limit and the balance you owe. The more of your available credit you use, the lower your credit score. To increase your credit limit, make sure to keep this ratio as low as possible, ideally below 30%.
4. Request An Increase
Sometimes, you can request your bank to increase your credit limit. It’s recommended to wait at least 6-12 months after your credit card approval before requesting a credit limit increase.
Advantages of Co-Branded Credit Cards
Additionally, opting for co-branded cards like the Bajaj Finserv RBL Bank Credit Card or Bajaj Finserv DBS Bank Credit Card can be advantageous. These co-branded credit cards are the result of partnerships between banks and popular brands. In addition to the standard benefits, these cards offer exclusive rewards associated with the partner brand.
Benefits of Bajaj Finserv Co-Branded Credit Cards
The benefits of the Bajaj Finserv co-branded credit cards are manifold. Primarily, they offer accelerated rewards when you shop for Bajaj products or use their partnered services. These may result in substantial savings over time. Additionally, you are eligible for a variety of perks, from quick loan approvals to superior health care benefits.
If you’re wondering, “how can I increase credit card limit” with these cards, you’re in luck. Using co-branded credit cards responsibly by making timely payments and keeping your credit utilization ratio low can positively impact your credit score, making you eligible for a higher credit limit.
To apply for these co-branded credit cards, simply visit the Bajaj Finserv website and fill out the online application form. You need to provide basic information, and documents to verify your identity, address, and income, along with a pass-size photo. On completion of the application process, the bank will review your form and inform you about your card status.
Conclusion
In conclusion, increasing your credit card limit can be an effortless process if appropriately navigated. Maintaining a good credit score, boosting your income, or even simply requesting a limit increase can help. Additionally, opting for co-branded credit cards like the Bajaj Finserv RBL Bank Credit Card or the Bajaj Finserv DBS Bank Credit Card could mean access to exclusive rewards and tailored benefits. Whether you’re looking to handle emergencies better or dreaming of bigger rewards, raising your credit card limit can open a host of possibilities.
