Credit Reports and Scores

[AlphaFrog]

Originally Posted by preciousjeni

I'm an open book when it comes to this stuff. I've never been maxed out credit-wise. In fact, every year or so - depending on the credit card - I request a limit increase just for the debt-to-credit ratio. Right now, I'm creeping up to $40,000 if you add up all the limits and I pay the cards off completely every statement.

I'm not an expert at this, but I'be heard that it isn't always a good idea to increase your credit line like this. Yes, you want a low debt to credit ratio, and you don't USUALLY use all of the credit you have, but it makes banks nervous to lend to you, because while you USUALLY don't use all your credit, there's nothing STOPPING you from using it and all of a sudden owing $40,000 to someone on top of what your credit limit is with whatever bank you are trying to get a line of credit from.