If you go over your credit limit, will the charge still go thru?

[Michael]

MichaelD - I have a super high limit on the one credit card I use and I haven't carried a balance from one month to another in 15 years (the period just after I finished university and was working my first full time job). Having the high limit isn't the trap. The trap is buying $1300 speakers when you can't really afford them.

I admit that I've been tempted a couple of times to get them to knock the limit down, but I travel a great deal and it does represent a safety buffer in case I run into an issue and need ready access to credit. After a trip to Asia I often end up with a decent sized balance but have never even come close to my limit.

Michael

 

[MichaelD]

I can afford them; I just do not have all the money, up front now. The deal was temporary and I needed to move on it. I put $300 towards that CC, and the raised limit covered the rest.

My income is a little higher than usual these past few months...workin' hard! I just bought a $1,200 subwoofer that I paid cash for.

These speakers I bought today will be paid off in 6 weeks.

Some people see it as wasteful. They are entitled to their opinion. Maybe they spend $1,200 on a rare coin or postage stamp. If it makes you happy, go for it.

My music is my first love. Movies are a close second. Great sound is essential to both.

 

[Vic]

Originally posted by: Amused
That is irrelevant. First USA raised my low rate to the "default rate" at a time when insterest rates were DROPPING. They did not do it due to market forces, and even explained to me it was because too many of my revolving accounts were near their limits. (It was Xmas, and I was building my first HT setup.)

Needless to say, I do not bank with First USA anymore. I paid the card off the day I was notified and closed my account. I understand that they have been bought by Bank One, and that Bank One has continued this practice.

They all have that practice. Having credit card debt is like gambling in a crooked casino.
I solved that whole problem in my life by never carrying any short-term variable rate infinitely-amortizing non-tax deductible revolving credit card debt.
I currently have close to $50k in credit card limits (unsolicited, my providers keep raising the limits) and owe a whopping $300 bucks (bought a couple of shirts and a new pair of shoes last week) which I will pay off in full at the end of the month.
Sure, I sacrifice by not buying many of the things I would like to buy, but I gain greatly in peace of mind.

 

[Amused]

Originally posted by: Vic

Originally posted by: Amused
That is irrelevant. First USA raised my low rate to the "default rate" at a time when insterest rates were DROPPING. They did not do it due to market forces, and even explained to me it was because too many of my revolving accounts were near their limits. (It was Xmas, and I was building my first HT setup.)

Needless to say, I do not bank with First USA anymore. I paid the card off the day I was notified and closed my account. I understand that they have been bought by Bank One, and that Bank One has continued this practice.

They all have that practice. Having credit card debt is like gambling in a crooked casino.
I solved that whole problem in my life by never carrying any short-term variable rate infinitely-amortizing non-tax deductible revolving credit card debt.
I currently have close to $50k in credit card limits (unsolicited, my providers keep raising the limits) and owe a whopping $300 bucks (bought a couple of shirts and a new pair of shoes last week) which I will pay off in full at the end of the month.
Sure, I sacrifice by not buying many of the things I would like to buy, but I gain greatly in peace of mind.

I rarely carry a balance myself. However, there is likely to be one on there for a few months if I make a major purchace, go on vacation or during the holiday season.

When I was building my first HT, the balances were on the cards for less than 4 months.

 

[DeafeningSilence]

Capital One calls it a "Convenience Fee." My first card was with them, and I had a $500 limit. I went over by maybe $10, and they charged me $25 for the fee. I called them up, told them I didn't appreciate the convenience, and got it reversed.

 

[Epoman]

Originally posted by: Michael
MichaelD - I have a super high limit on the one credit card I use and I haven't carried a balance from one month to another in 15 years (the period just after I finished university and was working my first full time job). Having the high limit isn't the trap. The trap is buying $1300 speakers when you can't really afford them.

I admit that I've been tempted a couple of times to get them to knock the limit down, but I travel a great deal and it does represent a safety buffer in case I run into an issue and need ready access to credit. After a trip to Asia I often end up with a decent sized balance but have never even come close to my limit.

Michael

Exactly, I have several credit cards (Visas, Mastercards, Discover,) with a combined total of over $200,000 in credit available
BUT I only use 1 card and owe very little. I just like having that much credit available in case something comes up.
And for those of you who say but your credit score would be higher if I did'nt have so much credit well I score 790+ on 2 out of 3 agencys.
:beer: