Hi All,

I just applied for a Chase Sapphire Preferred - and got the card with a substantial credit line (28K) which is way more than I will ever need. I only had a Citi forward with 1K up to now, so that makes a total of 29K of credit line.

I am not familiar with the mechanics of credit score as I am in the States for four years (this is my second year working though)

I would like your thoughts on the following topics:
1. Is such a high credit line going to impact negatively my credit score?
2. Is it possible that such a high credit line will negatively impact my future credit card applications? (I am planning to apply for a Amex Blue Preferred in a couple of months)

I would appreciate any feedback

It is a high credit limit but not unheard of. Personally I would not bring attention to it quite yet. Having too much credit extended to you (even if unused) can make issuers wary of issuing new credit lines, even if you have a high income.

I would wait a few months, check you credit report and reevaluate before it comes time to apply for another credit card. That will give time to allow your credit score to reflect the impact of this new line of credit. You can always call and ask for it to be reduced. I did that with my Bank of America World Perks card years ago. I didn't want or need 50k in credit so I had it rolled back quite a bit but not enough to crash my credit score for a reduction in available credit/utilization rate.

It might effect more credit cards with the same bank ( as they only want to give you x amount of credit across all cards). But won't think they give you 100% with the first so don't worry. It might affect future credit lines positively as other banks will get your existing one as one of their factors: guidelines
Don't worry be happy
Reducing it is a short message away if needed

No. Your revolving utilization has a significant impact on your score. Revolving utilization is balance(s) / limit(s). Assuming you don't rack up a high balance, the high limit will probably help your revolving utilization.

Don't base need on the amount you intend to spend. General advice is keep revolving utilization under 30% but lower revolving utilization is generally better. I don't need to spend $200K but having total limits in that range allow me to keep my revolving utilization at 6%.

It's possible but we can't say for certain as we're not underwriters for creditors. Any creditor is going to have a limit on what the creditor is willing to extend to a given credit profile. We have no idea what AmEx would extend to you or how your $28K Chase card impacts what AmEx would extend to you. You won't find out until you bump into these limits. If and when you do you can reduce limits and/or close accounts if you want to comply.

There are too many other unknowns that play a part in your questions. A $25K Chase card didn't prevent me from getting another $25K Chase card, a pair of $25K of AmEx cards and so on but YMMV depending on your credit profile and income.

Here's a starting point. It doesn't contain everything. It is just a starting point.
http://www.myfico.com/crediteducatio...yourscore.aspx

Yoshi212, blitzen and takeshi74 thank you very much for your responses, and takehsi74 I really appreciate for taking the time to address my concerns in such detail!!

Happy holidays to all.

Keep the CL, and later I'd an application is in question, ask them to move part of it to the applied card.


Limit has nothing to do with it, it is about the percentage of use, and the timely payments.

28 is a nice CL, and I have seen the next card with a 5k limit, no idea how they figure it...