Circle of Credit
Do you remember how excited you were to get your first credit card? The freedom you suddenly have. The purchasing power. You put a little bit on it here and there and made the minimum payments - maybe a bit more - and pretty soon the card was almost maxed out. Then you get a letter from the lending institution. They are offering to raise your credit limit. That means you will have more money to spend, right? The creditor tells you that it is good to have the extra monies available. You don't have to use it but it is nice to have just in case you have a large purchase to make. Having the extra room on your card will make life so much easier, right? An increased limit on your credit is NOT going to make your life easier. It is not going to be there in case of emergencies. Increased credit limits on credit cards are just going to cause you more stress and get further in debt. I know, you know and the lending institution knows that you more than likely won't leave