If you have poor credit and are seeking high limit credit cards, don’t get your hopes too high, but don’t give up, either. Begin your quest with the knowledge that what you are seeking is nearly impossible, for good reason.
That said, here are a couple of pointers to consider as you try to obtain one of the few high limit credit cards for bad credit.
Think secured, not unsecured
That means that you need to probably plan on putting a security deposit down with a credit card company to obtain a card that you can use. If you don’t have a large amount to put down (which would typify most people with bad credit), then start with what you have and add to it as you are able.
As you use your secured card wisely, the sponsoring bank could raise your limit even beyond your deposit. The right combination of careful spending and continual deposits can lift your limit to the regions where you want it to be — closer to $5,000 than $500.
If you have bad credit, this somewhat long process is one of the only sure ways that you can re-build your credit score and raise that number to the region where you want it. As that rating rises, if your bank does not raise your credit limit as you desire, you can cancel your card and shop around for a much better deal. With a higher credit score, you will find many more banks waiting with open arms to sign you up to a credit card with a high limit.
Unsecured lowers your limit
If you go unsecured, don’t be disappointed if your limit does not meet your expectations. The fact is that people with bad credit are a very poor risk for banks and credit unions, and the higher the credit limit extended, the more risk such people are. That is the way of the world, so don’t expect a $10,000 limit if you have poor credit, it’s not going to happen.
However, you can perhaps take one zero off that limit and begin to restore your credit rating. Don’t forget that part of the unsecured game is paying a monthly or annual fee, in addition to a fairly high interest rate. That is some of the literal price that you have to pay to get back into the credit arena and begin to win a few battles.
High limit credit cards for people with bad credit are somewhat of an oxymoron, but there are a few paths that you can take to get to a high limit card in a reasonable amount of time. Remember that such cards can be both a blessing and a curse: if you are too tempted to max out on easy credit, you could end up abusing it and falling back to where you first began–with a rock-bottom credit score to show for your trouble.