How to increase your credit card limit bank of america

When you have a credit card, you’re given a spending limit that’s set at the time you apply. The credit limit is the maximum amount you can charge on your card, and it’s often based on factors like credit history and income. The goal is to avoid providing customers more credit than they can reasonably pay back.

Sometimes, cardholders want to have that limit increased. Increasing your credit card limit can provide you with more spending power. Better yet, it can also help improve your credit score. A significant amount of your credit score is based on how much credit is being used at any given time, versus what’s available.

If your limit on a Bank of America credit card is increased, you’re increasing your available credit while your debt remains the same, assuming you don’t use that credit to spend more.

How to Request a Credit Limit Increase With Bank of America

First, you might be able to get a credit limit increase just by being responsible with your card. Bank of America and other credit card companies often increase customers’ credit lines every six months or every year if they are making payments on time, and using their card often.

If you’re automatically offered an increase, it won’t result in a hard inquiry on your credit report. If you aren’t offered a credit increase automatically by BofA, there are other options.

You can log in to your account online. You’ll then see the Card Details section of your online account. Here, you can look for a link called “Request a Credit Line Increase.” Click that link, located near the left side of the page.

You’ll be prompted to enter the credit line you’re requesting, and your financial information, including your income.

In most cases, you have to be a BofA account holder for at least six to 12 months before you have the option to request an increase to your credit limit. If you log onto your BofA account and you don’t see the option to increase your limit there, you should contact customer service at (800) 732-9194.

If you request a credit limit increase online, Bank of America will usually let you know right away if it’s approved. If you aren’t immediately approved, you aren’t necessarily denied. The bank will likely look at your information more closely or it may need more information. If you are indeed denied, in most cases you will receive a letter by mail within seven to 10 days that explains why your limit increase wasn’t approved.

Bank of America does a hard credit pull for most credit limit increase requests, so be aware of this. This means that it will show up as an inquiry on your credit report. However, a hard pull isn’t usually done on limit increase requests of $2,000 or less.

Summing Up

You may want to increase your Bank of America credit limit for a variety of reasons. Perhaps you want to make a large purchase, and you’d like to have increased buying power. Or, you may want to lower your credit utilization ratio and boost your credit score.

Regardless of the reason, Bank of America makes it fairly simple to request a limit increase online or by phone. Before doing so, you might want to consult with the company and ask if they anticipate whether a hard credit inquiry will be required.

Also, make sure that you aren’t using a credit limit increase as a way to overextend yourself. If you max out your card after getting a credit increase, it’s going to be more difficult to pay back the debt, and it can negatively affect your credit score.

If you are a Bank of America cardholder and would like to increase your spending power with your Bank of America credit card, it’s easy to ask for a credit limit increase, but just know that if you ask too soon after getting the card or if you haven’t treated the card responsibly, your request may not be granted.

Here’s what you need to know about how to ask for a credit limit increase on your Bank of America credit card.

Preparing to request a credit limit increase

While there’s no way to guarantee your request will be approved, following the steps below will make it more likely that Bank of America will consider your request for a higher credit limit favorably:

• Wait until you’ve had the card for six months or more.
• Pay your credit card on time and in full every month.
• Let time pass between credit limit increase requests.

By showing responsible behavior with the card over an extended period of time, credit card issuers are generally more willing to bump up your credit line.

Payment history is the weightiest factor impacting your credit score (35% of your FICO Score and 41% of your VantageScore) and if you’ve routinely paid your credit card bill after it’s due, the odds of being granted a credit limit request aren’t great.

Finally, applying for a higher credit limit too frequently might also lead to a denial. By allowing at least six months to pass, you demonstrate over time that you can manage a higher credit line responsibly.

Requesting a credit limit increase with Bank of America

Get an automatic credit limit increase

Bank of America may increase your credit limit automatically after you’ve had the card awhile and have managed the card responsibly. You may or may not be officially notified of the increase, so check your statements every month to see if anything has changed.

Log in and make your request online

If you’d like to initiate a credit limit increase before then, here are the steps to take:

After signing into Bank of America’s online portal, navigate to the “account services” page. From there, select the “credit line increase” option, which will take you to a form for the request:

You’ll be asked to enter the following information in the credit line increase form:

• The desired credit line in $100 increments.
• Your country of citizenship and country of residence.
• The physical address where you live.
• Your occupation, total income and source of income.
• The type and amount of your housing payment.

In some cases, you may get an instant decision. In others, it can take seven to 10 business days before Bank of America lets you know if your request has been approved or denied.

Request an increase over the phone

To request a higher credit limit over the phone, call the number on the back of your credit card.

You’ll need to prepare the same information that you’d provide to make the request online. If you’re eligible, Bank of America may approve your credit limit increase request immediately.

What to do if your request for a higher limit is denied by Bank of America

If your request for more credit is denied, here’s how to increase your chances for next time:

• Continue to improve your credit score and check your credit reports for possible errors.
• Use your Bank of America card frequently, but keep your balance manageable.
• Make sure your income is up to date.

By demonstrating a history of on-time payments, keeping your utilization low, and not applying for new credit too frequently, you’ll build a solid credit history. And all of these behaviors are ones that will make your issuer more likely to approve you for a higher credit limit, too.

Of course, showing Bank of America that you regularly use the card that you’re asking for a higher limit can help, too. If you aren’t using the credit you have, why would you need more?

Finally, having a higher income means more ability to pay back bigger purchases. If your income has increased since you first got the card, make sure to update your online profile.

How a higher credit limit can affect your credit score

When you make a formal request for a higher credit limit, some issuers conduct a hard inquiry to evaluate your credit profile while others proceed with a soft inquiry. If there’s a hard inquiry, it will drop your credit score approximately five to 10 points. A soft inquiry, however, has no impact on your credit score.

Bank of America typically uses a soft inquiry, according to online discussion among cardholders.

Over the long term, a higher credit limit has the potential to improve your credit score by reducing your utilization rate when you carry a balance on the card. For example, on a card with a $1,000 limit, a $400 balance is 40% utilization. But a $400 balance on a card with a $1,500 limit would reduce your utilization to just under 27%. Personal finance experts suggest keeping utilization lower than 30% for optimal credit scores — and the closer to zero, the better.

Just don’t allow a higher credit limit to tempt you into overspending. Treat your credit card like a debit card, which is to say, spend only what you can afford to pay off monthly or even weekly.

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