Increase Credit Limit

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Credit Limit Definition

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Since this site is dedicated to looking at your credit limit, it’s important to know exactly what a credit limit is, and how to define it. One definition from the web is:

A credit limit is the maximum amount of credit that a financial institution or other lender will extend to a debtor for a particular line of credit.

The most common area that you will see this in is credit cards – your credit limit is the maximum amount that a credit card company will allow you to borrow on a card. If you hit that limit, you cannot spend any more on the credit card unless or until you pay it down. This amount can be determined by the credit rating of the applicant, credit history, and can be raised once a person has shown themselves to be credit-worthy.

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