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what does minimum credit limit mean?

(12 Posts)
Nyssalina Sun 01-Dec-13 00:16:35

A minimum credit limit is the least amount of credit that the bank will offer you on application, the max limit is the most they will offer you. The amount they offer will depend on a number of factors, most important being your credit rating. Not sure why they have minimum limits really, they don't matter much, the thing that matters is the limit you're given!
Once you apply and are given a limit, then you can spend whatever amount you like, big or small, so long as you don't exceed that limit in any given month, and you repay the card in full each month smile

JustALittleGreen Sun 01-Dec-13 00:05:59

S'ok, someone just explained. You can choose a limit between the minimum and maximum stated when you sign up.

ilovepowerhoop Sat 30-Nov-13 21:16:11

no, it is just them trying to entice you into getting the card. There arent usually fees for not spending up to your limit. The card will have a limit and you may or may not spend that amount. I have cards that I never use but they still have a credit limit.

JustALittleGreen Sat 30-Nov-13 21:13:26

So, I'm looking at credit cards. If the minimum limit was £200 and the maximum was £2000 would I have to spend between those amounts? What if I didn't spend anything, or spent less than £200? Do I get charged a fee or something?

bananananacoconuts Sat 30-Nov-13 20:48:08

It's usually said before you apply as in minimum limit is 200 maximum limit is 2000.
Provided you're accepted, you're personal credit card limit will be in between those 2 amounts.

ilovepowerhoop Sat 30-Nov-13 20:46:10

do you have the credit card or are you looking to apply for one? If you are applying for one then you may get a limit of £200 or you may get a higher one depending on your credit score.

RandomMess Sat 30-Nov-13 20:42:00

What context has it been said in?

If you're applying for a car/account it would be that the minimum would be £200 but you may given a higher limit?

JustALittleGreen Sat 30-Nov-13 20:40:39

Surely that would be the maximum credit limit, though? What is the minimum credit limit?

ilovepowerhoop Sat 30-Nov-13 20:07:49

if you have a credit limit of £200 then once you have spent that you cannot spend any more

rpitchfo Sat 30-Nov-13 20:04:14

i means you have a credit limit of £200. Once you spent 200 pounds you couldn't spend anymore till you paid some off.

JustALittleGreen Sat 30-Nov-13 18:34:19

Anyone know?

JustALittleGreen Sat 30-Nov-13 14:29:08

Excuse my ignorance! If a credit card has a minimum credit limit of, say, £200, does that mean you'd have to spend £200 on it every month? Or something else? thanks

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