Why you should say yes to a credit limit increase

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If you are afraid of overspending on your credit card, asking for a credit limit increase doesn't make sense.

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However, there are several benefits to increasing your credit limit, including improving your credit score.

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1. Having a higher credit limit will reduce your credit utilization ratio and, in turn, boost your credit score.

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2. An enhanced credit limit can act as a bigger cushion when you face financial emergencies and shortfalls.

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3. Higher credit limits provide you with more opportunities to make big-ticket purchases and rack up better rewards.

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4. With a higher credit score, it becomes easier to get cheaper loans and additional credit when required.

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5. Higher credit limits help you earn more rewards, such as cashbacks, reward points, or travel miles.

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6. Increasing your limit instead of applying for a new card helps increase your credit history and keep your score up.

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To get a credit limit increase, get in touch with your credit card issuer or you can apply online on their site.

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