Increasing Credit Limit - Good or Bad?

[rohansehgal24]

Hello,

I recently saw my credit score decrease ever so slightly due to my increased "usage" - calculated as a percentage of my credit limit. I was interesting in increasing this limit (assuming that I would qualify), but was wondering what the impact of this would be on my credit score (whether it be good or bad). Also, how much of an increase should I request (should I just do the max I'm eligible for or is there another formula that can be used)? 

Thanks!

[bluedeb · Accepted solution]

Although a credit limit increase is generally good for your credit, requesting one could temporarily ding your score. That's because credit card issuers will sometimes perform a hard pull on your credit to verify you meet their standards for the higher limit.

For more information, see the following:

How to Increase Your Credit Limit (Without Harming Your Score)

https://creditcards.usnews.com/articles/how-to-increase-your-credit-limit-without-harming-your-score...

[cgervasi]

I agree with @bluedeb, but I generally think credit score is unimportant. The important thing is get to a position where you have enough assets collateralizing any debts, if you have debts at all, that the credit score doesn't matter.