The first way to get a huge credit limit increase on your Discover It credit card
is to just pick up the phone call them and ask but don't worry there are lots
of other fantastic ways to increase your discover it credit limit to maximize your
cash back and build your credit score as fast as possible. Alright let's turn to it.
What is going on everyone I hope you are all having a fantastic day. So like I said the
first way to get a credit limit increase on the discover it and really any other credit card is
to simply call the number on the back of your card and ask. But I get that a lot of younger
individuals want to avoid talking to someone on the phone at all cost so let's show you how to do
this automatically from your smartphone. So when you load the discover app, you're gonna be brought
to this activities page so what we want to do at the bottom of the screen is select services and
then right here in the middle of the screen you can see there is an option that says credit line
increase. If you click that it's then going to ask you a few questions in this case they're
asking me my total annual gross income and then down at the bottom of the screen it asks me for
my monthly housing payment. Next we're just going to click continue and within a matter
of seconds they will either give you a credit limit increase or as you can see in my case
because I just recently received a credit limit increase, they will let you know that they're
not able to increase your line of credit at this time. Now there's a few other ways to go about
this that we'll get to in a second but I want to clarify it that the best times to ask for a credit
limit increase would be if it's been several months since you last received an increase,
if you are using a large percentage of your current available credit, or if you've had
a substantial change in your financial situation meaning maybe your income went up significantly or
you paid off a bunch of other debts or something like that. These are all factors that the credit
card provider is going to consider when deciding whether or not they will offer you a larger line
of credit. Perhaps the most important of those that I just mentioned would be how much of your
current available credit are you using. In fact in my case, you can see that discover currently gives
me a credit line of $6500 which has increased a number of times over the years considering my
very first line of credit from them was a few hundred bucks. But to be completely honest,
I now have more premium credit card products that offer me better benefits meaning I don't
use my discover it card very often anymore and since I'm not using the line of credit that is
currently available to me, it's unlikely that they will continue to offer me credit line increases
since clearly I've demonstrated that at this time, I don't need it. I am not saying that you want to
have super high utilization at the end of every month and that you should be spending your full
credit limit just for the sake of getting a credit line increase because obviously that is horrible
advice and is not what you want to be doing. I always recommend that you keep your utilization
at 10% or less and personally I think you should pay off your credit card balance before your
statement even arrives so that your utilization stays at zero. But even if you do that, as long as
you are showing that you're using the credit you currently have, that will significantly increase
the chance of you getting a credit line increase especially from discover. Alright enough about
all of that next if we head over to the discover it website and log into the credit card portal,
you'll see a few menu options in the top right hand corner of the screen and we want to select
card services and then choose credit line increase from the dropdown menu. Again you
can see here that they're going to ask you the exact same questions as they do on the phone
so you’ll input your annual gross income your monthly housing or rent payments and they will
instantly either approve or decline your request for a credit line increase. The next strategy
is by far the most boring but it's actually been the one that has increased my discover its credit
limit several different times over the years and that is just wait for an automatic increase.
I know that's probably not what you want to hear if you're watching this kind of video but
I've only actually successfully requested an increase one or two times but a majority of
the credit limit increases that discover has given me over the past several years have been
automatic increases that happened regularly one or two times each year. Again this is going to depend
on all those variables that we just talked about but you may be surprised to wake up one day and
find out that your limit was doubled overnight so if nothing else just be patient and it's very
likely that you'll get that automatic increase eventually. Alright and the 5th and final way
to get a credit limit increase with the discover it credit card is one that I have not personally
used but would technically work and that would actually be applying for a new discover it credit
card. Now this is not the first strategy that I would go for since these are beginning credit
card products and if you're ready to move on to a new card then there's lots of other options
on the market to take your credit card game to the next level. However if you currently have
the standard cash back credit card but you're interested in there travel card or maybe the
gas and restaurant credit card then you could absolutely go ahead and apply for one of those,
increase the rewards on one of those specific categories and by having two credit cards,
this would likely increase your total available credit with discover. That one is definitely a
more niche solution but again discover has a ton of different credit card options so this might be
worth checking out if you're looking to get that credit limit increase. So we've talked about this
topic before but in the context of the discover it credit card specifically, why should you even
bother requesting an increase? Well it largely revolves around your credit utilization. Remember
that your utilization is simply a percentage your total available credit that you are actively
using. So if you have a credit limit of $1000 and you spend $1000 then your utilization is 100%
which is really bad. Like I mentioned earlier I always try to keep my utilization below 10%
meaning if you have that same $1000 credit limit you wouldn't want to spend more than $100 on that
card. Now as I've explained before that doesn't mean that you can only spend 100 bucks a month,
what you can actually do is just pay off the card before your statement arrives but by increasing
your credit limits, you are likely decreasing your utilization if your spending stays the same. So
if you spend that 100 bucks on a $1000 credit limit then that would be 10% utilization but if
you get your limit increased to $2000 then that same $100 of spending is now only 5% utilization
and again that is good for your credit score. And with the discover it credit card specifically,
because this is a beginner credit card product meaning a lot of their users either have no credit
history at all or are rebuilding damaged credit, you are able to drastically increase your credit
score at a rapid pace unlike any other time in your life most likely. I had zero credit when
I got this card and I went from zero to the low seven hundreds in a matter of months. But
since then my score really has only fluctuated by maybe 10 or so points at a time and it's taken me
years to go from low seven hundreds to high seven hundreds by using other credit cards.
My point being, you're able to influence your credit score at a much faster pace if you are just
getting started which is why getting that credit limit increase with something like the discover it
credit card could be incredibly beneficial if this is the only credit card that you currently have.
The last thing I want to mention is as you can probably tell, most of the strategies that we
looked at today are largely decided by a computer in a matter of seconds and that computer is really
just looking at an algorithm and making a yes or no decision so if all else fails, it doesn't hurt
to call the number on the back of your card and talk to a real person because as I've said many
times before, discover's customer support is second to none and that's no guarantee that a
live agent will be able to give you a credit limit increase but they may be able to ask you more in
depth questions and get a better understanding of why you want that limit increase and if discover
is able to offer that to you. It's a 5 minute conversation that could increase your credit
limits which therefore decreases your utilization which, increases your credit score which,
decreases the interest rate on your loans which could save you thousands of dollars. So trust me
just pick up the phone and call the number on the back of your card, It'll be worth it! If you want
to check out my other videos on the discover it card or sign up for this product and help support
my channel then I will link to those down below the like button. Be sure to hit the like button
and subscribe to the channel for more content like this in the future and of course thank you so much
for your time I really do appreciate it so much. Take it easy and I'll see you in the next one!