Available credit ration

Discussion in 'Credit Talk' started by Nevo, Dec 19, 2000.

  1. Nevo

    Nevo Guest

    One of the reasons I was given for being denied credit recently was that I was maxed out on my available credit.

    My situation is this: I have $12K in deferred student loans. Since I'm still in school, there is no payment due on these loans. So *of course* I'm maxed out on that line of credit.

    My only other obligation is a single credit card with a $1K limit which I have admittedly kept close to maxed out (but on time.)

    Would it do me good to open another credit card and not use it, to show that I'm not maxed out on my available credit?

    Of course, I will also pay down my existing card, and keep the balance no more than half of my available credit.

    Y'all have been so helpful! Thanks again!

  2. netKat

    netKat Guest

    I would hazard a guess that they mean you have sufficient available credit. Whether or not you are actually using all that credit does not make too much difference in that case.


Share This Page