Citibank Credit card increase.

[Deleted member 6404]

Hi all, just got an email of an instant $10000.00 increase on my Signature CC if I would like to accept it. Is this a good offer to take up, has anyone else has had the same offer , and have accepted it. What are pit falls if any?

Easy money, must be a catch somewhere.
Thoughts.

 

[glasszon]

It's actually an invitation to apply for a credit increase, so they will run a credit check before approving the credit increase. Not so good if you churn through credit cards and have lots of credit checks already or if you are planning to apply for another cc soon.

 

[oz_mark]

It's actually an invitation to apply for a credit increase, so they will run a credit check before approving the credit increase. Not so good if you churn through credit cards and have lots of credit checks already or if you are planning to apply for another cc soon.

My experience with Citibank increases, is that there is no credit check.

 

[cove]

When I applied for a third Citibank CC to bag a fresh 120,000 Virgin points they declined and told me I was already at 112,000 in total credit limits. I always pay them to zero but no new CC for me.
Going forward I may drop the credit limit on the one I use the most since Prestige dropped the points earn as well as the increase of what they now don’t pay points on.

 

[glasszon]

My experience with Citibank increases, is that there is no credit check.

I stand corrected, didn't realise Citibank have a different policy, guess I should check the box for credit limit increase invite then.

 

[Legoman]

My experience with Citibank increases, is that there is no credit check.

Mine too. In my experience there are two kinds of credit limit increase offers. Some are 'hard' and others 'soft'. The peronally addressed and targeted ones with an invitation wording saying something like just visit our website and click the box that says you'd like to take up the limit increase are the nice easy ones. Accept those if you want. They come with no credit checks and no requirement to submit financial information.

The harder ones are generically worded invitations with the small print requirement that you need to submit payslips and employment information prior to a credit check before you get approved. Throw those in the bin or use the backs as recycled printer paper instead.

 

[Deleted member 6404]

I decided to take the plunge and accepted, bang got the extra 10k without any checks, sweet, might start looking for a car yard that's willing to take CC for full payment.

 

[Legoman]

I decided to take the plunge and accepted, bang got the extra 10k without any checks, sweet

May as well. Can't see much downside. A while ago I would have said definitely take it because Citibank used to give away free money on BT requests you could then withdraw as a free bank cheque, but alas they don't seem to be offering this anymore.

might start looking for a car yard that's willing to take CC for full payment.

Gawd... don't do this. Modern cars are absolute coughe (regardless of brand) and buying brand new from a dealer is just about the fastest depreciating, low quality asset it's possible to buy. I'd almost recommend buying Bitcoin before a new car! Almost!

 

[Happy Dude]

I don't see the point unless you're able to get a free BT out of it. The conversion rates stink on the fee-free Citi Signature so the only reason, IMHO, to keep the card is the priority pass.

I was able to garner a few points from a car purchase by paying in $5k lots on an AmEx. Payments above $5k had a 3% fee. I managed 7 payments before it had to be settled so it could be shipped.

 

[Deleted member 6404]

May as well. Can't see much downside. A while ago I would have said definitely take it because Citibank used to give away free money on BT requests you could then withdraw as a free bank cheque, but alas they don't seem to be offering this anymore.


Gawd... don't do this. Modern cars are absolute coughe (regardless of brand) and buying brand new from a dealer is just about the fastest depreciating, low quality asset it's possible to buy. I'd almost recommend buying Bitcoin before a new car! Almost!

Unfortunately I missed the B C train years ago when I was asked if I wanted to buy a few grands worth, lol they were about 10$ each coin then. Aahh who cares, its only money.

 

[Legoman]

I don't see the point unless you're able to get a free BT out of it. The conversion rates stink on the fee-free Citi Signature so the only reason, IMHO, to keep the card is the priority pass.

Where is there a better fee-free, Visa, points earning, 55 day interest free card available in Australia?

 

[Deleted member 6404]

Where is there a better fee-free, Visa, points earning, 55 day interest free card available in Australia?

So true.

 

[Legoman]

So true.

You don't have to be the best by a mile, you only have to be ever so slightly better than second best and you still win.

 

[Happy Dude]

Where is there a better fee-free, Visa, points earning, 55 day interest free card available in Australia?

Fee free? Probably isn't one, but depending on your spending, paying a fee may gain more points. But yep, it's a shallow pond we're fishing in.

 

[Arrow29]

I've held my Signature for years since it's fee free, but the points devaluation on earn / transfer rates has got me thinking whether it's worth cancelling it if required to free up credit limit for sign-on bonus applications going forward. I have a good credit score and haven't been declined yet, but I figure if I push my luck the $15k min credit limit on the Signature might be the tipping point at some stage..tricky one as a fee free for life reward card probably won't come back again if I do cancel!

I've got 2 Amex's and recently just got my 120k velocity points through the Virgin High Flyer sign on (which also earns $1pt/dollar, as opposed to 0.5pt/$ for the citi). Next application will be for the Amplify I think.

 

[burmans]

Where is there a better fee-free, Visa, points earning, 55 day interest free card available in Australia?

The value in credit cards is the signon bonuses, not the ongoing earn rate unless you are putting 100s of k through your card!

 

[Legoman]

The value in credit cards is the signon bonuses, not the ongoing earn rate unless you are putting 100s of k through your card!

That's no doubt true, but there's very much a limit now with comprehensive credit reporting to how often you can sign up to new cards before the costs in terms of your credit worthiness score in doing so, outweigh and negate the benefits of the points you earn.

 

[lovetravellingoz]

That's no doubt true, but there's very much a limit now with comprehensive credit reporting to how often you can sign up to new cards before the costs in terms of your credit worthiness score in doing so, outweigh and negate the benefits of the points you earn.

Well unless you are young/low income/retired, that limit in terms of multiple credit applications per year is still high enough to churn many cards per year to rake in all the best bonus deals on offer.

 

[Legoman]

Well unless you are young/low income/retired, that limit in terms of multiple credit applications per year is still high enough to churn many cards per year to rake in all the best bonus deals on offer.

Sure, but then your credit score will reflect a desperation status, such that further applications will get increasingly harder. Then you will start to get rejections and rejections on your file will make it look 10x worse still, which will breed even more rejections. Very quickly you'll find that no financial institution will touch you for a credit application and that stain will take years to rub away (if ever).

 

[lovetravellingoz]

Well as I have been doing this for well over a decade in a large way, and probably took my first sign on bonus about 3 decades back, have good records with two banks over many decades, ample assets, flawless payment record etc etc, I will just agree to disagree and will continue on my merry churning way.


I don't worry about the sign-ons of poor value. But any of the good value sign-ons are there for the taking still.