How to Reduce Credit Card Limit Permanently - Query & Discussion

[cc_dc_explorer]

As far as I know, SBI, SCB and RBL seemingly look at leverage, but SBI takes it way too seriously.

Yeah I have done exactly that. I've closed some and got credit limits reduced for others and cleaned my CIBIL too.

• Closed IndusInd Legend with 5L CL
• Closed HDFC Regalia Gold and Tata Neu Infinity 3L each
• Closed Axis Magnus 6.6L
• Closed BOB Eazy 1.5L
• Reduced Axis Atlas and Axis IOCL from 6.6L each to 6L each (individual CL reduction is not possible)
• Reduced ICICI Amazon Pay from 6.6L to 3.25L
• Reduced Citi PremierMiles from 4.8L to 2.05L
• Reduced SCB from 3.66L to 2L.
• Left IDFC Select (1.82L), SBI IRCTC (1L), AMEX MRCC (2.08L) and BoB Premier (1.5L) as it is.

Also cleaned up my CIBIL by getting four cards removed which were showing active despite being closed long ago.

• ICICI Coral with 2.5L (and 575 credit balance)
• HDFC Privilege Diners with 3L
• BoB Eterna with 1.5L
• SCB some account without a CL

On the way my CIBIL score improved from 747 to 764. I had some expenses last month so utilisation is now at 18%. I've paid off all those bills so it should come down to single digits next month. Planning to apply for Octane and a bunch of other cards after that.

Oh and also, my employment details in CIBIL are all wrong. The company name is my old company and monthly income is only a quarter of my actual income thanks to one SBI branch aunty. I think this was a reason why I was being rejected for everything.

How did you reduced SCB limit and which card did you had from SCB? I called CS and they said they don't have option to reduce Credit limit.

 

[CyberPsych]

I tried reducing limit to 2L with imobile last month (all cards), but CIBIL report still shows 3 ICICI accounts with full CL. leading to 3x the actual credit available being reported.

Have you succeeded with this?

 

[CyberPsych]

Yes bank says, limit reduction is not possible for Kiwi card. Is there any better card for UPI rewards? I feel 3L is too much for me for this single card and it might be puttting mer in over leveraged category

 

[Astrella]

Have you succeeded with this?

No, I decided it does not matter.

 

[aayusharyan]

AFAIK, only ICICI allows this which is reported to CIBIL.

 

[b4bhar]

AFAIK, only ICICI allows this which is reported to CIBIL.

what about IDFC? They successfully took a request to reduce my credit limit

 

[aayusharyan]

what about IDFC? They successfully took a request to reduce my credit limit

But they do that in a permament fashion, so that means when you want to increase it back, you will have to provide documentation and all...

 

[b4bhar]

But they do that in a permament fashion, so that means when you want to increase it back, you will have to provide documentation and all...

do you mean IDFC? I actually want to reduce my credit limit to ensure i'm not over leveraged. So, will this help?

 

[aayusharyan]

do you mean IDFC? I actually want to reduce my credit limit to ensure i'm not over leveraged. So, will this help?

Once you request IDFC to reduce limit, they will do. That will be updated in CIBIL also, but then to get a CLE, you will have to send income documents and everything which may or may not get your old Credit Limit back...

 

[karuturi24]

do you mean IDFC? I actually want to reduce my credit limit to ensure i'm not over leveraged. So, will this help?

Last time when I tried to reduce my wealth card limit from 3.8L to 1 L, customer care person said 3.5L is the minimum limit for wealth, if you want to reduce the limit to 1L then call will be downgraded to Select variant.

 

[b4bhar]

Last time when I tried to reduce my wealth card limit from 3.8L to 1 L, customer care person said 3.5L is the minimum limit for wealth, if you want to reduce the limit to 1L then call will be downgraded to Select variant.

I was not informed about the downgrade. they just informed me that i cannot increase the limit until 6 months. I told that's fine and he took the request,

 

[mayankcse10]

But they do that in a permament fashion, so that means when you want to increase it back, you will have to provide documentation and all...

Just for information, if you keep the lower limit set for ICICI cards for long enough, eventually your limit will be set as permanent. I decreased my limit from 10L to 2.5L by calling CS. I had the option to increase it back to 10L for about six months and then it vanished. Since last month I have a fresh limit enhancement available to increase it to 4.37L.

 

[b4bhar]

Last time when I tried to reduce my wealth card limit from 3.8L to 1 L, customer care person said 3.5L is the minimum limit for wealth, if you want to reduce the limit to 1L then call will be downgraded to Select variant.

They have successfully reduced my limit to 1L without downgrading my card to select. It still shows as wealth credit card. So, i think this information isn't correct