Yes, you read that correctly, i was approved for just Rs.1000 extra credit limit. American Express is one of the well known companies that can double your credit limit on decent spend. In fact, even my credit limit was doubled on my previous request, which was after 6 months of card setup date. However, I wasn’t so lucky this time and I know why.
How to Increase Credit limit on your American Express Credit Card:
Earlier, to increase the credit limit, you need to call support and take a request to review your account “based on spend”. Your limit will be raised within 2 weeks and you’ll receive an SMS once the new limit is approved.
Now, all you need to do is call their support and they can increase the limit right away, almost instantly and the new limit will reflect within a day. So you might ask, how are they able to increase the limit without looking into the CIBIL score.
Recently I found that Amex has your UPDATED cibil score with them and they no longer need to put a hard enquiry.I found this when one of my friend tried for limit enhancement and was denied over call in seconds stating that his CIBIL score is less and his report has some issues which he then found out to be right. So i asked my friend to read the article on how to increase CIBIL score to 800+ 😀
But interestingly, his report has no inquiry from Amex. Looks like CIBIL maybe providing the score details with latest status of the user’s CIBIL account when companies report the user data to CIBIL system.
My Experience with Amex Credit Limit Enhancement:
So coming to my story, i recently closed my Sbi elite card which means overall utilization ratio may go up. That being said and also to see how much more limit Amex can offer me in short span of 3 months, i went with limit enhancement on my Amex platinum travel card. It goes like this,
Day 1: I called up Amex support, but as credit team was busy, he said he took a request to review the ac in 48 hrs and revert back. But I declined saying that I wish to know the possible limit over call to decide, so I’ll call later sometime. He agreed and I disconnected
Day 2: I called up again and requested the credit team to look into my ac for enhancement. This time I’m connected to credits team and now the person said, “your credit limit has already been increased by “Rs.1000″ and next request can happen only after 3 months” even if I wish to submit IT docs. WTH?! I was also said I can’t revoke this enhancement, well, who needs 1k limit ?!
So finally, the first guy ruined the process! The reason why Amex system approved for such a tiny limit is because I did not use this card at all except for some ~Rs.10,000 expense in past 3 months. On that too, I received couple of refunds/cashback.
So basically the effective usage is only 5k or so and it’s obvious that their automated system approved a very small limit based on the spend.
I know this already which is why I want to first check with them before I go with the new limit. But bad things happen and I din escalate this issue as I’m neither desperate on the limit, nor have time.
Lessons learned with Amex Credits Team:
- First limit enhancement can happen after 6 months of card setup date
- Subsequent limit enhancement can happen every 3 months
- Amex don’t need IT returns for limit enhancement. Your spends are considered, which is good.
- Your spends post the last LE is only considered
- High spend = 2x limit.
- Maximum limit you can avail is 2X of current limit on each review.
- Be careful with support guys as they take requests proactively to help customers, which doesn’t help at times tough.
- Send ITR copy for LE if spends are low.
So that’s my experience with American Express credit limit enhancement. I still love them and will continue to, for the kind of offers they provide and for the level of service they deliver, except this time. I regularly use their Amex Makemytrip Offer and others like Amex Ezeego1 Offer which does save a lot of money, about 10k in savings in weeks time as DIRECT cashback.
What’s your experience with Amex credit limit enhancement? How much did you spend and how much limit more did they offer? And did anyone received more than 2X limit in one shot? Your comments are valuable to many. Please share them below.