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A good credit limit is above $30,000, as that is the average credit card limit, according to Experian. To get a credit limit this high, you typically need an excellent credit score, a high income and little to no existing debt.
What qualifies as a good credit limit differs from person to person, though. For someone with no credit, for example, a $500 credit limit is good because most beginner credit cards start off with lower limits. But for very experienced borrowers with a lot of disposable income, a good limit is much higher.
Good Credit Limits by Age Group
| Age Group | Good Credit Limit |
| Gen Z (18-24) | $9,000 |
| Millennials (24-39) | $22,000 |
| Gen X (40-55) | $34,000 |
| Baby Boomers (56-74) | $39,000 |
| Silent Generation (75+) | $32,000 |
Note: A good credit limit is slightly higher than the average for each age range, based on 2020 Experian data.
Remember, it’s best for your credit score to use 1% to 10% of your credit limit each month, and no more than 30%.
This answer was first published on 03/29/22 and it was last updated on 12/08/22. For the most current information about a financial product, you should always check and confirm accuracy with the offering financial institution. Editorial and user-generated content is not provided, reviewed or endorsed by any company.
Do you mean on a single card? Or combined limit?
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People also ask
a $5,000 credit limit is good if you have fair, limited or bad credit, as cards in those categories have low minimum limits. The average credit card limit overall is around $13,000, but you typically need above-average credit, a high income and little to no existing debt to get a limit that high.
Best Credit Cards for a $5,000 Limit
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The average credit card limit for a 25-year-old is almost $13,000. This is actually the average credit card limit for Generation Z, which includes 25-year-olds. That said, credit card limits depend a lot on a person’s credit standing, and the higher the score, the more credit you’ll get.
However, your credit score is not the only factor issuers take into account when determining credit limits. Income and debt play important roles as well, so knowing the average...
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It's good to have a higher credit limit if you need to reduce your credit utilization ratio, want to have a safety net in case of financial emergencies or if you want to earn more rewards.
The credit utilization ratio shows how much of your available credit is actually used. A ratio higher than 30% can hurt your credit score.
The major downfall of having a higher credit limit is that you could...
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FAQs
A good credit limit is above $30,000, as that is the average credit card limit, according to Experian. To get a credit limit this high, you typically need an excellent credit score, a high income and little to no existing debt.
What is a good credit limit? ›
If you're just starting out, a good credit limit for your first card might be around $1,000. If you have built up a solid credit history, a steady income and a good credit score, your credit limit may increase to $5,000 or $10,000 or more — plenty of credit to ensure you can purchase big ticket items.
Is $2500 credit limit good? ›
Chip Lupo, Credit Card Writer
a $2,500 credit limit is good if you have fair, limited or bad credit, as cards in those categories have low minimum limits.
Is $4,500 a good credit limit? ›
No, $4,500 is not an especially high credit card limit. Generally, a high credit card limit is considered to be $5,000 or more, and you will likely need at least good credit and a solid income to get a limit that high. A credit limit of $4,500 is also lower than the average credit card limit.
Is $100,000 credit limit good? ›
Adam McCann, Financial Writer
Yes, $100,000 is a high credit card limit.
What should I choose as my credit limit? ›
Generally speaking, it may be helpful to have a reasonably high credit limit, but using a relatively low percentage of it. This often looks best to lenders, as it shows you can borrow credit, but you're not heavily reliant on it.
What is a good level of credit? ›
Credit scores are calculated using information in your credit report. Credit scores from 660 to 900 are generally considered good, very good, or excellent. There's no “magic number” to reach when it comes to receiving better loan rates and terms.
What is a normal credit limit for a 25 year old? ›
In 2022, Generation Z (ages 18-25) averaged a total credit limit of $11,290 across all credit accounts, far lowest among the five generations presented. Baby Boomers top the list with a $40,318 total credit limit on average.
How to get a $30,000 credit card limit? ›
To get approved for high-limit credit cards, you'll most likely need to have good or excellent credit and a steady income to support a higher credit limit. Picking the right card is important, too. You may be able to find the minimum starting credit limits listed in some cards' terms and conditions.
What credit limit can I get with a 750 credit score? ›
What credit score is needed to get a high-limit credit card?
| VantageScore 3.0 credit score range | Average credit card limit |
|---|
| 300–640 | $3,481.02 |
| 640–700 | $4,735.10 |
| 700–750 | $5,968.01 |
| 750+ | $8,954.33 |
Mar 15, 2024
Average FICO 8 score by age
| Age group | Average FICO 8 score |
|---|
| 30-39 | 692 |
| 40-49 | 706 |
| 50-59 | 724 |
| 60+ | 753 |
1 more rowMar 7, 2024
To figure out your DTI, simply divide your total monthly debt by your gross monthly income—the lower your percentage, the better. Many lenders prefer a DTI below 36%. A lower DTI paired with solid income could unlock a higher credit limit.
What credit card has a $5000 limit with bad credit? ›
The U.S. Bank Altitude Go Visa Secured Card is the best option if you have limited/poor credit and are looking for a high credit limit. You can deposit anywhere from $300 to $5,000, making your maximum credit limit available $5,000.
What is an impressive credit limit? ›
A good credit limit is above $30,000, as that is the average credit card limit, according to Experian. To get a credit limit this high, you typically need an excellent credit score, a high income and little to no existing debt.
Who gives the highest credit limit? ›
Best high-limit credit cards
- Chase Sapphire Preferred® Card.
- Chase Sapphire Reserve®
- The Platinum Card® from American Express.
- Chase Freedom Unlimited®
- Capital One QuicksilverOne Cash Rewards Credit Card.
- Platinum Secured Mastercard® from First Tech Federal Credit Union.
How to Achieve a $20K Credit Limit
- Apply for a High-Limit Card. Explore credit cards designed for individuals with good or excellent credit. ...
- Improve Your Credit Score. Your credit score is an important factor that card issuers consider when determining your credit limit. ...
- Increase Your Income.
You should aim to use no more than 30% of your credit limit at any given time. Allowing your credit utilization ratio to rise above this may result in a temporary dip in your score.
Is a 2 000 credit limit good? ›
Yes, a $2,000 credit limit is ok, if you take into consideration that the median credit line is $5,394, according to TransUnion data from 2021.
