Credit Card Limit

What is a credit card limit? What is an average credit card limit? What is an assumed credit limit definition? Can a customer get a credit card limit increase?

Here at 0% Credit Card Expert we aim to explain all aspects of 0% credit card offers in the UK, as simply as we can. We have recently seen a large number of credit card customers looking for specific information about credit card limits, such as the questions shown above.

Credit Card Limits Explained

So how are credit card limits explained?

Credit Card LimitA credit card limit is the total spending limit that a credit card provider makes available to the customer.

As a customer using your credit card, you can make purchases up to that spending limit or you can make a balance transfer for up to that amount.

When a customer applies for a new credit card and is accepted, your credit card limit is calculated by the credit card company. This credit card limit is based on your personal circumstances and is partly based on your salary, credit history and the amount of credit you already have available.

If a customer exceeds their given credit card limit, then this may lead to any 0% introductory offers being withdrawn, resulting in higher interest rates, and also charges.

Credit Card Limit Example

Mr Jones makes a Post Office credit card application. He is accepted and given a £5000 credit card limit.

  • Mr Jones can now make purchases, or a balance transfer, of up to £5000 using his credit card.
  • If Mr Jones buys, for example, a new TV at £2000 using the card, then he has £3000 of his credit limit left to use on his credit card.
  • If Mr Jones then pays off the full £2000 amount he has spent, at his next monthly payment, then he once again has the full £5000 credit card limit available, assuming no further purchases have been made.

Assumed Credit Limit Definition

What is the meaning of an assumed credit limit?

All of the popular UK credit cards displayed below have an “assumed credit limit of £1200” as part of their representative example. This representative example is a standard format that is used to to allow UK credit card customers to compare the typical interest rates on different credit cards.

As part of this representative example an assumed credit limit of £1200 is displayed. This assumed credit limit is not the actual credit card limit that a customer is likely to get. A customer could get a £1000 credit card limit or a £9000 credit card limit, for example. The assumed credit limit is simply a common figure used to easily show the representative example in a common format.

Average Credit Card Limits

There are currently no widely available figures for the size of an average credit card limit.

Credit limits are dependant on an individuals personal financial circumstances and all of the credit card companies have varying criteria on deciding on the size of the credit card limits that they will give any new applicant.

Any average credit card limit will vary from one credit card company to another, and often day to day as well depending on the customer and their personal circumstances at the moment of application.

Over recent years we have seen that some credit card companies do however tend to be more generous with their credit card limits, so the following featured 0% cards are most likely to be suitable for a customer looking for a larger than average credit card limit:-

0% Credit Card Offers

Balance Transfers:
0% for 30 months
Balance Transfer Fee:
2.75%
Purchases:
0% for 30 months
Representative APR:
18.9% APR (variable)
More Information

Credit Card Details

Post Office Money Matched Credit Card*
  • 0% for 30 months on balance transfers made within 3 months of account opening
  • 2.75% balance transfer fee
  • 0% on purchases for first 30 months
  • No cash fee when you purchase Post Office Travel Money
  • Manage your account 24/7 with Post Office Money mobile app
  • Annual Fee: £0
More Information

Application Criteria

Post Office Money Matched Credit Card*
  • You are a UK resident
  • You have a bank or building society account
  • You have an annual income of £8,000 or more excluding unemployment benefits
  • You are aged 18 or over
  • You have no county court judgements
  • You must not already hold a Post Office Money Credit Card
More Information
Representative Example: 18.9% APR representative (variable). Based on an assumed credit limit of £1,200 and a purchase rate of 18.9% p.a. (variable)
Post Office Credit Cards are provided by Bank of Ireland UK. Post Office Limited is a credit broker and not a lender

0% Credit Card Offers

Balance Transfers:
0% for 32 months
Balance Transfer Fee:
1.4%
Purchases:
0% for 3 months
Representative APR:
18.9% APR (variable)
More Information

Credit Card Details

HSBC Credit Card*
  • 0% interest for 32 months on balance transfers made within 60 days of account opening
  • 1.4% balance transfer fee (minimum £5)
  • 0% on purchases for 3 months from account opening
  • At the end of 0% offer period, balance transfers and purchases will revert to standard variable rate
  • home&Away rewards programme giving you instant discounts from well-known brands
  • Online account management
  • Annual Fee: £0
More Information

Application Criteria

HSBC Credit Card*
  • You have an annual income or pension before tax of £8,500 or more
  • You are a UK resident, including Isle of Man and Channel Islands
  • You are aged 18 or over
  • You do not hold an HSBC Basic bank account
More Information
£25 cashback when use card for minimum of £100 for either purchase or balance transfer within 60 days of account opening (terms apply)
Representative Example: 18.9% APR representative (variable). Based on an assumed credit limit of £1,200 and a purchase rate of 18.9% p.a. (variable)
Credit is subject to status

0% Credit Card Offers

Balance Transfers:
0% for 32 months
Balance Transfer Fee:
0.99%
Purchases:
0% for 6 months
Representative APR:
18.9% APR (variable)
More Information

Credit Card Details

M&S Transfer Plus Credit Card*
  • 0% for 32 months on balance transfers made within 90 days of account opening
  • 0.99% balance transfer fee, minimum £5
  • 0% on purchases for 6 months from account opening
  • Collect M&S points every time you shop anywhere in the world with your card
  • Preferential rates when you use your card to order M&S Travel Money
  • Manage account online
  • Annual Fee: £0
More Information

Application Criteria

M&S Transfer Plus Credit Card*
  • You are a UK resident
  • You have a UK bank or building society account
  • You are aged 18 or over
  • You have not held a credit card with M&S Bank within previous 12 months
More Information
Representative Example: 18.9% APR representative (variable). Based on an assumed credit limit of £1,200 and a purchase rate of 18.9% p.a. (variable)

0% Credit Card Offers

Balance Transfers:
0% for up to 37 months
Balance Transfer Fee:
1.99%
Purchases:
0% for 3 months
Representative APR:
18.9% APR (variable)
More Information

Credit Card Details

Post Office Money Balance Transfer Credit Card*
  • 0% for up to 37 months on balance transfers made within 3 months of account opening
  • 1.99% balance transfer fee applies
  • 0% on all purchases for the first three months
  • No cash fee to buy travel money at the Post Office
  • Manage your account 24/7 with Post Office Money mobile app
  • Annual Fee: £0
More Information

Application Criteria

Post Office Money Balance Transfer Credit Card*
  • You are a UK resident
  • You have a bank or building society account
  • You have an annual income of £8,000 or more excluding unemployment benefits
  • You are aged 18 or over
  • You have no county court judgements
  • You must not already hold a Post Office Money Credit Card
More Information
A 1.99% fee applies and balance transfers must be made within 3 months of account opening
Representative Example: 18.9% APR representative (variable). Based on an assumed credit limit of £1,200 and a purchase rate of 18.9% p.a. (variable)
Post Office Credit Cards are provided by Bank of Ireland UK. Post Office Limited is a credit broker and not a lender

0% Credit Card Offers

Balance Transfers:
0% for 25 months
Balance Transfer Fee:
2.9%
Purchases:
0% for 25 months
Representative APR:
18.9% APR (variable)
More Information

Credit Card Details

M&S Shopping Plus Credit Card*
  • 0% for 25 months on balance transfers made within 90 days of account opening
  • 2.9% balance transfer fee, minimum £5
  • 0% on purchases for 25 months from account opening
  • Collect M&S points every time you shop anywhere in the world with your card
  • Preferential rates when you use your card to order M&S Travel Money
  • Manage account online
  • Annual Fee: £0
More Information

Application Criteria

M&S Shopping Plus Credit Card*
  • You are a UK resident
  • You have a UK bank or building society account
  • You are aged 18 or over
  • You have not held a credit card with M&S Bank within previous 12 months
More Information
Representative Example: 18.9% APR representative (variable). Based on an assumed credit limit of £1,200 and a purchase rate of 18.9% p.a. (variable)

0% Credit Card Offers

Balance Transfers:
0% for 12 months
Balance Transfer Fee:
0%
Purchases:
0% for 12 months
Representative APR:
17.9% APR (variable)
More Information

Credit Card Details

Nationwide Credit Card just for Nationwide members*
  • 0% on balance transfers for 12 months from account opening
  • 0% balance transfer fee within first 3 months, 2.4% fee applies after, minimum £5
  • 0% on purchases for 12 months from account opening
  • Commission free allowance on purchases abroad (subject to terms)
  • Manage account online
  • Annual Fee: £0
More Information

Application Criteria

Nationwide Credit Card just for Nationwide members*
  • Our credit cards are just for members. You’re a member when you have a current account, mortgage or savings account with us
  • You have been living in the UK for the last 12 months
  • You have a gross income each year of more than £5000
  • You have a good credit history
  • You are aged 18 or over
More Information
Representative Example: 17.9% APR representative (variable). Based on an assumed credit limit of £1,200 and a purchase rate of 17.9% p.a. (variable)

Credit Card Limit Increase

Over recent years and since the banking crisis began, the credit card companies have tended to offer lower initial credit card limits to many customers.

As a result many UK customers will often look to get a credit card limit increase. To request this increase in your credit limit a customer needs to contact the credit card company and request a credit card limit increase.

Many credit card companies will often consider an increase in a customers initial credit limit, only after the customer has had the card for around 6 months or more.

The card company will usually want to see that the customer has used the credit card responsibly, by making payments on time and staying within their existing credit card limit, before agreeing to provide a larger credit card limit.


Related Content From 0% Credit Card Expert:-

Today on 0% Credit Card Expert there are:-

93 UK 0% credit cards currently avaliable offering:-

  • 0% interest on balance transfers for up to 37 months
  • 0% interest on purchases for up to 30 months