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If a customer exceeds their given credit card limit, then this may lead to any 0% introductory offers being withdrawn, resulting in higher interest rates, and also charges.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. Rather, it 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% interest for 40 months
Balance Transfer Fee:
2.69%
Purchases:
0% interest for 3 months
Representative APR:
18.9% APR (variable)
More Information

Credit Card Details

Tesco Clubcard Credit Card for Balance Transfers*
  • 0% interest for up to 40 months on balance transfers from account opening
  • 2.69% balance transfer fee
  • 0% interest for 3 months on purchases from account opening
  • Earn Clubcard points wherever you use your card, plus your usual points in Tesco. Terms apply
  • The 0% offer is applied to any balances or money transferred within the first 90 days of opening your account
  • Apply online and get a decision within 60 seconds
  • Annual Fee: £0
More Information

Application Criteria

Tesco Clubcard Credit Card for Balance Transfers*
  • You have an annnual income of at least £5,000
  • You are at least 18 years of age
  • You have a good credit history
  • You live in the UK, or have a British Forces Post Office address
  • You do not currently hold more than 1 Tesco Bank Credit Card
  • You have not applied for a Tesco Bank Credit Card in the last month or have an application currently in progress
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)
The APR, length of promotional offer, and credit limit may vary as they are dependent on your personal circumstances

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 up to 32 months
Balance Transfer Fee:
0.8%
Purchases:
0% for 12 months
Representative APR:
18.9% APR (variable)
More Information

Credit Card Details

Lloyds Platinum 32 Month Credit Card*
  • 0% for up to 32 months from account opening on balance transfers
  • 0.8% fee applies on balance transfers made in first 90 days, 3% fee applies after first 90 days
  • 0% for 12 months from account opening on purchases
  • Lloyds Bank Clicksafe and Internet fraud protection
  • Online servicing with Internet Banking
  • Annual Fee: £0
More Information

Application Criteria

Lloyds Platinum 32 Month Credit Card*
  • You are a UK resident
  • You have had a permanent UK address for 3 years or more
  • You have a good credit rating/history
  • You are aged 18 or over
More Information
0.8% fee applies on balance transfers made in first 90 days, 3% fee applies after first 90 days
Representative Example: 18.9% APR representative (variable). Based on an assumed credit limit of £1,200 and a purchase rate of 18.94% p.a. (variable)
APR and Promotional periods may vary depending on your personal circumstances

0% Credit Card Offers

Balance Transfers:
0% for up to 38 months
Balance Transfer Fee:
2.25%
Purchases:
0% for 6 months
Representative APR:
18.9% APR (variable)
More Information

Credit Card Details

Halifax 38 Month Credit Card*
  • 0% for up to 38 months from account opening on balance transfers made in first 90 days
  • 2.25% balance transfer fee in first 90 days (after 0.75% refund), 3% fee applies after 90 days
  • 0% for 6 months from account opening on purchases
  • Cover against online fraud when purchasing on the Internet
  • Manage your card online using Online Banking and Mobile Banking
  • Annual Fee: £0
More Information

Application Criteria

Halifax 38 Month Credit Card*
  • You are a UK resident
  • You have a regular income
  • You do not have any Count Court Judgements against you
  • You are aged 18 or over
More Information
2.25% balance transfer fee (after refund) in first 90 days, 3% fee applies after 90 days
Representative Example: 18.9% APR representative (variable). Based on an assumed credit limit of £1,200 and a purchase rate of 18.95% p.a. (variable)
The APR and length of the promotional offer are dependent on your personal circumstances

0% Credit Card Offers

Balance Transfers:
0% for 39 months
Balance Transfer Fee:
2.4%
Purchases:
0% for 3 months
Representative APR:
20.9% APR (variable)
More Information

Credit Card Details

Virgin Money 39 Month Balance Transfer Credit Card*
  • 0% on balance transfers for 39 months from date account opened (20.9% APR thereafter)
  • 2.4% balance transfer fee in first 60 days, 5% fee applies after 60 days
  • 0% on purchases for 3 months from the date your account is opened
  • 0% on money transfers for 39 months from date account opened (20.9% APR thereafter)
  • 3.80% money transfer fee in first 60 days , 5% fee applies after 60 days
  • Contactless payments to quickly and securely pay for purchases up to £30
  • Annual fee for card: None
More Information

Application Criteria

Virgin Money 39 Month Balance Transfer Credit Card*
  • You are a UK resident
  • You have a bank or building society account
  • You have a good credit history
  • You are aged 18 or over
More Information
Representative Example: 20.9% APR representative (variable). Based on an assumed credit limit of £1,200 and a purchase rate of 20.9% p.a. (variable)

0% Credit Card Offers

Balance Transfers:
0% for up to 12 months
Balance Transfer Fee:
2.7%
Purchases:
0% for up to 30 months
Representative APR:
18.9% APR (variable)
More Information

Credit Card Details

AA Dual Credit Card*
  • 0% for up to 12 months on balance transfers when a transfer is made in first 3 months
  • 2.70% balance transfer fee
  • 0% for up to 30 months on purchases from account opening
  • Contactless payments
  • Mobile servicing app
  • Annual Fee: £0
More Information

Application Criteria

AA Dual Credit Card*
  • You are a UK resident
  • You have a bank or building society account
  • You have no outstanding County Court Judgements
  • You have an annual income of £8,000 or more
  • You are aged 18 or over
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)
AA Credit Cards are provided by Bank of Ireland UK. AA Finances Services Limited is a credit broker and not a lender

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:-

107 UK 0% credit cards currently avaliable offering:-

  • 0% interest on balance transfers for up to 40 months
  • 0% interest on purchases for up to 30 months