Higher credit limit gives you more purchasing power but at the same time, it increases your debts also, if you are not spending responsibly. When you apply for a credit limit raise, lenders follow several criteria to determine your ideal credit limit. Matching those criteria decides the extent of your credit limit. Below are the possible reasons for waitlisting your request for higher credit limit:
- You don't have a repayment history on SlicePay in spite of having an active credit account.
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You have delayed the repayment at your current lender platform or at other lenders in past 12 months.
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You have opened too many accounts in past 8-12 months OR You have applied at too many lending platforms in past 3 months.
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Your outstanding debt is more compared to your per month income/pocket money.
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Your credit utilization is more at the current lender platform or at other lenders.
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Your account was not active for past 3 months.
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Recent delinquencies reported to credit bureaus.
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You don’t have enough income for a credit limit increase.
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Who you know matters. Your friend circle or a lot of peers in your college have not used credit responsibly in the past.
Be informed that lenders check your credit report on every application. Your credit report contains most of the above information.