Q&A Video: How Do Credit Card Issuers Adjust Their Risk Level?

John Ulzheimer

John Ulzheimer | Q&A Videos

Jul 31, 2015

Credit card issuers give out higher credit limits to less-risky borrowers with a history of responsible credit use, and lower credit limits to riskier borrowers. But how exactly do issuers determine how high of a credit limit to provide for a particular cardholder? When increasing the credit line of one person, do they need to take part of someone else’s credit limit away, like a zero-sum game situation?

Learn the answers to these questions and more in our video with credit expert John Ulzheimer.

Was this helpful?

The Insider

Brendan Harkness
Best Balance Transfer Credit Cards – 2017
Brendan Harkness | May 15, 2017

Balance transfers let you move debt from a high-interest account to one with lower (or zero) interest, but which cards have the best offers? Find out here.

Read More
John Ganotis
U.S. Bank Altitude Reserve Visa Infinite Card Review: Is it worth the $400 annual fee?
John Ganotis | May 11, 2017

The U.S. Bank Altitude Reserve Visa Infinite Card has lots of benefits, but is it worth the $400 annual fee? Read our review to decide for yourself.

Read More
John Ganotis
MasterCard® Black Card™ Review: Is it worth the $495 annual fee?
John Ganotis | Mar 01, 2017

The MasterCard® Black Card™ is a metal credit card for people who travel frequently. But are its benefits worth the $495 annual fee?

Read More