Credit Card Limit question.

[megatron]

If my CC limit is £2.5k, and I spend £2k at the start of the month but pay it off straight away. Will my limit go back to £2.5k or do they normally reset after a month?

[Kevin]

If my CC limit is £2.5k, and I spend £2k at the start of the month but pay it off straight away. Will my limit go back to £2.5k or do they normally reset after a month?

Your limit is always fixed (unless your cc company raise/lower it for whatever reason), it's your balance that changes as you spend, pay money in.

So, if you spend 2k, your limit will still be 2.5k, but your balance will be 2k, with £500 available credit.

If you then pay 2k back to your card, (takes about 3 days to clear onto your card normally). Your limit is still 2.5k, but your balance is zero and your available credit is back at 2.5k, ready to use again.

Hope this makes sense.

[LV426]

The amount available to spend is
Your limit (which as Kevin says doesn't routinely change)
minus your outstanding balance
minus any pre-authorised amounts for transactions not yet posted
minus any amounts repaid that are not yet "cleared"

[megatron]

Cheers for the replies guys. :)