InvestorQ : How does credit limit work in case of add-on credit cards?
Ashok Patkar made post

How does credit limit work in case of add-on credit cards?

Answer
image
Anusha Savla answered.
3 years ago
Follow

Credit limit is the maximum amount a bank allows you to borrow from the bank for a short duration. Every bank defines how much credit limit a user gets when he/she gets a new credit card. The individual can spend only up to the credit limit as specified.

In case of an add-on credit card, the credit limit of the cards gets divided, usually equally between the number of cards.

This means that you can’t get additional credit limit on every add-on card.

Let’s assume the primary credit card has a credit limit of Rs 75,000, then the add-on credit card won’t get additional Rs 75,000 as credit. Instead the Rs 75,000 will get divided (usually equally, although this is not a rule) between both the cards.

0 Views