Credit Card Limit

THX

macrumors newbie
Original poster
Apr 25, 2005
28
0
I'm a student and I have a credit card, however my limit is of 500$. I would like to purchase an ibook, however this would exceed my credit limit. How can I make such a purchase if my credit card limit is too low? I have more than enough funds in my bank account, however I appear to have some difficulty transfering it.
 

PlaceofDis

macrumors Core
Jan 6, 2004
19,232
4
see if you can get a debit card for your bank account and you should be able to pay for it through your bank account though the debit card without a problem so long as it has a Mastercard/Visa logo
 

mkrishnan

Moderator emeritus
Jan 9, 2004
29,641
12
Grand Rapids, MI, USA
THX said:
I'm a student and I have a credit card, however my limit is of 500$. I would like to purchase an ibook, however this would exceed my credit limit. How can I make such a purchase if my credit card limit is too low? I have more than enough funds in my bank account, however I appear to have some difficulty transfering it.
Do you mean that you're a high school student, and your card is one of those ones that is co-signed by your parents, or a college student under 18, or...? Anyway, this is what I would suggest, but it might need your parents to talk to the CC company on your behalf and not just you, depending on the circumstances...

Call your credit card company. Many of them will offer temporarily enhanced limits to allow a person to make a large purchase. Perhaps you can mail them the money (a check for the rough figure, to be deposited into your account, as if you were paying an existing balance) *before* you buy the computer.

EDIT: What PlaceofDis said while I was typing is really good advice too. ;)
 

THX

macrumors newbie
Original poster
Apr 25, 2005
28
0
I checked into it, however I am not able to acquire such a card :(
 

THX

macrumors newbie
Original poster
Apr 25, 2005
28
0
mkrishnan said:
Do you mean that you're a high school student, and your card is one of those ones that is co-signed by your parents, or a college student under 18, or...? Anyway, this is what I would suggest, but it might need your parents to talk to the CC company on your behalf and not just you, depending on the circumstances...

Call your credit card company. Many of them will offer temporarily enhanced limits to allow a person to make a large purchase. Perhaps you can mail them the money (a check for the rough figure, to be deposited into your account, as if you were paying an existing balance) *before* you buy the computer.

EDIT: What PlaceofDis said while I was typing is really good advice too. ;)
I'm a college student with a student card and my parents have not co-signed. I will call them to learn if I can receive a temp. limit increased. However, do you mean it would be possible to add funds to my credit-card and over-balance it? ie. instead of having a balance of 0, I could add 500$ to it and essentially would only reach my credit limit if I spent 1000$?
 

mkrishnan

Moderator emeritus
Jan 9, 2004
29,641
12
Grand Rapids, MI, USA
THX said:
I'm a college student with a student card and my parents have not co-signed. I will call them to learn if I can receive a temp. limit increased. However, do you mean it would be possible to add funds to my credit-card and over-balance it? ie. instead of having a balance of 0, I could add 500$ to it and essentially would only reach my credit limit if I spent 1000$?
I'm not sure -- it's definitely possible to overbalance your card, with most companies. I've had it happen for other reasons. With regard to using this to allow you to purchase over your credit limit, I've heard of it being done, but sometimes, their system will be set up so that, even though you will never exceed the limit in your allowable *credit*, you will still be declined because the transaction amount > your limit. But its worth talking to them.
 

ericssonboi

macrumors 6502
Mar 15, 2005
342
0
mkrishnan said:
I'm not sure -- it's definitely possible to overbalance your card, with most companies. I've had it happen for other reasons. With regard to using this to allow you to purchase over your credit limit, I've heard of it being done, but sometimes, their system will be set up so that, even though you will never exceed the limit in your allowable *credit*, you will still be declined because the transaction amount > your limit. But its worth talking to them.
What you do is overbalance your card.
So your limit is $500... and right now you owe $0.
Make a payment of say $700 to your card.
Your new limit would be $1200.
However.. you've technically paid off $700 of the ibook..
So.. you can make your payments of the remaining $500 by your choice..
Pay in full or make your minimum monthly payments..
 

dvdh

macrumors 6502
Apr 6, 2004
429
0
Does apple still take payment via Money Order or Certified Check? Might be worth checking out. Its kind of old fashioned, but still works.
 

840quadra

Moderator
Staff member
Feb 1, 2005
8,091
3,383
Twin Cities Minnesota
dvdh said:
Does apple still take payment via Money Order or Certified Check? Might be worth checking out. Its kind of old fashioned, but still works.
Yes they do, though you have to wait for Snail mail.. They also take wire transfers from your bank.
 

ct77

macrumors member
Jan 6, 2004
84
0
ericssonboi said:
What you do is overbalance your card.
So your limit is $500... and right now you owe $0.
Make a payment of say $700 to your card.
Your new limit would be $1200.
However.. you've technically paid off $700 of the ibook..
So.. you can make your payments of the remaining $500 by your choice..
Pay in full or make your minimum monthly payments..
I suppose this could work, but be careful... give yourself some extra "leeway".

What I mean by that is, credit rating agencies frown very heavily on credit card users who hit their credit limit. It is very bad for your credit rating.

So if you're doing to do this, make sure you "overbalance" your card with enough of a payment so that when you purchase the iBook, you don't hit your credit limit.

Were I you, I'd just pay cash though -- it's probably easier. ;)
 

CanadaRAM

macrumors G5
Don't whatever you do plan on making minimum payments on the credit card -- consumer card debt is the most expensive form of financing and an excellent way to waste money.

Getting in the habit of maintaining a balance on a charge card can dig you into a hole for the rest of your natural days.

My recommendation is to only ever use a charge card for what you can absolutely, positively pay off 100% at the end of the month. If you want to make payments on something, far better to go to your bank or credit union and set up a loan.
 

shane-o-mac

macrumors regular
Jan 24, 2005
130
0
mkrishnan said:
I wonder if anyone buys PMG5's or ACD's with cash. That's a whole lot of greenbacks! :eek: :D
Mmmm...my Mom paid cold hard cash for my powerbook, it was at the apple store of course!.

I think I have a good grasp of your dilemma, if it is a bank/debit card with a $500 daily spending limit you can call your bank and ask for a one time spending limit increase or call in your apple order and explain your situation which is common, and they will work with you. If it is a credit card, then you can overpay as suggested, ask for a credit line increase ( which works if you have been a diligent customer for 12 months or more).

also there is always the option of buying directly from the apple store with cash.

either way I am sure you will figure it out! and the ibook is a great machine! Be sure to take advantage of the $10 upgrade to Tiger if it does not come with your computer.
 

Billicus

macrumors 6502a
Apr 3, 2002
980
2
Charles City, Iowa
You could also check into getting a credit card with a higher limit... If you have been establishing a good line of credit, that should be no problem. I got a CitiBank student card and that has a limit of $2000... which is more than enough for my needs. It also has online banking, if that interests you. Something to look into, at least, if these other options don't seem to pan out for you. :)
 

D0ct0rteeth

macrumors 65816
Mar 11, 2002
1,238
7
Franklin, TN
Cut your card in half.

Buy a used one from someone on this messageboard and save some coin. Pay by paypal from your bank account

Take the remaining money and drop 20 bucks on this book

extra points if you save the 20 bucks and check it out from the library

- Doc
 

iMetalG5

macrumors 6502a
Apr 13, 2005
786
0
do yourself a favor.

DON'T USE A CREDIT CARD. If you have the cash use cash. If you can't get to it right away then WAIT. Be patient.

But since you are young, you should learn that credit cards are EVIL and will get you in trouble.

Don't use them. My friend got into some big trouble with them and destroyed his life for a few years. He inherited a boat load and paid everything off and has a fresh start. He's lucky most people are not.

Good luck and you'll get that iBook soon!
 

G4scott

macrumors 68020
Jan 9, 2002
2,219
2
Austin, TX
iMetalG5 said:
do yourself a favor.

DON'T USE A CREDIT CARD. If you have the cash use cash. If you can't get to it right away then WAIT. Be patient.

But since you are young, you should learn that credit cards are EVIL and will get you in trouble.

Don't use them. My friend got into some big trouble with them and destroyed his life for a few years. He inherited a boat load and paid everything off and has a fresh start. He's lucky most people are not.

Good luck and you'll get that iBook soon!
If you're wise, credit cards can be good, but you do have to be careful.

I never spend more on my cards than what I have in my checking account. I never carry a balance on my cards either. This way, the money stays in my account longer, and is actually there for emergencies, etc.

You might see if you can get some sort of financing. I know Apple used to offer financing for their iMac that was like, a pizza a week or something. You might be able to get something for being a student, but I'm not too sure about that...
 

LethalWolfe

macrumors G3
Jan 11, 2002
9,366
119
Los Angeles
iMetalG5 said:
do yourself a favor.

DON'T USE A CREDIT CARD. If you have the cash use cash. If you can't get to it right away then WAIT. Be patient.

But since you are young, you should learn that credit cards are EVIL and will get you in trouble.

Don't use them. My friend got into some big trouble with them and destroyed his life for a few years. He inherited a boat load and paid everything off and has a fresh start. He's lucky most people are not.

Good luck and you'll get that iBook soon!
:rolleyes:

CC's aren't evil, some people are just idiots when it comes to using them. Having a CC and using it responsibly is a fantastic way to build your credit history and generate a great credit score. Refusing to use a CC can bite you in the @ss down the road when you apply for any type of loan because you have little/no credit history. Which means you are a greater risk. Which means you'll pay a higher interest rate and may not be able to get as big a loan as you want.

I got my first CC when I was 16 or 17, used it responsibly (i.e. paid it off each month), and because of that I have a great credit score which means it's easier for me to get loans and to get lower interest rates on those loans. Heck, because of my credit score the rates on my CC's are so low that if, for some reason, I needed to by 5 decked out PowerMacs it would be cheaper for me to put them on one of my CC's than to get a loan for them.

So, ideally, THX should save up enough cash to cover the iBook, find a way to put the iBook on the CC, then write a check covering the complete cost of the iBook to his CC company. In fact, that's the way a CC should be used. Generally speaking, if you can't pay the bill off at the end of the month you are doing something wrong.


Lethal
 

dotdotdot

macrumors 68020
Jan 23, 2005
2,381
31
As reccomended, Credit Cards are no fun.

The interest rates alone are enough to ruin your life forever.

If you MUST use a card, use a charge card, like American Express - if you dont pay it off you are screwed but its just like paying money except you need to pay them back.

Or just have $500 cash.
 

GoCubsGo

macrumors Nehalem
Feb 19, 2005
35,743
141
I paid cash for my PowerBook $2400 cash. I pay cash for most everything. It is not about a paper trail. It is that the powerbook was expensive as is. If I charged it then I am paying 10-24% more than everyone else. Remember, when you charge something a lot of you will pay interest unless you pay it off right away. If you charge it and can pay it off in 30 days, just wait 30 days and pay cash. Think about it.

Whoever recommended getting a used one and a $20 book about managing money is a freaking GOD!
 

WildCowboy

Administrator/Editor
Staff member
Jan 20, 2005
16,722
1,027
The best thing to do is get a no-annual-fee cash back rewards credit card and be sure to pay off your balance every month. I currently have a CitiBank card that gives me 5% back at gas stations, supermarkets, and drugstores and 1% back everywhere else as my primary card. I also have a card from Chase that gives me 3% back at restaurants and 1% everywhere else.

Credits cards are most certainly not evil if you can use them to your advantage. Interest free loans and cash back in your pocket...what could be better?