If you want to maximize your PayPal account, then the first thing that you need to do is get a PayPal Credit card. Once you’ve done that, you need to use it wisely. Part of using it wisely is knowing when and how to increase PayPal Credit limit. Let’s go over all of this in more detail.
Apply for PayPal Credit
If you haven’t already done so, then you should apply for PayPal Credit. This is a proprietary credit card serviced by Synchrony Bank. Although it’s utilized as a credit card, it’s actually a reusable credit line that’s directly attached to your PayPal account. When you use it, you get a variety of perks. For example, you get 0% interest for six months on purchases exceeding $99.
How to Use PayPal Credit Wisely
Obviously, any time that you access new credit, you want to use it wisely. After all, the point is to improve your financial status, not wreck it with debt. Therefore, with this particular card you should make sure to:
- Always meet the minimum monthly payment. Autopay is a good solution.
- Pay off each 6-month debt within that time frame. Otherwise your interest rate goes through the roof. Moreover, it becomes retroactive.
- Shop with PayPal’s top merchants using the credit line.
- Make sure that you take advantage of the “no return shipping fees” bonus on items purchased using this card.
- Learn when and how to increase your PayPal Credit limit.
What Is Your PayPal Credit Limit?
Just like with every other credit card, your PayPal Credit limit results from a variety of different factors. The card is serviced by Synchrony Bank. Therefore, when they approve you for the card, they’ll set your initial credit line. According to WalletHub, this will be your limit for at least six months. However, at or after six months, you can request to increase PayPal Credit limit.
How to Increase PayPal Credit Limit
According to WalletHub, there are two ways that you can request to increase PayPal Credit limit. There’s an online option through your account. Alternatively, you can call customer service at (866) 396-8254. The PayPal community doesn’t confirm the online account request option. However, it does conform that calling customer service is the right way to approach a request to Increase PayPal Credit limit. If the above number doesn’t work for you, check your monthly credit card statements for the phone number for your account.
Tricky Way to Try to Increase PayPal Credit Limit
Your PayPal account isn’t just linked to your PayPal Credit card, of course. You probably have multiple payment options linked, such as your bank account and perhaps other credit cards. Therefore, you can make a purchase with your PayPal Credit card that exceeds your limit. The transaction will pull all available money from the credit line first. Then it will utilize your additional accounts to complete the transaction. Therefore, the transaction goes through.
Apparently, this sometimes triggers Synchrony bank to increase PayPal Credit limit on your account. Note that this isn’t always going to happen. However, it is one method.
Additional Tips to Improve Likelihood of Credit Line Increase
Like other lenders, Synchrony bank periodically reviews your account to see if they should decrease or increase your credit line. You’ll have a better chance of both automatic increases and approval of requested increases if you:
- Always pay your minimum balance.
- Keep on top of your credit reports. Make sure you maintain a good credit score.
- In particular, stay aware of your debt:credit ratio. Too high and you aren’t a good candidate for an increase.
- Keep your information up to date in your PayPal account. For example, if your income increases, make sure the company knows that.
In other words, be a great borrower and they’ll want to be a better lender.
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