Question from a reader:
The available limit on my JCB card has been raised from 1.5 million to 2 million yen. If I do not delay payments in the future, will this limit not decrease?
Considering the Increase in JCB Card Limits
Recently, I heard the news that the available limit on JCB cards has been raised from 1.5 million yen to
2 million yen. There are various backgrounds to this, but in response to the question from a reader, I would like to think about the future limits. The question is, “If I do not delay payments, will this limit not decrease?” This is actually a somewhat complex issue.
The Relationship Between Credit Cards and Limits
First, let’s review the basics of credit card limits. The limit refers to the maximum amount set by the card company for card usage. Typically, this amount is determined based on the user’s credit information, income, and past usage history. When I first got a credit card as a university student, my limit was set low, but it gradually increased as I continued to use it. Of course, this was because I used it appropriately without delaying payments.
Reasons for the Limit Increase
Now, there are several reasons for the recent increase in the JCB card limit. First, the improvement in the economic situation. Recently, the economy has been on a recovery trend, and many card companies are beginning to offer favorable conditions to users. In particular, there seems to be a movement to actively cultivate the credit of the younger generation. Additionally, the creditworthiness and payment history of JCB card users are likely significant factors. By not delaying payments, trust from the card company increases, making it a natural progression for the available limit to be raised.
Will the Limit Decrease?
Now, back to the crucial question. Regarding the point, “If I do not delay payments, will this limit not decrease?” generally speaking, as long as you do not delay payments, the limit should not decrease, but it is not absolute. What is important here is how the card company evaluates the user’s credit information. For example, card companies regularly check users’ credit information. This includes other borrowing situations, credit scores, and fluctuations in income. If, for some reason, negative elements increase in the credit information, there is a possibility that the limit may be reduced. A friend of mine has also experienced a decrease in their limit. He received a notification from the card company due to a sudden decrease in income. Of course, he had not delayed payments, but his credit evaluation had declined, resulting in a decrease in his limit. Thus, limits can fluctuate due to many factors.
The Risks of Payment Delays
Delaying payments not only lowers the limit but also negatively impacts credit information. If credit information deteriorates, it may hinder future borrowing or credit card usage. This is something I felt while working part-time at a judicial scrivener’s office. Among the clients, there were many cases where significant losses were incurred due to payment delays. In particular, credit card users tend to think, “A little delay is okay,” but in reality, credit evaluations are assessed strictly. Credit card companies manage limits appropriately to avoid users losing their credit.
Future Strategies and Advice
So, what can be done to maintain or increase the limit? First and foremost, it is essential to never delay payments. It is important to have a clear understanding of your income and expenses and to use your credit card in a planned manner. Specifically, you should anticipate your monthly payment amounts in advance and aim for usage within a comfortable range. Additionally, attention must be paid to other borrowing situations. If you have other cards or loans, it is crucial to consider how they might affect your credit information and to avoid using them excessively. Of course, while using credit cards is convenient, overconfidence is dangerous. When using them, it is important to carefully consider how much repayment capacity you have and to use them within a manageable range.
Conclusion
The increase in the JCB card limit is great news, but it requires responsible action regarding future usage. It is essential to pay attention not only to avoiding payment delays but also to maintaining other credit information. To prevent the limit from decreasing, it is important to use the card thoughtfully on a daily basis and to build credit. I personally intend to act cautiously regarding future card usage. I hope everyone can use their credit cards wisely and enjoy a wonderful lifestyle.
