Should I cancel My €8000 Visa / Ask them to Limit it or just dont use it?

First of all congrats on the hard work on paying it off!

I have a CC and I had cut it up with the intention of paying it off it previously, as i realized it was becoming a bad habit and I didn't want to rack up a crap load of debt like you did.

I remember stumbling across a craicin bargain while my CC was torn up and I was a week away from Payday and by the time Payday rolled around, it was to late and I missed it, I thought if only I had the CC I could of gotten that bargain.

So I got the CC back but I keep it at a limit of 1900 for emergencies which there have been a few and I would of been lost without it.

Plus its handy for flights and the such. There are times when I want to buy something that is above my limit in which case I just overpay it and use it that way!

It's certainly true that they're not giving out cards as easily these days, and certainly not with a substantial limit.

While it's obviously in their interest to keep you as a customer, there certainly is a grain of truth in what the person says.

However, if you don't need or can't cope with a limit of that level then you can ask for it to be reduced without an issue.

It won't "repair" your credit history as such (any problems you had stay on your credit report for 5 years after they've been sorted, irrespective of how well you manage your other financial products), but responsible management of an account showing on it will never do any harm either

I had a limit of 5k myself for years. In the good times i could even increase or decrease that limit myself online. I increased it from 3k to 5k many years ago but having worked for 2 credit card companies in the past i knew the pitfalls.

I never really needed that amount and i never really spent that much on it. A 'problem' you may run into in the future if you dont use the card is that the bank may reduce that limit on you anyway. They sent me a letter saying my limit was going to be reduced to 1k and it did straight away. In the past they had sent me credit card cheques at advantageous interest rates (less than 5% or even 0% for first 6 months in an attempt to get me to use the facility, or thats how i saw it). Basically, i think you should keep the card based on your history. You have seen the pitfalls at first hand now and paid for it.

I would reduce it to 2k if you want some peace of mind but thats up to you, you know what the story is now. Get yourself a debit card if you dont have one already, spend what you can afford and use the credit card liberally. One item i always put on my cc was flights, purely because of the built in travel insurance with that card but that differs from each cc provider. Its also useful for significant purchases that you may require some reduced fraud liability, ie online. Apart from that, theres no real difference with a cc and a debit card.

Interesting debate. I can see the advantages and disadvantages of both sides. I didn't actually realise there was such a problem these days in getting a new credit card - as noted by the last post.

My own personal decision on this recently, was just to get rid. I ran up a debt on my card to the limit - not nearly as high as the OP, but still, enough for me. All the way up to the limit. After a while of being sick at the thought of it, and I had briefly mentioned it to my sister, she offered to loan me the money to pay it off. Happy days. I did that, and paid her off, bit by bit. Unfortunately, being a bit dim-witted and lacking in self restraint, I built up another nice debt on the card in the meantime. So, I had taken a loan from my sister, and was also after whipping the card back up to its limit in no time.

Good work me.

I took stock of all of this a while back, during last year, and got my ar$e in gear. I started being a bit more frugal, and paid it down. When I had paid it off fully, I happily cut it up, along with cancelling it. And I have to say, I felt fantastic. I have also managed to pay off my sister, and now have actual savings - a first for me since the good old spud picking days of my youth.

Admittedly there are one or two things that one can't buy online using laser - Amazon for one, entry to certain races I do etc, which is a tad annoying, but there are ways around it.

Personally, I feel it was great to get rid of the card. But that was me. I also think now, with savings and having lived without the card for a while, I would hope I could get one again and behave a bit more sanely. If you feel you can hold onto one without racking up a debt again, I'd say work away. They are quite handy.

But if you think yourself that you might run up a debt again, cancel the demon, and have a little cutting up ceremony.

You done great for getting your debt down.
But Lets be honest here, having 8000k limit on a Credit card is going to be to much temptation for you.
There is no need for it. Its madness having that limit, if you cant afford to pay it off every month.

If you need €8000 in the future. Get a proper loan. With a normal interest rate.

Credit cards should not be used like that. There handy to have. But you should try to pay them off each Month.

Don't spend Money you have not got as the interest is way to high on them.

My suggestions. Keep the card. Lower the Limit to €1500. Only use it to pay for things you cant pay cash for. Pay it off every Month. Avoid Paying interest at all costs. Get a Normal lone out in the future if you need it.

ive got a c/card the last couple of years now. you have to be the kind of person who can manage their finances properly and bare in mind that its not money burning a hole in your pocket waiting to be spent which a lot of people seem to think but, money you have pay back come your next pay packet. for instance if i was to spend €100 on concert tickets or whatever, then i make sure its paid back when my wages are in my account. larger amounts i usually budget over a set number of months and stick to that amount so i know exactly when it will be cleared.

I wouldnt agree with cutting it up because as said in previous posts, it does cut the stress out of financial emergencies when there is no oher option available. As hard as it is to get a small loan or a c/card these days, then its worth having once you have the common sense to manage it.