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There may be several different reasons to change your card. Perhaps your expenses have gone up since you got your first starter card. Or you may want your card to do more for you.
A credit card upgrade may come with additional features, such as a short-term loan or ATM withdrawal facility.
Read on to see how you can upgrade your card and what to consider before switching cards.
Changing your credit card can be an issue because it has some limits.
If you close your current credit card:
Therefore, it's better to go for a credit card upgrade instead. Here's how you can do that.
Before you upgrade your credit card, remember to check your credit score. You want to ensure that you can qualify for a higher credit limit and better benefits. Improving your credit score will give you a better chance at a credit card upgrade.
Explore the different types of credit cards available to you and compare them based on their rewards programs, fees and interest rates.
Ask about upgrading your card with your credit card issuer. They may have specific requirements or promotions that you can take advantage of.
Your credit card issuer may need you to provide updated information, such as your income, employment status and credit history.
Depending on the credit card issuer, it may take a few days or weeks to receive approval for a credit card upgrade.
After receiving approval and the new credit card upgrade, activate it and start using it to enjoy the enhanced benefits and rewards.
Get 10%* cashback when you dine or shop for groceries, and have fun with extra cashback. T&Cs apply.
You can get access to various benefits when you upgrade your credit card, including better rewards, credit limit, credit score and perks.
When upgrading your credit card, there are a few points you need to keep in mind to ensure you can make the best of the process.
Timely payments: Your payment history is a crucial aspect of your credit score. Late payments may have a significant impact on your credit score. If you pay your bills on time, you don’t have to worry.
Increase your credit limit: Wondering how to upgrade credit card limit? Check with your credit card issuer if they can increase your credit limit. It will improve your credit utilisation ratio – a comparison of your credit amount to your total available credit limit.
Use your card regularly: Credit card issuers favour customers who actively use their cards. Charge small amounts, such as gas or groceries, each month and promptly pay off the balance.
Pay more than the minimum payment: When you pay more than the minimum payment, you pay down the balance faster, and you'll reduce your overall debt.
Monitor your credit score: Use a service or a free credit report provider to keep tabs on your credit score and receive alerts if there are any significant changes.
Keep your balance low: Credit utilisation is a significant factor in credit scores. Always strive to avoid excessive borrowing and keep your card balance low by making payments throughout the month.
Call your issuer and ask for an upgrade: If you have a good payment history and a high credit score, you may be eligible for an upgrade. Ask your credit card issuer if they have any new credit card offers or upgrade opportunities.
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* 10% cashback is only for dining, food delivery and groceries.
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