Can we spend more than the credit limit by paying bills immediately to the credit card?

[avikrish]

I have a credit card with 30,000 limit and due to its cashback features, i am using like 70,000 spends with in the statement got generated. (very few months in a year) ,

1) Spend 25000 and next day pay the amount
2) again after 3 days , spend 25000 and again pay the bill so on..

Will using the credit card like this for a few months is fine or will there be any issue?


I tried asking the bank so many times to increase limit but not at all happening

By the way the annual expenditure on the all credit cards for one financial year will not exceed Rs10 Lac.

Please let me know if there any issues using the credit card like this.

 

[Mritunjay]

It is fine as long as the outstanding amount is less than the credit limit.

 

[drakesri]

I have a credit card with 30,000 limit and due to its cashback features, i am using like 70,000 spends with in the statement got generated. (very few months in a year) ,

1) Spend 25000 and next day pay the amount
2) again after 3 days , spend 25000 and again pay the bill so on..

Will using the credit card like this for a few months is fine or will there be any issue?


I tried asking the bank so many times to increase limit but not at all happening

By the way the annual expenditure on the all credit cards for one financial year will not exceed Rs10 Lac.

Please let me know if there any issues using the credit card like this.

As long as the bank allows, you can use it. Few banks dont allow expenses beyond credit limit. Maybe its best to apply for similar cards from different banks.

 

[srikant]

I have a credit card with 30,000 limit and due to its cashback features, i am using like 70,000 spends with in the statement got generated. (very few months in a year) ,

1) Spend 25000 and next day pay the amount
2) again after 3 days , spend 25000 and again pay the bill so on..

Will using the credit card like this for a few months is fine or will there be any issue?


I tried asking the bank so many times to increase limit but not at all happening

By the way the annual expenditure on the all credit cards for one financial year will not exceed Rs10 Lac.

Please let me know if there any issues using the credit card like this.

Yes, if they won't raise limit, ask some other bank -- even a similar limit basically doubles what you can actually spend on cards without this tedium.

 

[Rohith_Kumar_Sp]

Yes. The for hdfc, icici and axis, other banks idk but it should follow the same. If you have a EMI, then that limit is capped until it's over

 

[0x5f3759df]

Can confirm it works for AmEx cards. Though it might take a few days for the amount to get credited

 

[RAMESH BABU N]

No issue with that style of లో-limit-high-usage.

You say all expenditure on CC is within 10L per year.

Income Tax Dept is keeping track of ALL cardholders who spend over 2L per year, per card, besides tracking cash n forex transactions. In this context, it would be better if you could have multiple cards.