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Salestax

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if I pay down my credit card balances, will they lower my limits?

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If your accounts are open, in good standing, and there's no history of late payments, paying DOWN your balances should only result in one action, if any: RAISING your limit. I know of no reason it should have the opposite effect, i.e., LOWERING your limits.

Top Contributor
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68 People Helped

Pay them down anyway.  Credit card companies monitor your credit reports for lowered credit scores, missed payments on other cards, or increased balances on your other cards.  If they don't like what they see, they will lower your credit limit to reduce the amount of bad debt you could end up sticking them with.  If your credit line is alreay maxed out then they will automatically lower your limit as soon as you pay down your balance, but they were going to do that eventually anyway.

It is still worth paying down a maxed out balance even if the card issuer might take the opportunity to reduce your limit because leaving that card maxed out for long may make your other card issuers nervous and you could see all your other card issuers start reducing your limits, which causes your credit scores to drop, which could trigger mroe credit line decreases in a nasty chain reaction.  If you have maxed out cards (90% of credit limit used) pay them off NOW!  Then get all your cards below 50% utilization if possible.  A 60% or 75% used card is a huge red flag on a credit report and can kill your scores and chances of getting approved for new credit.

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