Some questions Purchase Prepaid Credit Card?

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Q. Some questions Purchase Prepaid Credit Card? Has anyone ever prepaid a credit card so that you have a credit balance, and then made a purchase for more than your limit? I've always thought any purchase would be approved as long as it didn't cause your balance due to go over your limit. But my bank was trying to convince me that a common credit card policy is that any one *transaction* may not exceed your limit, no matter what your credit balance is, but multiple transactions to exhaust your credit balance are OK. Has anyone successfully made such a purchase? Where to Purchase Prepaid credit card?

A. - A former coworker used this technique to purchase his computer system. The total purchase amount was higher than his credit limit, so he arranged with them to send a check for the extra amount, and they approved the transaction when the computer company phoned in for approval. I don't remember which card/bank this was, however, and this person has long since moved away to Washington state. However, rest assured it CAN be done; you need only find a reasonable and cooperative bank with which to work. - I did hear of a person getting a divorce from his wife who paid a lot of extra cash into his credit card so that it wouldn't show up in any of his bank accounts. After all, who would ever think of looking at credit card bills to see if any savings had been stashed there. - Sending money to a credit card card company in anticipation of a large purchase makes no sense to me. If you know you're going to make a large purchase, just take that same cash and use it to pay for the purchase directly. You can use your credit card to cover just the difference in the amount you pay in cash and the greater cost of the item. That way, you don't have to sacrifice the interest on the money you paid the credit card company before hand and the vendor who is selling you the item has less overhead costs for your puchase since he or she will have to pay the commission on a smaller amount of money. - Credit card companies can do more than provide convenience. They'll also go to bat for you if there's a dispute between you and the vendor. Additionally, some may provide extended warranties or other niceties, such as frequent flier miles for purchases (and at $20/1000 miles, a $3000 purchase gives you a bonus of $60 worth of mileage) - You should call your credit card company. Most of the time you will allow you to do this. Or they will simply increase your credit limit. I kept calling them to have my credit card limit increased when I got my first card. Once you are with them for some time, they will encourage you to spend all your money by giving you a credit line of $10,000. - If you're really that intent on doing this, simply have the store run multiple smaller purchases against your card which total up to the "real" purchase price. When I first got my cards (with only $500 limits), I bought something over either limit by running part of the purchase against each card. The stores don't care; as long as they get an approval code for the purchase, they're covered. The only potential problem would be if they ran, say, three of four charges through, then the fourth one gets declined. They've already debited 3/4 of the price. They would then have to issue three refund charge slips to cancel everything out. - This is an extremely weird way to increase your credit limit. It is also not a very sensible way to do it. Why do you want to do this? Banks deliberately give low credit limits to people with little credit history. They are very willing to increase that limit once you have establish a good credit history with them. If you have had your card for more than 6 months and have made all your payments on time, you can phone the card company and ask for a limit increase. The credit limit on my first credit card had doubled by the end of the first year. I was a newly graduated student with no credit history but I had a job. Once the bank had a credit history they were very willing to increase my credit limit. - That's the case with Discover. To earn more cash back, I prepaid but need to make several purchase in several days (can't be on the same day) to exhaust the credit balance. Getting 1% cash back is better than have the money (if I have extra) put in a back for one-month interest. Discover is always reluctunt to increase my limit even I made numerous request. So, the only way is to prepaid my a/c and split it to several smaller amount purchase. MBNA also won't increase your limit for the credit balance. In fact, I called MBNA and was told that better not to do that because they WON'T LIKE me to spend over my credit limit even I prepay a large amount and make a credit balance. (My comment: they don't like me to spend more even if I pay it in advance -> I don't like to use their card for this reason and simply use other card. I already got the $500 rebate from GM for just a few months. Not to mention the cash back from Discover. MBNA will just lose my business.) - When I was in college I bought a computer using my Mastercard that cost about $500 more than my credit limit. I asked the credit card company to increase my credit limit but they refused because it was already more than my yearly income (at the time I was a student employee at the college). They suggested that I send them $500 so I would have a positive balance and not go over my limit when I bought the computer. - This would be the only reason that I would *ever* prepay a credit card...that is if I didn't have sufficient credit limit and the fact that I get something in return. On the other hand, asking for a higher credit limit is no biggie either...just call them up. Most of the time, they'll increase the limit within a couple of days (for safety purposes in case your credit card happens to be in the wrong hands)

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