If the credit card limit is $300 for bad credit then your payment history is 35% of your credit score and your credit card balance is 30% or less of your credit limit.
There could be several reasons why your credit card was approved for such a low credit limit. First, the type of card you apply for can impose the same restrictions on all cardholders. This often applies to retail store credit cards and subprime credit cards, but it can also happen to other cards.
Your credit score responds best when you make payments on time and keep your credit card balance low compared to your credit limit.
Read also : Low credit card limit for online shopping
How to increase credit card limit by $300 for bad credit
Some credit card issuers will increase your credit limit automatically after you have used your card responsibly for several months.
The term varies by credit card issuer but can range from six months to a year. If you have not received an automatic credit limit increase after six months, you can contact your credit card issuer to request a credit limit increase.
If you don't see an option when you sign in, you can call the number on the back of your credit card to request an upgrade.
If your increase request is rejected, you'll get a letter from the credit card issuer explaining why. The letter will give you insight into opportunities to improve your credit score, which will increase your chances of qualifying for higher credit limits in the future.
After about six months of responsible credit card use, you can also try applying for a credit card with another credit card issuer to see if you're approved for a higher credit limit.
Finally, if you can afford it, applying for a secure credit card and paying a higher security deposit will allow you to get a higher credit limit, as it usually equals your security deposit.
While you may not want to tie up your money that way, it can benefit you because secure credit cards are reported on your credit report just like any other credit card.
Having a credit card with a higher credit limit on your credit report will look advantageous and make you more likely to be approved for a regular credit card with a high credit limit.
That's the discussion about the $300 credit card limit for bad credit, hope it helps