What happens when your credit card is "maxed" out?

Question

What happens when your credit card is "maxed" out?

Answer 1

It means you used all the money on the credit card.

Answer 2

One of the problems of maxing out your card is that the first month after you do that, you will be OVER your limit because of the added on interest. THis will cause an over the limit fee to be added on top of that.  It is always a bad idea to max out your credit cards for this reason and because it hurts your credit score.  Check out this site. It really has some good info on how to repair your credit score if it is not so good and to maintain a good credit score if it has not been damaged.  

Good luck!

http://www.credit-cards-comparisons.com

Answer 3

if your trying to make a purchase and this happens ,sometimes the department store will keep the credit card.

Answer 4

First, your credit score will take a hit.  Carrying balances of more than 30% of your available limit hurts your score.

Secondly, in the current economy, some credit card companies are taking closer looks at card holders and re-assessing the credit worthiness.  Maxed out credit cards might get you high risk interest rates. Some are lowering limits and even closing accounts.

Third, you've put yourself in deep debt and are wasting a lot of money on interest.

Answer 5

You hit your credit limit and if any charges or interest push you over that, you also get hit with an over limit fee.