Credit Cards: How to Protect Your Limits

To lower their overall default risk and protect profits, some card issuers may reduce your credit limit. Here are tips for keeping it steady

As big banks such as Wachovia (WB), Citigroup (C) and Bank of America (BAC) continue to post multimillion-dollar writedowns to cover mortgage loan losses and other bad investments, credit-card holders are increasingly getting squeezed. Card issuers such as American Express (AXP) have started taking a closer look at the math that determines how much credit is available to each customer, and some are cutting their credit lines to keep more money in house.

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