Credit Line: Here’s How to Make the Most of It

Whether it’s a medical emergency in the family, flood damage caused by a typhoon, or just an ill-timed flat tire, an unexpected expense that can put a huge strain on your finances.

Fortunately, there are financial tools that can offer you a safety net in times like these. One good example is a revolving credit line.

According to Investopedia.com, “Revolving credit is a credit line that remains available even as you pay the balance. Borrowers can access credit up to a certain amount and then have ongoing access to that amount of credit. They can repay the balance in full or make regular payments. Each payment, minus the interest and fees charged, opens the credit again to the account holder.”

CIMB REVI Credit — **CIMB Bank PH** – Here’s how to make the most out of your revolving credit line

If you already have a revolving credit line, it is important to understand its capabilities. Here are some ways to help you maximize it:

Improve your credit standing to get a higher credit limit
Banks assign credit limits to each account holder depending on how well they manage debt. According to Moneymax, in the Philippines, creditworthiness can be determined by one’s credit payment history, amount currently owed, length of credit history, applications for new credit, and the types of credit used. Consistently paying on time can help improve your credit standing and may help set you up for potentially higher credit limits in the future.
Make payments for big ticket items more manageable
Having revolving credit gives you access to funds whenever you need them. Not only is it perfect for emergency purchases, but it can be helpful if you want to buy big ticket items like home appliances, make an investment for a small business, or pay for tuition but currently do not have enough money to pay in full, making the expense more manageable.
Use revolving credit to have different credit options available to you
Applying and successfully getting approved for a revolving credit line not only brings convenience, but it also helps diversify your credit mix. This plays a huge role in managing a good credit limit. A diversified credit mix shows that you are capable of managing different kinds of credit that can help build a strong credit history.

CIMB Bank Philippines is one of the banks that offer revolving credit via REVI Credit, the first-of-its-kind all-in-one revolving credit line that provides Filipinos easy access to credit and financial flexibility.

CIMB customers who are qualified will be pre-selected and can then apply for REVI Credit and avail a credit line of up to P 250,000 with interest rates as low as 1% per month and no annual fees. This credit line can also be used for other services available in the CIMB Bank PH app, such as Bills Payment and Balance Transfer.