Feature Idea - Credit Card Limit

Idea: A field for credit card limit where you can quickly see what percentage of credit you are using per card. This can be a field where the user puts in their amount and YNAB can subtract their charges from their credit limit to determine their use.

Using YNAB has been effective at giving me visibility to where dollars are flowing. During my consistent use I have kept track of what information I have to reference outside of YNAB to see if a gap can be filled. Credit is important and though we can keep track of our credit card expenses we also need to keep track of our usage rates to make sure we are not consistently hanging around our limits

 

Learn more about usage and how it effects your credit here https://www.nerdwallet.com/blog/finance/how-is-credit-utilization-ratio-calculated/

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  • Hi Ivory Nomad !

    That idea was brought up in this thread: https://support.youneedabudget.com/t/63p7q1/available-credit

    While we understand credit cards can be a useful tool, we want to focus more on paying them off rather than the amounts available to spend. You can include your credit limits in the account name or as a note if you'd like to personally track that information. :)

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  • Faness thank you for the quick response. 

    The reason for YNAB is financial visibility and more importantly the training of how to handle money, a powerful tool in society. If paying them off is a focus, the program should also focus on point and time of knowing where you are. It allows YNAB to address the issue at an earlier stage.

    Thanks again for your feedback

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  • If you're using YNAB to use your cards, and you're running close to your limits, raise your limits to a point you don't have to worry about hitting the limit, and eventually, raise it to a point you don't have to worry about the ratio. Since you're basing your CC spending in cash, you don't have to worry about what the limit is. 

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  • I support this idea -- we always have to ensure we can use a particular method of payment. When choosing to pay with cash, the account balance (provided in YNAB) must exceed the purchase amount. If choosing to pay with credit, the available credit (limit - balance) must exceed the purchase amount, but that quantity is NOT shown anywhere. 

    The fact is there are users with relatively low credit limits that have to worry about this, and a trivial addition to the GUI would be helpful to them.

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      • eloquentz
      • Numbers Wizard (Accountant), Acoustic Artist (Musician) and Jill of all Trades (Wife & Mother)
      • eloquentz
      • 2 mths ago
      • 1
      • Reported - view

      dakinemaui But part of the point of YNAB is to get you away from the account balances (for cash accounts) or credit limits of your credit cards. Having money in your bank account does not necessarily mean you can spend it. And having available credit limit is also not a reason to spend money for no reason.

       

      Yes, there will be instances that you absolutely have no choice. But YNAB helps you be intentional with your money. And being intentional does not mean looking at available account balances, it means looking at the available amount in the budget.

      Reply Like 1
    • eloquentz You're right - the first place to look in YNAB is the available column for a specific category in the budget. 

      However, if it's time to make a $2000 purchase with money you've been saving up (so it's available for that category), and you only have $1000 in your checking, you're gonna have a hard time... So, step two of spending money is checking the location to see what would be the best mode of payment. 

      Likewise for CC limits. If you're at $3500 of your $5000 limit, you can't put the {budgeted} $2000 purchase on there, either.

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      • WordTenor
      • Arranged the menu, the venue, the seating.
      • WordTenor
      • 2 mths ago
      • 2
      • Reported - view

      Move Light Sound Life The issue for me that makes CC limits different than a checking account balance is that you can make there be more of a limit without much difficulty, whereas you can't just call up your bank and have them raise the balance in your checking account. 

      If you find you need more room to do the kind of spending you want to do on your card, you can get a card with a higher limit, or increase the limit on the card you want to use. Admittedly, this is a wager, but I would guess the number of people who want the limit displayed so that they can charge the card without learning to use the budget exceeds the number of people who need the limit displayed because they are likely to hit the limit while carefully using their budget. If you don't have a card limit that can absorb a fairly large purchase, you probably don't have much cash, either, so you aren't going to hit the limit by spending your cash. The two are effectively checks on each other. 

      If you really, really need the card limit, you can always put it in the notes or even the name of the account. But for most users, it's going to be a training wheel because eventually you want to get to the point where your available credit far, far exceeds anything you're likely to actually spend. 

      Reply Like 2
      • eloquentz
      • Numbers Wizard (Accountant), Acoustic Artist (Musician) and Jill of all Trades (Wife & Mother)
      • eloquentz
      • 2 mths ago
      • Reported - view

      Move Light Sound Life Yes, but that is not a feature that YNAB needs. YNAB doesn't care what account you pay for something. In your example, you could make a $1000 transfer from another savings account that has the money. You could make a payment on your credit card to free up enough room. You still have the same mental math of how you're going to pay for it no matter what YNAB tells you or doesn't about your available credit.

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      • dakinemaui
      • dakinemaui
      • 2 mths ago
      • Reported - view

      WordTenor All good points. I keep thinking of those who have to pay weekly to free up enough room for budgeted purchases. (Or even pre-paid.) Still, they're likely used to doing the math.

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