What am I doing wrong? Credit limit of only $1000
I currently have one credit card, and it's a Capital One Savor that I got in 2024. I have a FICO score of 736, my oldest account is eight years and eleven months, and I have about 60k in student loans.
I have no other debt, and the last time I had a late payment for anything was nearly five years ago when my COVID forbearance ran out and I was completely unable to pay my loans. I defaulted on a decent amount of the debt and got the eventual case that resulted thrown out because the statute of limitations passed before the loan servicer acted on it. The case was against my co-signer, however, not me directly. Not sure if this has any bearing on my credit limit lol, but thought I'd give it as context anyway.
I only have a limit of $1000, and I'd love to even just have $2000 so my use percentage stays low. I'm not a big spender, and I only use my card as a means to improve my credit score and get a little rewards cash. I've asked my friends what their limits are, and they all have $5000+, many of them with comparable credit scores and similar good payment history. I essentially just want to be able to make rare, large purchases with my credit card rather than direct from my bank account.
When I try to request a higher limit, I get asked my rent, how much I'll spend per month, and the maximum desired line of credit. I guess I didn't give the kind of answers they wanted, because I got denied both times I requested previously.
Is part of the issue that I also don't actually use the card enough? I live with my parents, and as a result my expenses are lessened or shared in just about every category, which is a very fortunate position but maybe it's hindering me?
ETA: My income is about $36k annually, so not great. Several friends have similar incomes though.