diff --git a/core/src/main/java/bisq/core/trade/ClosedTradableManager.java b/core/src/main/java/bisq/core/trade/ClosedTradableManager.java
index ab533462232..284a75f862f 100644
--- a/core/src/main/java/bisq/core/trade/ClosedTradableManager.java
+++ b/core/src/main/java/bisq/core/trade/ClosedTradableManager.java
@@ -53,6 +53,7 @@
 import java.time.Instant;
 
 import java.util.ArrayList;
+import java.util.Comparator;
 import java.util.List;
 import java.util.Objects;
 import java.util.Optional;
@@ -127,6 +128,7 @@ public void readPersisted(Runnable completeHandler) {
     public void onAllServicesInitialized() {
         cleanupMailboxMessagesService.handleTrades(getClosedTrades());
         maybeClearSensitiveData();
+        maybeIncreaseTradeLimit();
     }
 
     public void add(Tradable tradable) {
@@ -172,6 +174,24 @@ public Optional<Tradable> getTradableById(String id) {
         return closedTradables.stream().filter(e -> e.getId().equals(id)).findFirst();
     }
 
+    // if user has closed trades of greater size to the default trade limit and has never customized their
+    // trade limit, then set the limit to the largest amount traded previously.
+    public void maybeIncreaseTradeLimit() {
+        if (!preferences.isUserHasRaisedTradeLimit()) {
+            Optional<Trade> maxTradeSize = closedTradables.stream()
+                    .filter(e -> e instanceof Trade)
+                    .map(e -> (Trade) e)
+                    .max(Comparator.comparing(Trade::getAmountAsLong));
+            maxTradeSize.ifPresent(trade -> {
+                if (trade.getAmountAsLong() > preferences.getUserDefinedTradeLimit()) {
+                    log.info("Increasing user trade limit to size of max completed trade: {}", trade.getAmount());
+                    preferences.setUserDefinedTradeLimit(trade.getAmountAsLong());
+                    preferences.setUserHasRaisedTradeLimit(true);
+                }
+            });
+        }
+    }
+
     public void maybeClearSensitiveData() {
         log.info("checking closed trades eligibility for having sensitive data cleared");
         closedTradables.stream()
diff --git a/core/src/main/resources/i18n/displayStrings.properties b/core/src/main/resources/i18n/displayStrings.properties
index 3896e386d68..570ffe7db05 100644
--- a/core/src/main/resources/i18n/displayStrings.properties
+++ b/core/src/main/resources/i18n/displayStrings.properties
@@ -3735,9 +3735,10 @@ payment.limits.info=Please be aware that all bank transfers carry a certain amou
   See more details on the wiki [HYPERLINK:https://bisq.wiki/Account_limits].
 # suppress inspection "UnusedProperty"
 payment.limits.info.withSigning=To limit chargeback risk, Bisq sets per-trade limits for this payment account type based \
-  on the following 2 factors:\n\n\
+  on the following factors:\n\n\
   1. General chargeback risk for the payment method\n\
   2. Account signing status\n\
+  3. User-defined trade limit\n\
   \n\
   This payment account is not yet signed, so it is limited to buying {0} per trade. \
   After signing, buy limits will increase as follows:\n\