Applied for Best Buy Store Card.... Approved for Store Card... Got Reward Zone MasterCard...

[TiggerDat]

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@CC365 wrote:

Banks like profit making moves. So some do this by charging fees, high APRs, Foreign Transaction Fees, Merchant Fees, etc. In addition, they like a low default rate, people that revolve balances, and not to expose themselves by giving out large credit lines without the ability for them to be repaid. On other words, customers often have to pick which of the banks they feel more comfortable with and why. As for the OP, I would contact Capital One and if they can't help you contact the Capital One Executive Office and tell them the issue/s. 

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If you ask their normal customer service number for that department they will tell you it doesn't exist!  I have asked before for it!  For the longest time I tried and even tried Googling it.  It might be a little easier to Google now, but if you search through the forum listing, you will find at least 3 or 4 thread dedicated to just that!  Their exec office phone number is 800-955-1455.  Please don't abuse it, call only if you really deserve it!  If too many people call then it might cause them to change it.  Some say that it is best to email them first, that if you don't they won't treat you the same way, instead it will be just like talking to customer service.  I don't have the email, I used the BBB to make sure there was some sort of public record for my experience.

[nyancat]

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@bernhardtra wrote:

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@nyancat wrote:

Okay, if you have credit problems, yes, but doesn't anyone charge fees on cards for those with credit problems? I make about $25k a year, and got instant approval for the Cash Rewards with a $7500 limit. They're not exactly highly elite cards for the richest of the rich. Even for those with no history, they offer no fee cards - the Journey and the Cash Rewards for Newcomers. It seems to me that unless you're in a position where you have a credit problem, Capital One's fees are lower than the rest - and everyone charges those fees. Their secured card, for example, is one of the cheapest out there.

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This is true and I am not saying that they are the worst of them out there.  First Premier does have a client base and is a little easier to get than Capone.  Capone's strategy is designed a bit more in detail than others to insure that if there is an opportunity for fees, then they will reap them.  In some respects Capone has succeeded so well because they were one of the first to do strategy very well on many levels, including increasing their fee income.  Their marketing strategy has certainly paid off as well.  There are some banks out there who will even charge you a fee or a percentage of a credit line increase to get it.  They prefer to keep the customer at the level they are for as long as they can.  Imagine that you want a credit card and have no credit.  You get their secured card, with a $36 annual fee.  Then you want to move to increase your limit, they tell you at this time it can't be done, but you could go online and apply for an unsecured card.  You do so and there is a new credit inquiry on your report and your score is lowered.  Your average age of accounts is also lowered and this lowers your credit score too.  You want to get more credit and they give you a little more on your secured card and you are happy.  You ask for a limit increase on your basic card with them and they say no, but you could go online and apply for another card.  This time they offer you a cash rewards card with a $39 annual fee.  There is a ding to your credit and the average age of accounts goes down.  You now have 3 cards with them an a total of $1200 in credit and you are happy for the moment, but you are paying $114 in fees each year for the same amount of credit as if they would have simply given you an increase on the one card with the $36 annual fee.  Your score has also been lowered.

Now it is going to take you at least a year, if not two to get your score back up and to a level which is satisfactory for another card with a near prime lender.  Even if you were to apply now the bank would see 3 credit bureau inquiries and 2 new accounts.  They will want to see how you perform on those two accounts first, as managing 3 accounts is harder to do so than one.  In the long term this will certainly benefit you if you do it well.  However, since they are not known for giving credit increases, then when you can get a new card from another company they will probably match the limit or give a little more than the highest limit you currently have.  One factor in your score is the aspect of a high credit limit.  Once you break $2000 or $2500, I am not sure which, then lenders view you as less of a risk and your score jumps.  This makes it easier to get a new card.  If they don't raise your limit, but instead they give you another card with a fee, they are making more money and trapping your score at a lower limit for longer which makes you dependent on them for longer giving them fees.  (And heaven forbid if you go over or become late on one!)

If they do raise your limit regulary based on performance and usage, it is possible that within 2 years your limit would have gone above $2000 and broken that ceiling.  This means that they would either have to offer you a new prime card with more benefits or risk losing you.  When you apply for a card with them, they pull all three credit bureaus.  This insures that each bureau is covered in regards to an inquiry and lowering your score.  (At least they used to do this, I don't know if that policy has changed in the last year.)  They do have a very detailed strategy which insures that those with a harder time getting credit are trapped there longer with them and those that don't reap the benefits of their good credit.  They have a large number of sub prime cardholders, I don't care how many times I hear them say, 'we are a conservative lender.'

No they are not the most predatory bank out there.  Yes, they do have strategies which does make it too easy to get multiple cards with them and retain their client base at that level a bit longer than needed.  They also have strategies which mean those with bad habits will give them more money and stay with them also.  Their executive office told me point blank that there were two types of accounts; type a and type b and one type never or very seldom gets credit limit increases.  I already knew this, so there was surprise to me.  I have experienced some of this first hand with them.  Yeah, I made a mistake and I was willing to pay for it.  I have done so and have improved remarkably through first realizing my own mistakes and doing things right.  At some point they need to stop penalizing me and others who have also done so.  Their strategies have ended up with them paying huge fines in recent years, because what they did was not right.  My credit line in the same period with Merrick bank has tripled without me having to do anything.  Capone certainly is readily telling me to apply for a new card.

It is one reason why they quickly did away with the Orchard card product.  They're similar products are more expensive. 

Yes, it is true those with better credit can get great cards from them with no fees and lower interest rates.  A large percentage of their cardholders are not in that category.  Thanks for the friendly discussion on this.  Don't go away thinking badly about them, just know there is more to it than what some can easily see.  Trust me, there are others on this board that would react in a less than nice manner at the mere mention of their name. 

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All good points, I know they've treated me VERY well (including a dispute/chargeback) and I certainly don't consider myself anywhere near the most creditworthy individual around due to my low income. I'd MUCH rather deal with Capital One's friendly, knowledgeable, English language native support than with Citi's support who I can barely understand due to a combination of accent and a poor phone system, Amex's somewhat better but still not English native support, or Discover's also English language native but seemingly clueless support and their absurdly low limits.

[Artdogg]

Hello all!

     Thank you all for your replies but however, I am totally lost.  The thing I got is I need to try to ask for increases.  I have had my Capital One Unsecured Card since November of 2010. I had an increase from the Credit Steps program I think that was after six months.  I went from $300 to $500. I asked for a credit line increase and they told me they are reviewing their policies and I can not get one at this time. The one before that was in December of 2011.  At that time they could not do it at my request. I have stopped applying for credit after my app spree with GECRB and Best Buy.  HSBC will not give me any increases. I Have had my Orchard Bank card since October of 2011 and never had an increase. I am working to pay down my debt.  With my new accounts, my credit to debt ratio is 51%. So if anyone can help me it would be appreciated. 

Thank you,

Artdogg

[Artdogg]

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