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Valued Contributor
Posts: 1,346
Registered: ‎04-15-2011
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Re: What is bad about Capital One?

Jennifer;

 

Something no one's mentioned. It doesn't just apply to Capitol One but any CC application.  You mentioned your DH only makes around 27k a year. That's not accurate if he gets any benefits at work. If he gets any insurance or other benefits at all, he needs to contact his HR person or whoever handles his paycheck and ask what they consider to be his full annual compensation\pay.  That's the figure they'll give a creditor if one calls to verify income, not just a W2 statement usually. Others might correct me on this but it's usually standard.

 

In other words, he could put down income of 27k when the company would report to the CCC that his compensation is 31k. That can make a difference on CLs and approvals.

 

Just a heads up before he applies for a BB or any other card.

Senior Contributor
Posts: 3,197
Registered: ‎01-24-2010
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Re: What is bad about Capital One?

I think a lot of what is considered bad is that their business practices are not the ideal for maximizing their credit score.

 

They have customers at all credit levels.   For those with poor to average credit, they are somewhat cautious, they pull all three CR's. give low CL, low CLI.   All 3 of these are not ideal for you FICO score, but most of the other major banks are denying credit for these people.

 

Their business practice is to open new accounts for new cards, so that when you qualify for that excellent CC, you have more inquiries and new account, again PC would be better for FICO score.   Same with secured card, no graduation, open a new account.

 

For me, I used HSBC secured and Capital One secured cards.   Captial One was far better in every category.    I still get denied for most major CC, but I opened my Captial One secured card 2 years ago and now I have unsecured cash back card with them $3500 CL.    I don't expect it to grow much from here, but I do expect to open a better CC with them in a few years.

Established Contributor
Posts: 904
Registered: ‎10-04-2010
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Re: What is bad about Capital One?


MrGoat wrote:

Actually, this isnt actually accurate.

There is a really good reason to have as high a limit as your CC company will give you....overall utilization.

If you spend $2000 on a $3000 limit CC, you are using 66% of your limit, if thats the only card you have.

That will impact your score more than if you had $10,000 limit on your cards.

 

For example, I just took out $5000 on my Citibank card for what ended up in us buying a car (long story).

My available overall credit is something like 70k total, so the $5000 didnt even affect my credit score at all from what we're seeing.

 

If Id only had $10k total credit available, my guess is the 50% utilization would have had some negative impact on my score till Id paid it down some.

 

If youre responsible with your finances, take every dime in CL they will give you.

 

Just my opinion....

 

 


While I see your point, I respectfully disagree. I think it is reasonable to want a credit limit you can manage. I know it is not the norm with credit management but it is recommended to charge only what you can afford to pay off in full every month. It doesn't matter what your utilization is if you pay it all off when the bill comes. Unless one is taking advantage of a 0% offer. And even then, changes in utilization only affects credit scores transiently. If the OP is not planning to apply for any credit lines, then it doesn't matter if the score drops. They can pay off the card before putting an application in and the score will go right back up.


BK in 2008---Barclay's Apple Financing Card ($10,000) --- Capital One Quicksilver ($13,000)--- Gold Delta Skymiles ($20,000)---Platinum Delta Skymiles ($10,000) --- GEMB CareCredit ($5700) --- AUFCU ($10000)---Discover IT ($28,000)--AMEX PRG


Experian 741 Transunion 752-- July 2016
Established Contributor
Posts: 904
Registered: ‎10-04-2010
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Re: What is bad about Capital One?

I am thankful for and very appreciative of Capital One. They essentially are the sole bank that rescued me from my credit pit.

 

Capital One gave me a $300 card a month after my Chapter 7 was discharged. I included two of their accounts in the BK. For the strangest reasons, my credit limit went up to $2500 in two years. Granted it has stayed at $2500 for the last two years, I'm still thankful that they gave me a second chance. Their card was the only card I had until late last year when I applied for the Care Credit. At the time of the Care Credit application, my score was in the mid 600s. A huge credit improvement solely due to my only line of credit granted by Capital One.

 

From my perspective, I'm glad they trusted me with credit at a point when I couldn't even trust myself. I get annoyed everytime I have to pay that $19 annual fee but I remind myself of how far I've come. My credit score is much better and I'm done credit seeking for a long time but I'll always have a Capital One in my wallet. As a reminder of the past and a gesture of appreciation.


BK in 2008---Barclay's Apple Financing Card ($10,000) --- Capital One Quicksilver ($13,000)--- Gold Delta Skymiles ($20,000)---Platinum Delta Skymiles ($10,000) --- GEMB CareCredit ($5700) --- AUFCU ($10000)---Discover IT ($28,000)--AMEX PRG


Experian 741 Transunion 752-- July 2016
Valued Contributor
Posts: 2,598
Registered: ‎10-31-2011
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Re: What is bad about Capital One?

[ Edited ]

Capital One Platinum Prestige, Venture Card and Cash Back Green Card are all very good cards for "excellent credit" aka prime cards. The average Credit cards are the ones you see that are limited to $500 or $750 Credit Limits, almost all are set up as part of the steps program which is an automatic credit limit increase in 6 months if you pay on time and handle your credit card correctly.

 

Almost all of the complaints you see on myFICO are about the average credit group because they don't "grown with you". The solution is simple, once your credit profile grows from "average" to excellent just cancel a card, wait a month or so and apply for an excellent credit product. I just did this a few months ago and went from a Platinum basic card $750 credit limit to a Platinum Prestige card with a $7500 Credit Limit.

 

The only time I've dealt with a Capital One CSR was to close the standard Platinum card and it was done painlessly by a very friendly USA based CSR. If you read myFICO enough you'll hear stories about bad CSR's and company policies from AmEx (dreaded FR), BoA, Barclays, Chase, Citi, etc. I don't believe that Capital One is any worse than any of these other bankcard issuers. I do believe that more myFICO members have a Capital One account or two than from these other companies, at least when they arrive on myFICO, mainly because most of the folks that arrive here are in the rebuilding or credit problems status (prime credit folks don't really seek out of credit repair forums).   IMO Capital One has done more good for more cardholders with dings on their credit reports than all of the other issuers combined and NOT at a punitive rate like CreditOne or First Premier.

 

Golden rule of myFICO forums, AmEx is the favorite child, Discover is next to being blessed by the Pope and Capital One loves to be "hated". Smiley Wink

 

 

Valued Contributor
Posts: 1,346
Registered: ‎04-15-2011
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Re: What is bad about Capital One?


pipeguy wrote:

Capital One Platinum Prestige, Venture Card and Cash Back Green Card are all very good cards for "excellent credit" aka prime cards. The average Credit cards are the ones you see that are limited to $500 or $750 Credit Limits, almost all are set up as part of the steps program which is an automatic credit limit increase in 6 months if you pay on time and handle your credit card correctly.

 

Almost all of the complaints you see on myFICO are about the average credit group because they don't "grown with you". The solution is simple, once your credit profile grows from "average" to excellent just cancel a card, wait a month or so and apply for an excellent credit product. I just did this a few months ago and went from a Platinum basic card $750 credit limit to a Platinum Prestige card with a $7500 Credit Limit.

 

The only time I've dealt with a Capital One CSR was to close the standard Platinum card and it was done painlessly by a very friendly USA based CSR. If you read myFICO enough you'll hear stories about bad CSR's and company policies from AmEx (dreaded FR), BoA, Barclays, Chase, Citi, etc. I don't believe that Capital One is any worse than any of these other bankcard issuers. I do believe that more myFICO members have a Capital One account or two than from these other companies, at least when they arrive on myFICO, mainly because most of the folks that arrive here are in the rebuilding or credit problems status (prime credit folks don't really seek out of credit repair forums).   IMO Capital One has done more good for more cardholders with dings on their credit reports than all of the other issuers combined and NOT at a punitive rate like CreditOne or First Premier.

 

Golden rule of myFICO forums, AmEx is the favorite child, Discover is next to being blessed by the Pope and Capital One loves to be "hated". Smiley Wink

 

 


 

1.  Even though the BoA is about my least fav (cough cough) of all banks, they really all have their "krapitol" quirks for different people.

 

2. I would concur with that as well, Cap 1 is no where as greed driven it seems as CreditOne or FP.

 

3. That would have about made me do a spit take or snort soda through my nose laughing had I been sipping soda when I read it ! Smiley LOL

Valued Contributor
Posts: 2,140
Registered: ‎03-30-2012
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Re: What is bad about Capital One?

[ Edited ]

I really have no problems with them right now.

 

I'm extremely thankful that they gave me another chance (I had a card with them back in '02 that went bad; they were the first ones to give me a credit card at age 18.5...unfortunately I was credit stupid back then).

 

I kind of thank them for giving me the kick in the butt I needed to take the initiative of getting my credit back on track (after seeing that dreaded 532 on a denial letter, and then offering the secured card)

 

I have the secured card which I'm using often...the plan is to apply for their Avg Credit Cash Rewards or Sony Card in six months. I push payments through every two weeks, I've yet to deal with CS, and I'm perfectly fine.

Scores 5/15/2016 (clean reports!): TU Walmart FICO: 696 | EQ FICO: 679 | EX AMEX FICO: 680

In my new wallet: American Express Green EMV: PSL $2000 | BankAmericard Cash Rewards Visa EMV: $2500 | Citi AAdvantage Platinum Select World MasterCard: $6400 | Barclaycard Arrival World MasterCard: $1000 | Discover IT: $2500 | Amazon Rewards Visa Signature: $1500 | Chase Freedom: $1500 | Capital One QuicksilverOne MasterCard: $2100 | Target: $2800 | J.Crew $21,550 | Marvel (Captain America) MasterCard: $6000
Valued Contributor
Posts: 2,528
Registered: ‎11-11-2010
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Re: What is bad about Capital One?

There is nothing bad about Capital One.

 

For me they are the one who gave me the frist credit card. I was turned down by a lot of creditor for lack of credit history, but Capital One gladly extended a $500 (now $750) credit to me.

 

I find Capital One to be useful as well. From time to time I will make a purchase from foreign webiste, and I don't have to pay any foreign transaction fee by using Capital One. Other cards will charge 3% FTF where as Capital One does not for all of its card.

In My Wallet:
Citi Forward (12/2010) | Citi Dividend (05/2011) | Chase Freedom (11/2011) | GECRB/PayPal (05/2012)
Discover it (07/2012) | AMEX BCP (09/2012) | TD/Target REDCard (10/2012) | Chase Ink Classic (11/2012)
BofA BBR (04/2013) | FNBO/Overstock.com (02/2014) | Barclaycard Arrival (04/2014) | FIA/Fidelity AMEX (04/2014)
Frequent Contributor
Posts: 408
Registered: ‎03-16-2012
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Re: What is bad about Capital One?

Hopefully I got all the pro's and cons..I went through it a couple times, so, hopefully didn't miss any.. Smiley Happy

Current Cards: Cap 1 Journey $3000, Cap 1 Playstation $2250, WFNNB Store Cards $2450 combined, Target $700, CareCredit $1700, Barclay Rewards Plat. Mastercard $1800, Old Navy $300, DCU Platinum Rewards Visa $2000, Swagbucks Rewards Visa $1000

Starting Score: 615 EQ (03-15-2012) 600 TU (03-21-2012 Barclays app) ) Ch.7 discharged 5/2009

Current Score: 671 EQ (09-27-2014 DCU) 660 TU (9/26/14 Barclays) Ex 688 (10/07/2014 Swagbucks)

Gardening since 9/22/2014


Regular Contributor
Posts: 154
Registered: ‎03-28-2012
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Re: What is bad about Capital One?


aussiesareforever wrote:
While I see your point, I respectfully disagree. I think it is reasonable to want a credit limit you can manage. I know it is not the norm with credit management but it is recommended to charge only what you can afford to pay off in full every month. It doesn't matter what your utilization is if you pay it all off when the bill comes. Unless one is taking advantage of a 0% offer. And even then, changes in utilization only affects credit scores transiently. If the OP is not planning to apply for any credit lines, then it doesn't matter if the score drops. They can pay off the card before putting an application in and the score will go right back up.

Having the option to borrow 20k shouldn't induce a need to borrow 20k. I think his point is still valid, quite so in fact... 5k might be your manageable PIF limit for each card, but that's almost a good reason not to want 5-10k limit cards... you want a limit high enough above your manageable amount to not see your utilization jump regardless of whether your PIF prior to the statement cutting or within a few days of it (IE give you less reason to feel rushed... make the payment when you need to, and don't worry whether or not it reports because it isn't going to dramatically affect your score).

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